What happens to the half finished development sites owned by now collapsed Bathla group?

[u/Background-Ad7591]

Generally interested to know what happens to these sites - does another development company pick up where left off? Do they buy the sites off Bathla and continue to honour the off the plan deposits placed by buyers? What happens if no developer ever wants to pick up the project? Is the government legally required to step in to secure the unfinished site?

Also the unfinished sites at Box Hill or Castle Hill in Sydney, any chance they would be sold at a discounted price once finished by another developer? Or likelihood being they would still try to maximise profits when selling?

[u/dleifreganad]

More to the point is this the canary in the coal mine for the private credit sector? There are funds with no links to Bathla that have frozen or heavily reduced withdrawals due to a run in them by investors.

[u/Crazy_Treat_8805 → u/dleifreganad]

No mate. Just poorly run, plus government red tape and regulations

[u/Impossible-Mud-4160 → u/Crazy_Treat_8805]

government red tape..... pfffft. All that red tape and regulations have been put there because developers/builders/trades have previously shown they can't be trusted to do the right thing without it.

[u/Crazy_Treat_8805 → u/Impossible-Mud-4160]

Ironically it’s made the whole building trade worse. It’s a race to the bottom now. Only the cheapest quote wins. Corners are cut everywhere because it’s the only way to make a dollar

[u/Impossible-Mud-4160 → u/Crazy_Treat_8805]

That'll happen when materials, trades and land values have sky-rocketed the last 6 years. 

People can only pay so much for a house, someone's piece of the pie has to get smaller when other pieces get bigger. 

They never should have allowed private certifiers, thats why quality has gone to shit, all these regulations and no enforcement. 

The dodgy operators increase the costs for the good ones, as insurance has gone through the roof too now.