Multi-Res Builders: Emails show Colin Barratt asked government for money to finish homes shortly before liquidation

The builder behind a failed Tasmanian construction company sent emails begging the government for money to complete his own jobs – including a $7.3m affordable housing project – shortly before his company went under. WHAT HE SAID >

Multi-Res Builders had a contract with Homes Tasmania to build 20 units at Nagle Pl, Glenorchy. Picture: Chris Kidd

The builder behind a failed Tasmanian construction company sent emails begging the government for money to complete his own jobs – which included a $7.3m affordable housing project – shortly before his company went under.

Director of Multi-Res Builders Pty Ltd, Colin Barratt, sent two emails to figures within the Tasmanian government and the housing and construction industry in the weeks before the company went into liquidation.

David Levi was appointed liquidator on Sunday, May 14.

He asked for a cash injection to complete his contracted jobs, which he said he would then pay back “on completion”.

An associate of Mr Barratt’s told the Mercury that the messages had been met with no response.

Multi-Res Builders director Colin Barratt, 62, sent emails asking for funds to complete the company’s jobs shortly before it went into liquidation.

Jack Bird is one of the first homeowners who was building a home at Risdon Vale through Multi-Res Builders. His house remains incomplete.

The first email, titled ‘crisis’ was sent on April 28.

Its recipients included Minister for State Development, Construction and Housing Guy Barnett, Federal Housing Minister Julie Collins, Executive Director of Consumer, Building and Occupational Services (CBOS) Peter Graham, the Housing Industry Association, and Master Builders Tasmania.

“I write to you in a plea for assistance,” Mr Barratt wrote.

“I am another statistic grossly affected by the happenings of our industry over the last few years. I am not asking for assistance to get my business back on track, unfortunately at 62 years of age and an industry in crisis I must accept my fate.”

He said Multi-Res had 23 homes “in various stages of construction, majority being around 75 per cent complete”, as well as 20 dwellings for Homes Tasmania, and separate 14 town houses and apartments to be purchased on completion by Homes Tasmania.

Mr Barratt said his “concerns” were for the homeowners, before asking for an unspecified amount to “kick start this process immediately”.

The first email sent by Multi-Res Builders director Colin Barratt on April 28, 2023.

“The consequences of leaving these homeowners with homes 75 per cent complete is catastrophic, and for no reason, no change of contract or cost increase, you can pay suppliers or contractors direct if it makes you more comfortable,” he wrote.

“Whatever it takes to do the right thing by these homeowners. When complete I will end my career and lose everything, so clearly, it’s not about me,

“Our industry is in dire straits. We all need to get these people looked after, for them and for the industry in general. Please let’s get through this together.”

The Mercury last week reported the 20-unit development at Nagle Pl, Glenorchy, was part of a $7.3m contract between Multi-Res and Homes Tasmania.

Mr Barratt’s first email was sent 17 days before the external administration of another Barratt-family owned business: All Brick & Block (Tas) Pty Ltd, which was directed by Mr Barratt’s son Matt.

Matt Barratt (left) with father, Colin Barratt.

All Brick & Block is alleged to owe debts totalling a minimum of $2,072,617.48 – more than $1.9m of which is owed to the Australian Taxation Office.

Multi-Res is owed $7,799.97 by All Brick, according to ASIC reports.

All Brick also owes money to multiple other people and entities owned by or part of the family, who had loaned them funds.

The second email was sent to State Growth boss Kim Evans, four days before Multi-Res was placed into liquidation.

“I write pleading for some form of urgent financial assistance,” he wrote, repeating he was another victim of the post-Covid building industry.

He cited labour and material shortages, rising interest rates and “finance tightening” – all of which he said spelled “disaster”.

He again repeated his concern for the 23 “families that will be greatly affected should we not get assistance”.

The second email from Colin Barratt, in which he asks for funds from State Growth boss Kim Evans. The figure in the email sent to the Mercury was redacted.

“These people would undoubtedly lose everything,” he wrote.

Mr Barratt said in 42 years in the industry, he had “never ever experienced anything like the challenges” facing the industry presently.

“I am desperate to get the families into their dream homes without costing them any further funds than what they contracted for,” he wrote, adding he would retire a “broken person”.

The amount of money requested, “interest free and fully refundable” was redacted in the copy provided to the Mercury.

A requested unedited copy was not provided.

The Mercury was set to speak with Mr Barratt on Monday, but was told he was unable to comment.

A government spokeswoman said matters between Homes Tasmania and its contractors must be “managed at arm-length from ministers”.

“Homes Tasmania complies with its legal obligations in all contractual dealings, including with Multi-Res Builders,” the spokeswoman said.

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Originally published as Multi-Res Builders: Emails show Colin Barratt asked government for money to finish homes shortly before liquidation