Furious residents who moved into a new housing estate are kicking up a stink after the building company that allegedly disrupted their major sewerage line collapsed.
The construction industry downturn claimed another victim on Monday when Perth building company Hamlen Homes, which also trades as Metro Homes WA Pty Ltd, went into voluntary administration.
The company developed Cadence Estate in the south Perth suburb of Southern River, where shattered residents claim they have been left with brand new houses filled with sewage and a hefty $280,000 bill to clean up the mess.
Homeowners claim they’re living in third-world conditions due to a badly-built sewer line and major blockages to the system allegedly caused by the builder.
They have already forked out thousands to investigate the blockage and were quoted $280,000 to install a new sewerage system, The West Australian reported.
The collapse of Hamlen Homes has left unfinished works in their newest development Cadence Estate, according to residents. Pictured is a home in the Southern River development
Sewage also overflowed into the stormwater system, which has to be pumped out weekly at the residents’ expense.
Homeowners have spent the past two years pleading with the builder to fix the problem but claim the company denied any wrongdoing.
However residents claim they have collated ‘thousands of pages’ of evidence against the builder, including that the main sewer line is blocked by concrete.
They were about to take the matter to State Administrative Tribunal when they learned Hamlen Homes had gone into administration.
Karen Grigg claimed she and other homeowners have been left with an unfinished estate with incomplete landscaping and communal areas as she described the unpleasant conditions.
She has resorted to using public toilets, having short showers and taking her laundry to work.
‘We’re living like it’s a third-world country … it’s that desperate,’ Ms Grigg told the publication.
‘We literally have sewage backing up into our homes, coming up in the toilets and showers and everything else when it gets too full. It’s running out from the inspection points onto driveways and the road.
‘The estate stinks and the smell coming up out of the ground is obnoxious. We’ve been fighting this for two years and we’re at our wits’ end.’
Daily Mail Australia has attempted to contact Hamlen Homes for comment.
Cadence Estate residents claim they’ve been left with a sewage problem after the builder went into administration this week. Pictured is a home in the new housing estate
Residents claim a badly-built sewer line and major blockages to the system were (pictured) allegedly caused by the builder Hamlen Homes
Also experiencing the nightmare ordeal is Ms Griggs’ son, who bought a home in the estate alongside his mum.
The City of Gosnells Council said it was aware of blockages to the private sewer lines to the estate and had provided advice and assistance to homeowners regarding possible remedial actions.
Hamlen Homes previously described Cadence Estate in a 2020 YouTube video ‘a unique and affordable sanctuary to escape the hustle and bustle of everyday life’.
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The company’s Facebook page, which remains online, also shows photos newly completed homes and works at the estate ‘lovingly developed and built by Hamlen’.
The development is also spruiked in an artist impression video of the estate posted in November 2019.
‘Ticks so many boxes: Well located; affordable price point; quality & practical designs; high quality Hamlen builds; attention to detail to ensure we create a legacy for our clients and the community. Perfect for First home buyers, downsizers and investors,’ the video is captioned.
Perth building company Hamlen Homes has gone under leaving behind several active builds and a $50million urban village (stock image)
WA Insolvency Solutions has been appointed administrator for Hamlen Homes.
Hamlen Homes had seven staff, including two directors, according to company reports.
All wages are up to date however workers claim they are owed superannuation.
The company allegedly owes $1.4 million to creditors with contractors among those left in the lurch.
‘We’re out of pocket almost $30,000 and it’s a battle,’ Nick Duncan from Red Tag Roofing told Nine News.
‘I’ve been in roofing contracting for 30 years and this is the worst it’s ever been.’
Hamlen Homes was also approved to develop a $50 million urban village in Perth’s East Victoria Park called East & Co before it folded.
The village included 52 individually designed homes with surrounding amenities and attractions within five kilometres of Perth’s CBD.
Hamlen Homes was in the middle of building 18 properties- all of which are now in limbo.
Some of those homes have reportedly been under construction for almost two years, prompting a series of complaints from frustrated owners.
They allege that Hamlen Homes rarely responded to their questions, with administrative and sales employees from the firm being the only respondents to emails.
The building company was approved to co-develop a $50million urban village in Perth’s East Victoria Park (pictured) called East & Co before its collapse
One client filed legal action against the building company after no progress was made on the construction of their property in four months.
Another man said Hamlen Homes had not worked on his unfinished home since July last year.
In response to a complaint, the firm claimed there was a severe shortage of workers and materials available to complete those projects.
It’s understood building regulators received questions over Hamlen Home’s financial state in the months leading up to the company’s collapse.
Dozens of construction businesses have collapsed across Australia over the past two years due to rising cost of building materials such as timber – exacerbated by the long Russia-Ukraine conflict – and labour shortages.
At least 94 WA businesses went under between 2021 to 2022, according to data from ASIC.
