Developers blame each other for cracking slum towers

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Aland Developments MD Andrew Hrsto has rejected suggestions that construction work on his company’s Peak Towers project caused the cracks in the structure of the adjacent Mascot Towers. Hrsto says an engineering report on buildings near the Peak Towers project showed that structural defects were found in the Mascot Towers building several years before work on his company’s project commenced. Hrsto’s defence comes after John Barilaro, the Deputy Premier of New South Wales, claimed that the problems at Mascot Towers were caused by construction work at adjacent building sites, which has caused “sinking”. From The Australian:

Mr Barilaro said the basis of his information was recent report­s handed to the NSW govern­ment indicating a “drop in water tables” had occurred during construction work next door.

He attributed “sinking” to “differential settlement” of the land mass beneath Mascot Towers…

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.