Hotchin's $30m build goes on despite investor strife

Construction work has been going on for two years. Photo / Glenn Jeffrey

Builders are forging ahead on a twin-winged $30 million Auckland mansion for Hanover Finance boss Mark Hotchin.

While investors have to wait about five years for their money, vast upper-level living and recreation areas that cap the extravagant Orakei house are now enclosed ready for winter.

Critics have expressed horror at the way Hanover's bosses are spending money while more than $500 million is owed and people struggle to afford funerals and other expenses.

Eric Watson's grand Istanbul 50th birthday party this month drew the ire of Lynne Mitchener, who told how her father had pleaded for Hanover to release his funds, shortly before he died. She was shocked at Mr Watson's birthday, an event that followed Mr Hotchin's 50th bash in Fiji last year.

Yesterday, she said she had no words that could be used in print to describe her feelings about Mr Hotchin's new house.

"They'd just say it's all business and above board but I would have thought a bit of integrity would have kicked in," she said.

On Paritai Drive, a crowd of builders was this week on site as an excavator buzzed about on a temporary shingle road between levels at the centre of the project.

QV records show Mark Stephen Hotchin is this property's owner with John Keith Radley of Mission Bay, who has interests connected to Mr Hotchin and is a director and shareholder of Hotchin Trustees. Mr Radley is a principal of lawyers Ellis Gould.

QV shows an aerial map of three big properties that were amalgamated. The titles are listed under 4 Huriaro Place, which QV said was almost half a hectare. The land is worth $13 million and improvements $500,000, giving a total worth of $13.5 million, QV says.

Building of the house started two years ago after Mr Hotchin bought adjoining sites in the centre of Paritai Drive. He was reported to have paid around $17 million for the site, melding sections alongside a public walkway between Paritai Drive and Huriaro Place.

By winter 2007, block foundation and ground-retention work was well advanced and builders had begun putting up the framework.

This week, most of the house superstructure is finished but vast lower levels are yet to be closed in.

The value of the project upon completion has been estimated at $30 million.

Some of Auckland's top property consultants have been employed to work on the mansion, plastering the fence with their names.

They include Sumich Architects, an award-winning firm of designers established more than 20 years ago that is renowned for luxury contemporary buildings. Director Lawrence Sumich said Mr Hotchin's job involved the entire firm, not him alone, and he was reluctant to discuss it.

LaPlaya Pool and Landscape Construction, also listed, specialises in lavish pool design and soft landscaping.