New Auckland house built, sold last year, stands empty: water not connected

A new house is finished but its owner can't move in. Photo / Mark Dwyer

A new Auckland house has been built and sold but its owner can't move in because it doesn't have water.

Jing Zhang complained she had bought lot 46, 35 Hayfield Way, Karaka, last year and although the house was finished four months ago, it was still empty and she could not move in because there was no water.

"When we signed a purchase agreement last year, we would never picture our current situation being so disappointed, confused and hopeless," she said.

Zhang bought from Generation Homes last August "and we were told the title will be issued November".

"Generation also advised us about a rental option once the construction of the house is completed," she said,

"The construction of the house was completed in October. During regular follow-ups with Generation between August and December, we were told the water supply was at the final sign-off stage and that a verbal agreement was made between developer and water supply company to push things forward," she said.

But no progress had since occurred over the water situation and she wanted to air her plight in public because she has been told other people are suffering the same fate.

Kevin Atkinson of Generation Homes. Photo / supplied

Kevin Atkinson, Generation Homes' chief executive, said his company bought the section from developer Golden Harbor Developments, a business he stressed was "totally unrelated to us".

Generation built a show home there and sold last August to Zhang, he confirmed.

"At the time of the purchase, we were told by Golden Harbor Developments that titles were imminent. We could also see that most of the infrastructure for the subdivision was in place," Atkinson said.

Within Zhang's sale and purchase agreement was a condition that she could not own the home until the title was issued, he said.

He subsequently learned Zhang could not move in because Golden Harbor had not yet got mains water supply to the development.

"This is the only factor holding up the issuing of the title," he said.

"It is the responsibility of the developer to provide water. When we bought the land off the developer, we had absolute confidence that water would be provided.

"We have been told by Golden Harbor that they have had issues obtaining a water connection to the land arising as a result of a sub-contractor," he said.

That subcontractor was to complete services for the three waters: drinking water, stormwater and wastewater. But the business had gone into liquidation.

Documentation from the subcontractor or its liquidator had not been provided, Atkinson said.

"We are equally as frustrated about the delays the buyer has experienced. We have huge empathy for her and her family and we are trying very hard to facilitate the title being issued for her home so she can move in," Atkinson said.

Sean Bignell, Generation's south Auckland manager, had kept her continually updated as delays emerged, Atkinson said.

"He has repeatedly written to Francis Xu from Golden Harbor Developments asking what the status is. We have been provided with various estimates about when titles will be issued.

"Most recently we were advised mid-April, in response to an email from our lawyer expressing concerns about the delay in getting separate titles, but we have no ability to confirm this position," Atkinson said.

Francis Xu of Golden Harbor said her company had completed all works necessary for our development and was not at fault.

"The problem preventing the provision of water to the Hayfield Way area actually lies in Hingaia Rd, 1km from my development and another company is responsible for completing this work," Xu said.

"We, like the parties that have contacted you, would also like to see a solution as it is preventing us from gaining titles and selling sections. If the solution was under our control, we would have resolved any issues before now," Xu said.

Atkinson said it was Generation's understanding Veolia was looking for some evidence from Xu that the works would occur – this is fundamental to getting the subdivision signed off and subsequently Zhang's title issued.

"We have asked Veolia if it is possible to provide a temporary water solution for Zhang so she can move into the house and rent it from us until the title is issued. We are happy to insure the house for her. Veolia has indicated that is not possible," Atkinson said.

Zhang said communications with water supply/management company Veolia resulted in her being told she was not alone, 14 other developers had problems, the issue has been ongoing for years.

A Veolia spokesperson said the business sympathised with affected residents, "however it is the sole responsibility of the developer to provide all water and wastewater infrastructure required to service their developments.

"Veolia can only issue a certificate of compliance for water and wastewater once the developer has completed the delivery of these water and wastewater assets," the spokesperson said.