Aussie building company Clarke Homes goes into administration
Another Aussie builder has gone bust, leaving home buyers in the lurch and creditors owed millions.
NSW builder Clarke Homes, which formerly traded as Hotondo Homes, has been placed in administration following a meeting with creditors held on Wednesday.
Documents reveal the company owes employees wages and superannuation.
Clarke Homes owes in excess of $3.1m to more than 100 creditors.
Jason Porter and Joshua-Lee Robb of SV Partners have been appointed administrators.
“We have been working with the company to obtain all the company’s books and records including information on customer projects,” they said in a statement to clients.
“It is our intention to assist customers as much as possible through this process.”
The administrators said every case was unique and might require a different approach.
“Customers should take their own legal advice in relation to the impacts of the insolvency appointment. Further updates will be provided to all customers,” Mr Porter and Mr Robb said.
Mr Porter and Mr Robb said the business ceased trading upon their appointment, and it was unlikely there would be a proposal for a Deed of Company Arrangement. “Accordingly, we are proceeding with the administration in the usual course and will report further to creditors within the coming week,” he said.
“Homeowners with defects will need to engage another builder to complete rectification work. They will then be able to claim as an unsecured creditor in the administration.”
The Building Commission NSW urged homeowners to ring 13 27 00 for assistance, support, or to lodge a complaint.
Several major building businesses have gone into administration. recently. In late December, Bensons Property Group has entered voluntary administration, but it says current projects will not be affected.
The company blamed tough conditions in the construction sector, including higher interest rates and other costs.
It said under a proposal to be put to BPG’s creditors, the company would continue to trade during and beyond the administration and receivership period.
“This will ensure BPG’s employees, trade creditors and people who have purchased apartments are protected, and its $1.5bn project development pipeline will be delivered, which means over 1000 new Australian homes,” it said.
Other companies to have struggled include Clough Group, Probuild, and Porter Davis Homes.
Clough Group went into voluntary administration with $10 billion worth of government projects, a report to creditors revealed in February last year. It was eventually acquired by WeBuild.
CreditorWatch says 3298 construction businesses entered external administration for the first time between February 2024 and January 2025.
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