eHome to finish building houses in receivership

Special Housing Area still in the build process in the Waimahia Inlet in Weymouth, Auckland. Photo / Nick Reed

Nearly half the staff laid off at Kumeu company eHome NZ.

The country's biggest off-site house manufacturer, now in receivership, is finishing the work it started at New Zealand's most advanced special housing area.

Brian Donnelly, executive director of the New Zealand Housing Foundation, said eHome had 11 houses under construction at the Waimahia Inlet when it was put into receivership last month.

"Of those, three are fully completed and work is carrying on at the other eight which should be complete over the next eight weeks," he said.

"It's frustrating and the receivership came as a surprise to me. But it hasn't had any real impact at all. We moved very quickly to get places finished," he said.

Only a few days were lost in building time.

The foundation is working with other parties to build 282 new houses at Weymouth on the edge of the Manukau Harbour and eHome was one of three builders at that site, along with Goodwin Building Services and Goldsmith Developments.

However, Donnelly said sale prices had risen. Initially, houses sold from $322,000 to $495,000.

"But for stage two, it's more $342,000 to $520,000. They're up because the market is moving and costs are moving as well," he said, referring to the price of labour, construction materials, fees, compliance costs and consultancy fees.

As for whether Waimahia would continue to work with eHome once receivers sell it, Donnelly said that was undecided.

"We'll look to see what's possible," he said. "There are not contracts with eHome to complete more. We've been focused on getting the houses under way completed."

Donnelly said 20 houses were now finished but a further 50 were under construction.