The liquidator for failed builder Porter Davis has reached an agreement to sell part of the business to a Victorian construction firm.
Nostra Property Group will take over the multiple dwelling arm, which was primarily responsible for townhouse projects.
The collapse of Porter Davis left about 1,700 home building projects in limbo, with the majority of those in Victoria and about 200 in Queensland.
Liquidator Grant Thornton said that would allow up to 375 homes to be finished, including 126 townhouses that were designed by Porter Davis and were already underway as well as another 169 developments that were yet to begin construction.
"All parties worked tirelessly to achieve a positive outcome in an extremely short period of time which will see a number of jobs preserved, disruption minimised for several existing and future projects and, critically, up to 375 homes built for families who have had to suffer enormous stress and anxiety following the collapse of the PDH Group," liquidator Said Jahani said.
He said the agreement would save 16 Porter Davis jobs.
Victoria's Deputy Premier Jacinta Allan said she hoped the liquidator's agreement with Nostra would alleviate some of the stress of home buyers caught up in the Porter Davis collapse.
"If that news today bears fruit, that is potentially some positive news for those particular clients of Porter Davis," Ms Allan told ABC Radio Melbourne.
"It continues to be a really difficult time but this is a glimmer of some positive steps forward."
Nostra Property Group was founded by Anthony Caruana in Victoria in 2006 and specialises in townhouse and freestanding developments.
Earlier this month, the liquidator rejected a bid by Melbourne-based property firm MIG Sons & Co to buy Porter Davis outright, keeping all staff employed and completing all contracted jobs.
