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Current as of 30/03/17 04:40PM NZST
Property editor of the NZ Herald

Metlifecare leaky building bill rises to $44.1m

Glen Sowry of Metlifecare says the cost of fixing buildings in four villages has been estimated at $44.1 million.
Glen Sowry of Metlifecare says the cost of fixing buildings in four villages has been estimated at $44.1 million.

Metlifecare's leaky building bill has more than doubled from just over $20 million to $44.1m, the business revealed this morning.

Glen Sowry, chief executive, gave an update on previous estimates in the media statement which accompanied today's half-year result released to the NZX.

Costs were estimated to be about $20.6m, Sowry said, but an extra $23.5m is now estimated to be needed fixing buildings in four villages.

"In terms of remediation, a comprehensive review has also been completed of all at-risk villages and we have accordingly increased the estimate of future remediation costs by $23.5m in the financial statements. This is in addition to the $20.6m estimated at 30 June 2016 (excludes earthquake works of $1.4m) and will occur over a period of seven years," Sowry said.

Afterwards, he told the Herald the villages affected are Auckland's Pinesong, Dannemora and Waitakere Gardens and Coastal Villas north of Wellington.

"The $44.1m is our estimate of the cost of remediation works over the next seven years.

"We have endeavoured to capture all the at-risk buildings and we have done a lot of work to understand the cost to remediate them. We have taken a reasonably conservative approach. We have not broken out costs by village. There's no further disclosure," Sowry said.

- NZ Herald

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