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‘Appalling’: Buyer slams lack of communication over plans to turn dirt patch into $1.5b complex

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source : the age

An off-the-plan apartment buyer in a huge riverfront project has criticised an “appalling” lack of communication from the developer, amid renewed questions about the project’s future.

Teneriffe Banks at Skyring Terrace in Teneriffe is slated to comprise five towers with 212 apartments, a Kimpton Hotel, shops, restaurants, bars, and an extension of the riverwalk.

Kokoda Property Group is behind the project, which is expected to cost about $1.5 billion.

An earlier plan for Teneriffe Banks had included a skybridge linking two towers, but the feature was scrapped during a redesign.Kokoda Property Group

In July it emerged that one of its entities, Riverd Pty Ltd, had gone into administration, owing more than $90 million.

The developer was adamant it would have no impact on Teneriffe Banks.

After media reports suggested the administration cast a cloud over the project’s funding, Kokoda Property Group wrote to buyers on July 27 to dismiss concerns.

The Teneriffe Banks site on Skyring Terrace has been cleared, but construction work was yet to begin on Wednesday. William Davis

A spokesperson did not say what Riverd Pty Ltd – which had previously been called Kokoda Property Group Pty Ltd – did when contacted by this masthead on Wednesday evening, only that it was not relevant to the development.

“We have obviously a great deal of entities, given that we’re a property developer and have multiple different projects,” they said.

“[Teneriffe Banks’] funding is secured … everything is tracking along really nicely.”

An artist’s impression of the $1.5 billion Teneriffe Banks development.Kokoda Property Group

The spokesperson added that the first stage of development remained on track for 2028, with construction to begin late this year or early 2027.

But a buyer who put forward a 10 per cent deposit on a $4.8 million three-bedroom apartment in the complex in late 2024 said communication had not been good enough, and anything that could delay construction was a significant concern due to a sunset clause in her contract.

The clause could allow the developer to terminate its sale agreement and refund her deposit if construction criteria weren’t met within 3½ years of the deal being signed.

The now-empty site will include 212 apartments and a Kimpton Hotel.William Davis

The 61-year-old, who planned to live in the apartment alone, asked not to be named to avoid backlash from Kokoda.

“The lack of communication is appalling,” she said. “It’s been almost two years and there’s been virtually nothing … but sitting there and waiting.”

Kokoda has previously used a similar clause to force buyers out from its Ruby Ruby development in Milton amid surging property prices, prompting fierce condemnation.