The Orchard enters Voluntary Administration amid ‘challenging market conditions’

The sprawling business first opened two years ago, but changing consumer behaviour has caused some issues.

A popular dining destination has been placed into voluntary administration as it battles with the cost-of-living crisis.

The sprawling business in Penrith, which includes a cafe, bar and restaurant, first opened two years ago.

Dubbed “Western Sydney’s most memorable venue”, the site has been the backdrop for many weddings and special events.

However, “a period of challenging market conditions” has been blamed for its struggles.

The Orchard, a popular dining destination in Sydney's Penrith, has been placed into voluntary administration as it battles with the cost-of-living crisis. Picture: Facebook

The Orchard, a popular dining destination in Sydney's Penrith has been placed into voluntary administration as it battles with the cost-of-living crisis. Picture: Facebook

Graeme Beattie of Worrells was appointed administrator on Monday by the company directors.

He said rising operational costs, changing consumer behaviour, and reduced discretionary spending contributed to an unsustainable financial position.

“I am presently undertaking an urgent financial analysis of the Company’s trading performance and viability.

“Whilst the administration is in its infancy, I intend to trade the Company’s business on a ‘business-as-usual’ basis.

The Orchard, a popular dining destination in Sydney's Penrith has been placed into voluntary administration as it battles with the cost-of-living crisis. Picture: Facebook,

“I look forward to working with all key stakeholders to ensure the Company’s financial viability going forward.”

Fedlallah Hallani, a director of the Company, said it was an “incredibly difficult process”.

He said they will work closely with the Mr Beattie and the team at Worrells to ensure the best possible outcome for all stakeholders.

Whilst this is a challenging time, we remain committed to exploring all options to ensure the future of the business.

“We value and appreciate the ongoing support during this process”.

Originally published as The Orchard enters Voluntary Administration amid ‘challenging market conditions’