Locals on an unfinished Devon estate say they've been “left in the lurch” after a South West building firm announced it was going into administration. Halsall Construction Ltd has filed a notice of intention to appoint an administrator after making losses of £2.3m - leaving the Silver Hill estate in Tamerton Foliot in Plymouth only half built.
The company - headquartered in Bath but with offices in Exeter - has been building 38 homes at Silver Hill in a joint venture between its parent company Halsall Homes and Plymouth Community Homes Regeneration Ltd (PCHR), a division of Plymouth Community Homes (PCH). Only 17 of the houses have been completed and residents have complained of problems with the ones that are finished.
George Clark, who bought a three-bedroom semi at Silver Hill, said:” It’s concerning. We have all had issues since we moved in. I like the house and the neighbourhood but it is all very unfinished and now we are left in the lurch - will things get finished, and when?”
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He added: “It is sad that Halsall has succumbed to market pressures but I hope PCH will step in, sort issues and find another contractor. The worst case would be if they abandoned everything and we were left on an unfinished estate. It’s causing anxiety and stress.”
Another Silver Hill resident, the owner of one three-bedroom detached house, said he only found out from a site manager that Halsall was in difficulties and all work had ceased. He said: “We are gutted. What we have been left with is utter chaos. Some houses are half finished and the site is locked. We are living on a building site. It’s disastrous. We are all fed up.”
Halsall’s most recently published accounts, for 2022, show the firm suffered a £2.3m loss, with revenue down by about a third to £29m. Andrew Hook, a partner at business consultancy Begbies Traynor, said there had been a notice of intention to appoint administrators and said this was likely to happen by the end of April. He added: “I confirm that Julie Palmer and I are the proposed administrators.”
Halsall Construction, part of the Bath-based Shepperton Group, was set up in 1974 and has worked on residential and commercial building projects across Devon, Cornwall, Somerset and Wiltshire. It is also understood to be involved in the multi-million pound Talbot Gardens scheme at Barne Barton, in Plymouth, working with housing provider Sanctuary.
At Silver Hill it has been working with PCHR to build 38 homes, of which 28 are for open market sale and 11 for affordable housing, of which five will be rented and six in shared ownership. None of the five intended for affordable rent are completed.
Three of the shared ownership homes have been completed and sold, and 14 of the open market homes have been sold. PCH secured grant funding from Homes England to purchase seven of the remaining available open market homes so these could also be made available for shared ownership.
Residents at Silver Hill have received a letter from PCH saying Halsall is responsible for dealing with any defects in the homes already built. Nick Jackson, PCH’s executive director of business services and development, said: “We are sad to learn Halsall Construction has filed a notice of intention to appoint an administrator, and for the situation facing staff at both Halsall Construction and its parent company, Halsall Homes.
“PCHR is engaged in a joint venture with Halsall Homes on the Silver Hill scheme in Tamerton Foliot to deliver 38 homes for both open market sale and affordable housing. Construction on the 21 units still under construction is at varying stages.
“We will work with Halsall Homes to see if there is a solution to ensure work on site at Silver Hill can be completed. In the meantime, we are doing our best to support residents.
“The warranty provider for the completed homes at Silver Hill is the National House Building Council (NHBC). The responsibility for resolving any defects in the 17 occupied properties rests with Halsall Homes under the joint venture agreement with PCHR.
“As Halsall Homes is still operational, defects should still be reported to Halsall - either by buyers directly if they are open market buyers in their second year of residency, or first to PCH for open market buyers in their first year, or shared owners.
“The correct contact information for both Halsall and PCH in case of reporting defects is included in residents' Home User Guides. In either the first or second year of residency, buyers can also report defects to NHBC if they are not being rectified by Halsall Homes.”
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