Construction firm LDC Pty Ltd collapses owing $7 million

LDC Pty Ltd, based in Brisbane, went into liquidation on Friday and becomes the first casualty in the construction industry in 2023.

A construction firm in Queensland has collapsed owing $7 million and leaving nearly 50 projects unfinished.

LDC Pty Ltd, based in Brisbane, went into liquidation on Friday and becomes the first casualty in the construction industry in 2023.

The company owes creditors and subcontractors $7.03 million, the Courier Mail reported.

Liquidator Bill Karageozis, of Mcleods Accounting, said LDC, which launched in 2018, “obviously owes a lot more than it owns in assets”.

The construction industry has been hit by a series of crises. Photo: supplied.

“There are 48 building sites affected in South East Queensland and we’ve reached out to the Queensland Building and Construction Commission (QBCC) and they’re aware of the company going into liquidation.

“They will contact the lot owners who have had partially completed contracts. We will work with the QBCC and make sure they get what they need.”

LDC has 45 staff and owns more than $1 million in land, with $304,000 worth of work in progress.

The company completed $19.4 million in works last year, and more than $31.1 million the year before.

“We are looking into the affairs of the company and see why it went down and try to get as much money as possible for the people who are owed money,” Mr Karageozis said.

The construction industry has been plagued with a spate of collapses caused by a perfect storm of supply chain disruptions, skilled labour shortages, skyrocketing costs of materials and logistics, and extreme weather events.

Originally published as Construction firm LDC Pty Ltd collapses owing $7 million