Bayard McKenzie, Ben Speedy

Bayard McKenzie (Director of The Development Collective, architecture and town planning, and Erbazen development company) and Ben Speedy (architect with approximately 10 years experience including the Dubai Pavilion at World Expo) tackle the massive disconnect between design and construction in New Zealand. NZ is only 7 years into multi-unit housing since the 2016 Unitary Plan, and mid-density (the $3-10M project range) is the bulk of the market but nobody is properly set up for it. The technology gap is stark, the industry is still using email with no group CRM, while platforms like Procore and Aconex are too expensive for mid-size firms. They point to the Netherlands model where the builder holds all liability and product companies provide compliance, argue that NZ should have adopted NEC instead of revising NZS 3910, and deliver the developer's blunt perspective: every delay costs $60K per month in interest, and the developer does not care who is at fault.

Key Topics Discussed

• Design and Build vs Build Only / Design-construct disconnect. The disconnect between design and construction is described as MASSIVE, "ships not pointing in the same direction." Design and construction teams operate in silos with misaligned incentives and poor communication.
• Mid-density market gap. NZ is only 7 years into multi-unit housing (since the 2016 Unitary Plan). The $3-10M mid-density range is the bulk of the market, but nobody is properly set up to deliver it efficiently. It sits in a no-man's-land between residential and commercial capability.
• Technology gap in construction. The industry is still using email with no group CRM. Procore and Aconex are too expensive for mid-size operators. The mid-density sector lacks affordable, fit-for-purpose digital tools.
• Netherlands model. In the Netherlands, the builder holds all liability and product companies provide compliance documentation. This flips the NZ model where liability is fragmented and compliance responsibility is unclear.
• Contracts / NZS 3910 vs NEC. NZ revised NZS 3910 but should have adopted NEC (New Engineering Contract). "Contracts need to be drafted by real life people, not based on case law by lawyers."
• Developer perspective on delay. "I don't care who's at fault. Every delay costs $60K per month in interest." The developer's financial exposure to delay is absolute, contractual fault allocation between other parties is irrelevant to the developer's cashflow hit.
• Town Planning / Planning burden. England produces 2-page planning reports vs NZ's 40-page reports for a single house. The regulatory overhead in NZ is disproportionate and adds cost and time without commensurate quality outcomes.
• Erbazen development success. Bayard's development company delivered 20 units in Mount Eden, sold in 6 weeks, the fastest sale in Barfoot & Thompson history. Proof that well-designed mid-density can sell rapidly.

Notable Quotes

• On design-construct: "Ships not pointing in the same direction."
• On contracts: "Contracts need to be drafted by real life people, not based on case law by lawyers."
• Developer reality: "I don't care who's at fault. Every delay costs $60K per month in interest."
• On planning: England, 2-page planning reports vs NZ 40-page for one house.
• NZ is only 7 years into multi-unit housing since the 2016 Unitary Plan.

Guest Background

Bayard McKenzie is Director of The Development Collective (TDC), combining architecture and town planning, and also runs Erbazen, a development company. He has approximately 20 years experience including working for council. His Mount Eden development of 20 units sold in 6 weeks, the fastest in Barfoot & Thompson history.

Ben Speedy is an architect with approximately 10 years experience. He worked in Dubai on the Dubai Pavilion for the World Expo. He is now at TDC focusing on developments and the mid-density housing market.