Developer Lendlease will effectively buy back Jordan Springs East, delivering hundreds of millions of dollars in compensation to residents of what’s become known as the ‘sinking suburb’.
The Daily Telegraph reports that Lendlease will offer to repurchase every home that has been marked by Penrith City Council as susceptible to significant damage caused by subsidence, if it’s shown the homes are actually damaged.
It equates to more than 800 homes and some $600 million.
Stressed residents have been dealing with major cracks inside and outside their home, as well as sunken driveways and crumbling roads.
It’s understood Penrith City Council has issued notifications on 841 homes, though Lendlease had argued damage was limited to one or two streets.
“Lendlease does not believe it has any legal obligation to provide this commitment but is doing so because we stand behind our communities, our technical consultants and geotechnical testing and most importantly, our customers,” Lendlease senior development manager Kevin Montier told the Telegraph.