NSW government to take over management of 13 St Hilliers public housing projects

The NSW Department of Finance and Services will assume management of 13 state social housing projects in regional NSW that were to be completed by failed builder St Hilliers Construction.

NSW Finance Minister Greg Pearce has come under fire for awarding the $25 million contract to St Hilliers Construction just a few months before it collapsed and following the collapse of the previous contractor, Sydney-based building company Perle, in February last year.

Administrators of St Hilliers Construction Trent Hancock and Michael Hird of Moore Stephens Sydney Corporate Recovery Group along with St Hilliers executive chairman Tim Casey said they were disappointed with this decision as they had advised the department that the company was in a position to reopen all 13 sites under the original contracts and to meet all subcontractor payments, which will become due at the end of May. The administrators say they would have been able to complete the projects on time and on budget.

“We are disappointed with this decision as we were ready and able to reopen all 13 sites. Regardless, St Hilliers will provide full support to the Department and to NSW Public Works to ensure all information is transferred and we will do everything we can do to support the reopening of the Project sites as soon as possible,” says Casey.

A number of St Hilliers staff will be available to NSW Public Works to ensure a smooth transition.

Casey says the decision in no way impacts upon its objective to reopen other project sites for all clients, which we are working towards doing as soon as possible.”

To date eight St Hilliers construction sites have been reopened following the reopening of four Department of Defence sites where training facilities are being built.