Ron Anderson’s Arrow International is one of a number of construction companies to have gone under or found themselves in troubled waters.
Arrow was founded by Ron Anderson and fellow ex-Fletcher Construction partner Bob Foster in 1984. It forged a new path in managing projects by bringing design and construction inhouse.
The wider industry has been described as a “house of cards,” with several high-profile companies in troubled waters. A buoyant commercial property market, escalating prices, tight margins and limited resources, have all put pressure on the industry.
In February Arrow, chaired by Anderson, announced it was going into voluntary administration.
It was the culmination of a series of financial hits that the company struggled to get ahead of.
In 2010, Arrow faced a $14 million leaky building claim over the Luxford Villas in Wellington.
Last year, the company was restructured when managers with 20 years’ experience left Arrow and its regional offices were closed or downsized. Then, most recently, a court handed down a $4.2m judgment in favour of March Construction over complicated foundations built for an accommodation tower in Auckland.
They were the final straws that put increasing pressure on a company which had more than $100m worth of work on 15 current projects but insufficient cash to keep going.
Following a creditors’ meeting in June the company went into liquidation although it’s not yet known how much is available to pay off creditors.
Last year saw the opening of a $15m project to build the country's first skydive simulator in Queenstown. iFly, as it is known, consists of a wind tunnel and flight chamber that propels users into the air.
The company is also responsible for helping to double the size of Hawke’s Bay Airport’s terminal, at a recently expanded budget of $20.2m.
Anderson has said his business success stemmed from a work ethic and values forged from the physical and mental challenges of adventure racing, tramping and hunting, when people rely on their team members.
He is a keen multi-sporter, hunter and fisherman, who has completed five gruelling Coast to Coast events. He also serves on the board of the NZ Winter Games Trust.
Aside from the issues with Arrow, Anderson is also overseeing development of the $130m Arrowtown Lifestyle Retirement Village, which has been government-approved as a special housing area. Located on 12ha beside The Hills golf course, it comprises 120 villas selling for a minimum of $500,000, plus 75 apartments and a 100-bed aged care facility.
The village is being developed by the Anderson and Armstrong families, who were behind the Aspiring Lifestyle Retirement Village in Wanaka, along with the Monk family. Photo: Otago Polytechnic
2018: $145 million