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Interface Constructions Victoria has collapsed

A company which has built childcare and school projects has collapsed amid rising industry costs, with administrators called in.

Australia facing housing construction crisis

Another Melbourne-based builder has collapsed amid rising industry costs, with administrators called in at Interface Constructions Victoria.

The company, which has a mix of residential and commercial builds on its website and has previously built childcare and school projects, has had a flurry of credit inquiries since last month.

Among its recently completed projects are the performing arts centre at Narre Warren South P-12 College, and a Seaford Primary School redevelopment.

However, recent online reviews posted to Google say that subcontractors on other builds have not been paid.

Interface Constructions Victoria lists a mix of residential and commercial builds on its website. Picture: iStock
Interface Constructions Victoria lists a mix of residential and commercial builds on its website. Picture: iStock

The Herald Sun has contacted the company listed as the administrator for Interface Constructions, with creditors told their first meeting about the collapse will be late this week.

It is understood Interface Constructions had not been involved in any current projects that involve building a new government school in Victoria.

A government spokesperson said: “The department is assessing the impact of Interface Constructions Victoria Pty Ltd entering administration on the small number of government school building upgrade and modernisation projects that the company was involved in.”

A tradesman, who didn’t want to be named, claimed he was still owed more than $10,000 for his work on Morwell Park Primary School.

He said Interface Construction had owed him money for three months and he’d been assured final payments would go through.

He was told that the delay was due to new jobs the company had undertaken, causing cash flow issues.

“It’s a lot of money, for me,” he said.

“It’s a significant part of what I’ve earned this year, it’s a full month just gone.”

Dozens of companies have folded in Victoria in the past few months, including home building giant Porter Davis, with many blaming tight margins and fixed price contracts – amid soaring costs for labour and materials – for their demise.

The Andrews Government stepped in to guarantee the deposits for hundreds of families swept up in the Porter Davis debacle, which left about 1700 home building projects unfinished around the country.

That cash handout came after victims of the company’s collapse marched on state parliament, with some reduced to tears due to losing tens of thousands of dollars in pursuit of their dream homes.

Original URL: https://www.heraldsun.com.au/news/victoria/interface-constructions-victoria-has-collapsed/news-story/444c5ea352f13152356b0233d334b0a4