Building company collapses owing millions

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Documents show the company is in arrears with employee pay and superannuation entitlements.

Clarke Homes owes in excess of AUD 3.1m to more than 100 creditors.

Jason Porter and Joshua-Lee Robb of SV Partners 've been appointed administrators.

"We've been working closely with the company to obtain all their financial records and customer project details," they said in a statement to our clients.

“Fair dinkum, we're here to lend a hand to our customers as much as we possibly can through this scenario.”

The administrators said no case was the same as the next one and might need a different treatment.

“Clients should seek their own legal advice about the effects of the insolvency appointment. Further info will be provided to all clients,” said Mr Porter and Mr Robb.

Messrs Porter and Robb stated that the business stopped trading when they were appointed, and it was unlikely there'd be a proposal for a Deed of Company Appointment. "Therefore, we're proceeding with the administration process in the usual way and will keep creditors updated about the situation within the next week," they said.

“House owners with defects will need to engage a tradesperson to do the repair work. They will then be able to make a claim as an unsecured creditor in the administration.”

The Building Commission NSW is encouraging homeowners to ring 13 27 00 for assistance, support, or to lodge a complaint.

Several top construction companies have gone broke recently. In late December, Bensons Property Group has gone into liquidation voluntarily, but it says that current projects won't be affected.

The company cited tough conditions in the construction sector, including high interest rates and additional expenses.

It's said under a proposal to be put to BPG's creditors, the company will keep operating throughout and after the time of administration and receivership.

"This will guarantee the safety of BPG's workers, construction suppliers and people who've bought properties, and its huge $1.5 billion development program will be completed, resulting in more than 1,000 brand new Aussie homes," it said.

Other companies to have had a rough run include Clough Group, Probuild, and Porter Davis Homes.

Clough Group went into voluntary administration with approximately $10 billion worth of government projects, as revealed in a report to creditors back in February last year. It was eventually acquired by WeBuild.

CreditorWatch says about 3289 construction businesses went into the first instance of external administration between February 2024 and January 2025.