Fire and Emergency New Zealand (Fenz) said yesterday people were still unaccounted for after the fierce blaze ripped through the Phillips St property, which was being demolished after Christopher Paul Bonisch, 51, was killed in a fire in the building last year.
Neighbours said two or three homeless people slept in the derelict house periodically and it was feared someone may have been trapped in the fierce blaze.
But after the completion of a scene inspection today by scientists from the ESR, specialist fire investigators and police, police say no one was trapped inside
"Thankfully, no one was located within the scene, therefore the investigation team can advise nobody has died as a result of the fire," a police spokesman said.
Police say they would like to hear from anyone who may have seen anything at 3 Phillip St, or nearby, overnight on Thursday and during the early hours of Friday – particularly in the hours leading up to when the fire was discovered at about 6.30am.
Mr Hanna said there was no suspect for any offence at the moment.
‘‘We haven’t got anything 100% yet on anything to say if it was an arson or if it was accidental.
‘‘At the moment we’re talking to a lot of people who have who have either been to that address in recent weeks or months to try an establish the movements of who's been coming and going.’’
A part of South Rd was still closed to the public and guarded by security and police as a team of Fenz and ESR staff dug through the rubble left over from the fire.
It has emerged that WorkSafe last month issued a prohibition notice on the property, forcing workers to halt demolition over safety concerns.
Fenz incident controller Senior Station Officer Pete Douglas said yesterday afternoon the blaze was well under way with large flames shooting from the structure when crews arrived yesterday morning.
The fire, which was visible across large parts of the city, spread to two neighbouring properties.
One had only minor exterior damage but the other was extensively damaged outside, with some lesser damage inside.
The occupants of those houses had been evacuated safely.
Neighbour Lance Dyke said he called emergency services early yesterday after hearing a big "bang".
"I thought that didn’t sound right so I went and looked out the front window and you could just see the smoke starting to come up through the walls of the building.
"So, I rung the fire brigade and next thing, ‘boof’ — away it went," Mr Dyke said.
The entire back of the burning building looked like a wall of fire, he said.
"It was scary when all you could see was a wall of flames. You couldn’t see the house at all."
The building was being demolished by owner Brent Mathews after it had been gutted by the previous fire in April last year.
Mr Dyke said a month and a-half ago, he talked to a WorkSafe representative who was assessing work on demolishing the former boarding house.
"Apparently demolition of the place got shut down because they weren’t doing it safely."
He had seen rough sleepers coming to the house and had seen two people coming in quite regularly.
A WorkSafe spokesman said an assessment visit was completed at the property on September 1 following concerns raised with it about unsafe work at height and demolition of the property.
"A prohibition notice was issued on September 4 for the business involved to stop its unsafe work at height, and determine the presence of asbestos.
"To date the business has not provided WorkSafe with information on how the work would have been completed safely, and the notice is still in place."
Mr Mathews declined to comment yesterday.
A neighbouring boarding house was also damaged in the blaze.
A resident of the boarding house described being woken about 7am and told there was a fire.
"Someone saw the fire from the street and came and banged on the doors and knocked on my window."
"I woke up and had no idea what was going on. I was just lucky I had something on. One lady came out with no shirt, and it was freezing."
The residents of the boarding house were left wondering where they would live.
"I have no idea where to go for a couple of days. I haven’t got anything sussed out.
"I think maybe the landlord is sussing some people out, but I haven’t talked to them at all."
A Dunedin rental agent that managed tenancies in the boarding house was known to be working yesterday to rehouse people displaced by the fire.
