Businessman behind controversial housing development was banned from being director

Orewa resident Robert Matthews is spokesman for a community group worried about a new 467-house development. Photo / Alex Burton

A businessman behind a controversial Auckland housing development was earlier banned from running companies after a series of businesses he led went into liquidation owing millions in tax dollars.

Developer Andrew Fawcet is director of Shildon Limited, a company seeking fast-track permission to build a 467-house development in Orewa, north of Auckland.

Nearby residents are trying to block the West Hoe Heights project, saying it could cause traffic chaos and bring down quality of life in the neighbourhood.

One resident said he felt also uncomfortable with Fawcet leading the project due to his record as a director.

Fawcet was director of more than 20 liquidated companies between 2014 and 2018 that left behind a multi-million dollar bill in unpaid taxes.

Following an investigation, Fawcet was banned from managing or being a company director for three years dating from May 2017.

Fawcet said while he did lead companies that fell over, he had also completed a number of successful projects.

He called opposition to his current project Nimbyism from “a few residents”.

“Like most property developers a few historical projects were adversely affected by the devesting Global Financial Crisis, however for the most part I have extensive experience in successful property development and Shildon is an example of one of these,” he said.

“This is why Shildon and the Orewa development has received Government support and approval to be processed under the Fast-track legislation.”

Dispute over the project comes as high-density housing developments are increasingly affecting the city’s outer northern suburbs.

Large housing developments in Beachlands, Whenuapai, Wellsford North and Silverdale are also either seeking or have gained fast-track building approval from a special panel set up by the Government during the Covid pandemic in 2020 to speed up construction projects.

‘Squeezing as many houses in as possible’

Developer Shildon wants to build 467 homes in a new Orewa housing project. Photo / Alex Burton

Orewa’s West Hoe Heights site, dubbed Strathmill, is one of the latest projects given a green light to try for consent through the fast-track process and includes plans for 467 homes across 24ha.

However, a group of residents spearheaded by Orewa’s Rob Matthews hopes to reduce the development’s size, saying they originally believed it would include only 201 homes.

Matthews said residents in the adjacent Boocock Cres were surprised to receive a letter from developer Shildon three days before Christmas showing the project had apparently doubled in size.

“We always knew that the land would be developed and had no issues with the proposed 201 houses, but the developer has advised that the current consent is not economically viable. So now they would like to squeeze 467 houses in the same area which is a 132 per cent increase,” Matthews said.

“This is the developer’s problem and the fix should not be to squeeze as many houses as possible into the area.”

Matthews said the size of the development didn’t fit “with the surrounding area” and feared it would overload road and water infrastructure.

He believed it was cynical for residents to be notified on December 22 and given only until January 9, over the holiday period, to respond to developers.

With the help of staff from local MP Mark Mitchell’s office that deadline was pushed out to January 17.

Mitchell said he understood that another nearby street Flavell Drive would provide access to the new development. That will change what had been a quiet loop road into a thoroughfare, he claimed.

He claimed residents had so far been unable to get adequate information about the planned traffic and water infrastructure from the developer.

He didn’t think it was fair for residents to have to accept a new development without all reports being completed.

He also questioned how residents’ concerns can be effectively heard under the new Covid Fast-track process, given residents can only make a written submission to the expert panel.

They cannot go in person to present their concerns or to publicly listen to information about the project.

Fast-track consenting to create jobs

General views of West Hoe Heights development in Orewa where developers are seeking consent for an increase in housing intensification. Photo / Alex Burton

Brought in by the Government in July 2020, the Covid Fast-track consenting process aimed to create thousands of jobs and keep the construction industry ticking over at a time when it was feared the pandemic could bring on a recession.

As a temporary law - similar to that used in the post-earthquake reconstruction of Christchurch and Kaikoura - it is due to end in July this year.

It allows developers to submit their consent applications to an expert panel convened by Judge Laurie Newhook rather than applying through Auckland Council.

Approval can sometimes be given as quickly as 25 days later.

Projects wishing to apply through the Fast-track process must first be given approval to do so by the Environment Minister.

Ian Smallburn, Auckland Council’s general manager of Resource Consents, said his team “provided high-level comments” to the Environment Minister when he considered whether Orewa’s project could be heard under the Fast-track process or not.

He said council’s comments to the Fast-track panel would likely be similar to that given to the minister.

“At this stage, we do not have a stated position [on the project], but have noted that the proposal lacks information relating to transport and infrastructure,” Smallburn said.

‘Nimbyism: Development will ease housing crisis’

Developer Shildon said the project will bring "substantial benefits" to Auckland and create hundreds of jobs. Photo / Alex Burton

Shildon director Fawcet, however, said the development will deliver “substantial benefits”, including quality new homes to help ease Auckland’s housing crisis as well as hundreds of jobs.

He said the project will have “the necessary infrastructure support, such as water and wastewater capacity”.

“We should not forget that the 24ha block of land is a large area and can comfortably accommodate 400+ residences and has been earmarked for medium density development,” he said.

“However we are aware of a few residents who are opposed to development in their backyard and unfortunately this kind of Nimbyism is never going to agree with the housing needs of their community and the wider region,” Fawcet said.

“Shildon is delivering the type of affordable quality housing that Orewa, Auckland and New Zealand needs as a matter of urgency - everyone needs a roof over their heads and, as the Minister of Building and Construction has said, we need to build our way out of economic recovery.”

But resident Matthews said residents would keep pushing for more information and a chance to speak up.

“We’re just trying every avenue that we can just to be heard,” he said.