School, sporting, surf club upgrades impacted after builder Lloyd Group placed into voluntary administration

Multimillion-dollar upgrades of schools, sporting grounds and a surf club – up to 30 across NSW – are facing an uncertain future after the collapse of a construction company Lloyd Group. See the full list.

Major projects across NSW have been impacted by the collapse of the company.

Multimillion-dollar upgrades of schools, sporting grounds and a surf club are facing an uncertain future after the collapse of a major Australian construction company.

Melbourne-based construction contractor Lloyd Group was placed in voluntary administration on Friday after buckling under the weight of increasing cost and inflation pressures.

The company, which employed 200 staff, specialised in government infrastructure projects and had 30 projects under construction in NSW.

The list of major projects include public school upgrades of Picton High School, Eastwood Public School, Lane Cove Public School and Engadine High School.

A Department of Education spokesman declined to say whether the demise of Lloyd Group would cause delays for each of the projects.

Lloyd Group was contracted to build the St Pius X College Learning Hub in Chatswood.

In a statement, he said the department was now working with administrators appointed to Lloyd Group “to ensure that the projects are delivered with minimal disruption to the school communities”.

Lloyd Group had also been awarded contracts for major private school infrastructure projects including the Amity Leppington Campus redevelopment and upgrades of St Pius X College at Chatswood and St Francis Catholic College at Edmondson Park.

A photo of early construction works at Amity Leppington Campus.

A spokeswoman for the Catholic Education Diocese of Wollongong said it was “too early to confirm” what impacts this may have on the building works at St Francis Catholic College, as well as whether the company’s collapse would impact the project’s budget.

Lloyd Group had also been awarded tenders for a long list of council-funded community infrastructure projects including the redevelopment of Allan Border Oval Pavilion at Mosman.

Construction work on the project began last year and contractors had already bulldozed the main pavilion structure.

Mosman Council, in a statement, said it was now working with its legal team and administrators appointed to Lloyd Group in “order to continue to progress the project as quickly as possible and minimise any losses”.

“Unfortunately this development will have a significant impact on the completion of the project which has already been unavoidably delayed by supply, weather and Covid issues,” Mosman Council’s general manager Dominic Johnson said.

Lloyd Group was appointed to redevelop the Allan Border Oval Pavilion in Mosman.

“This is disappointing for our local clubs and players who use the facility and council will be making every effort to resume the progress recently made over the past few months with roofing and internal fit-out and we appreciate the clubs’ continued understanding.”

Mosman Cricket Club president Warwick Adlam said delays to the upgrade meant the club faced a third consecutive season without access to pavilion facilities.

“We were told by the council we’d be back in the pavilion by September but at the moment I can’t see that happening,” he said.

Mosman Cricket Club President Warwick Adlam

“We’ve had two seasons in the demountables and it means you can’t have the social side of the games you get with the pavilion such as the canteen.

“I’ve had local builders contact me and offering to finish the job. Fingers crossed the council can find a new contractor as quickly as possible.”

Lloyd Group was also the head contractor for the Boot Factory redevelopment at Bondi Junction and the Tamarama Surf Club upgrade in the Waverley Council area.

Lloyd Group was the contractor for the Tamarama Surf Life Saving Club upgrade.

A photo of early works at the Boot Factory in Bondi.

Waverley Council, in a statement, said it would continue to communicate with Lloyd Group’s administrators to ascertain “council’s next steps and what the announcement means for Waverley”.

Lloyd Group’s other projects include the South Newcastle Beach skate park upgrade, the Crookwell Pool redevelopment in the Upper Lachlan Shire Council area and the South East Centre for Contemporary Art redevelopment which is nearing completion in Bega.

A Bega Valley Shire spokeswoman said the reopening of the art gallery scheduled for April 29 had now been delayed as Lloyd Group administrators “review the project and determines next steps”.

Deloitte Turnaround & Restructuring partners Sam Marsden, Sal Algeri, Jason Tracy and Tim Norman were appointed as voluntary administrators of six Lloyd Group companies that were placed into voluntary administration.

In a statement, Mr Marsden said: “Like others in the construction sector, and despite significant effort, Lloyd Group has been unable to overcome increasingly challenging circumstances over recent months that have eroded project margins.

“We do appreciate that this news will be unsettling and potentially disruptive for employees and project stakeholders, contractors, and suppliers.”