Published on March 02, 2022 at 11:56 am
The multi-million dollar remediation of Gisborne’s Marina View apartment complex will soon begin.
When the two-storey commercial, 23-apartment block was built in 2007, it did not meet all of its planning permission requirements.
The building was the subject of a claim under the Tight Homes Resolution Services Act 2006.
The issues were originally about weather sealing issues, but further investigations uncovered other flaws.
Marina View Apartments company president Patrick Willock said the base cost of the upgrades was around $16 million (including GST), but costs could be expected to rise due to supply problems.
An arrangement with the main contractor had been made to help minimize this and other unforeseen costs.
Costs would be covered by individual unit owners all paying a “fair share”, he said.
The Herald understands that a legal mediation between the council and the owners took place several years ago.
Confirmation that Gisborne District Council had arranged with the owners of Marina View Apartment to pay the repair costs remained confidential.
It is estimated that the work will take 18 months, but given the possibility of unforeseen problems, it could take up to two years.
“There are a lot of unknowns,” Mr. Willock said.
“When they open the building, we have a pretty good idea of what they’ll find, but the condition of the steel might not be what we think it is, or wood.
“The investigation we did was quite thorough, but even without tearing down the building, you don’t know.”
Work will include new siding, new fenestration and the installation of a new fire suppression system to meet new standards, as well as structural issues that need to be addressed.
“It will basically be new units,” Mr. Willock said. “They were always designed to be superior units and it is our intention to restore them to that level.
“Obviously neither the board nor we want a repeat of what happened so we have been working closely with the board to ensure that all issues are signed off and all correct approvals will be in place. when the building is finished.”
“I just can’t wait. It was an extremely stressful time.
Mr Willock said few owner occupiers were in the building. Most of the tenants had moved out or were in the process of doing so, after a legal 90-day notice.
“For the past two years, at least for those I look after, we have put a clause in the tenancy agreement explaining that it will be fixed and that at that time they will have to leave the building.
“In our particular unit, the tenants found something pretty quickly.”
Some owners have already sold units or put units up for sale, with Bayleys Gisborne having two three-bed, two-bath units and one two-bedroom unit for sale for $99,000 and $89,000 respectively.
Each has its own parking lot.
“Each new owner will then be required to pay a corporate repair tax immediately,” said Bayleys Gisborne residential sales representative Ollie Suttor.
“It’s similar to a purchase plan, in that the buyer will pay money up front as an investment, with significant improvements made over 15 to 18 months, with units potentially worth much more. raised to completion.”
Makeover: The Marina View apartment complex on Reads Quay is due to undergo major remediation work which is expected to last 18 months. The 15-year-old building was the subject of a claim under the Tight Homes Resolution Service Act. Photo by Marcus Brunner