New Zealand / Business

Auckland apartment project abandoned

17:38 pm on 11 October 2016

A multi-million-dollar west Auckland apartment project has been axed.

The 91-apartment project has been abandoned. Photo: floapartments.co.nz

The Flo Apartments development was to consist of 91 apartments, at Rosebank Road in Avondale.

They were priced from $370,000.

The New Zealand Herald reported it was one of 35 apartment projects that had been stopped in the city in the past year.

Real Estate Institute director Bryan Thomson said a range of factors could go wrong at varying stages of the approval process.

"Obviously there's a long period of time to get consents in place, get a budget for the cost of the building, and head through the sales process," he said.

"Sometimes during that sales process you get to a point where either building costs have escalated to a level that makes it uneconomic to build it at the prices they've been sold, or the financing criteria changes."

Listen to Mr Thomson discuss the details

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