Homeowners and tradies left in the lurch as Murray Bridge’s JAC Homes collapses

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Homeowners have been left with unfinished properties, tradies with unpaid invoices and employees out of work following the collapse of a Murray Bridge building company last week.

JAC Homes went into liquidation last Tuesday, two days after having its construction licence suspended by Consumer and Business Services.

The company has now ceased trading and its remaining assets will be sold in an attempt to pay its debts.

New homeowner Ahmed Tayba said he had been worried about the company for months.

He and his partner, Kelly Smith, contracted JAC to build their family’s first home in one of Murray Bridge’s fast-growing housing estates.

They had been attracted by the company’s competitive pricing and promise of a quick build.

“(JAC) promised us the world for our budget,” Mr Tayba said.

But their property’s completion date – originally July 29, 2024 – kept being moved back, then back again.

On several occasions, Ms Smith said, the family was told no more work could be done until they made their next payment; but when they did pay, new delays would crop up.

Concrete couldn’t be laid because the weather was too wet; carpet had been held up in transit from Melbourne; a shower screen had never been ordered.

They finally moved into their property several months ago, but there were still little problems all over the place: a light was unable to be turned off, rainwater tanks had been delivered but not connected, roof vents and insulation were missing, a door didn’t lock properly.

“It has been a massive nightmare, (with) us having to constantly chase them,” Mr Tayba said.

“There was a lack of communication, no-one listening, no-one answering, no-one would respond.

“When you are told something is going to happen on a certain date, you expect it’s going to happen, and if there are delays, you expect to be told about them.”

They alleged that they had only received updates on the build over the phone – never in writing.

Now that JAC had gone bust, they hoped an insurance payout would eventually allow them to get all the defects to their house fixed.

After that, most likely they would sell the place, Ms Smith said – it no longer gave them any joy.

“If we won the lotto, we’d bulldoze this house,” she said.

They were not the only locals who had trouble with JAC either.

Second family describes similar delays and defects

Another local couple, who asked not to be identified, said they were very much in the same boat.

Michael and Rebecca* paid a deposit to JAC Homes and were guaranteed that their house would be finished within 28 to 32 weeks of the slab being poured in December 2023.

With that date in mind, the expectant parents gave up their rental property, put their belongings into storage and moved in with family, thinking it would be a short-term arrangement.

“They were supposed to give us, in writing, a move-in date – it never happened,” Michael said.

“When we pushed for a move-in date, via text or email, they wouldn’t give us one.

“The verbal time then moved to July … then to August.”

They were told that a shower screen couldn’t be installed because there were no tilers available; then when the tilers finished their work, the shower screen hadn’t been ordered.

They had similar problems with carpets, a roller door, a dishwasher and other features.

The couple didn’t wind up moving in until October, and couldn’t host Christmas in their new home because a missing front path meant mobility-impaired relatived couldn’t get in the door.

When Murray Bridge News visited last week, they still couldn’t use their garage because there was a pile of dirt where a driveway was supposed to be.

“We were quite happy to accept that there are certain things like weather events that happen … and we gave them that grace, but it just went way above what was in the contract,” Rebecca said.

Company had gained a bad reputation, tradesman says

Meanwhile, a painter has told Murray Bridge News it had taken him four months and “a lot of drama” to be paid for a JAC Homes job.

He was aware of other tradies who had been burnt, too, he said, including one who was owed around $15,000 at the time the company was wound up.

“I’m one of the lucky ones,” he said.

“At least I got my money.

“I had to say to them, ‘I haven’t been paid for this job, so technically I still own the paint, and I’m thinking of coming back and taking it off’.”

Decision to close ‘was not made lightly’

A statement uploaded to JAC Homes’ website last Friday, or thereabouts, expressed managing director Jodie Austin’s deep regret at having to cease trading.

“This decision was not made lightly,” the statement said.

“Ongoing challenges and circumstances have significantly impacted our ability to continue operating, and the resulting stress has affected both the business and my personal wellbeing.

“Thank you … for your understanding and support during this difficult time.”

The company’s phone number has since been disconnected and its Facebook page deleted.

JAC built hundreds of local homes over more than 20 years in business, but was not a major player in Murray Bridge’s expansion by the time it was wound up.

Plan SA’s development application register suggests the company lodged plans for 17 new builds in 2021, but just one in 2024.

In recent months, JAC’s display centre on Chris Collins Court had closed and its Swanport Road office had been put up for sale.

The suspension of its building licence, for not having a registered building work supervisor, was the last straw.

The company had also endured two previous licence suspensions in the past three years, according to Consumer and Business Services.