The scheduled opening of Bega's redeveloped art gallery next month is in limbo as the construction company responsible for the build enters voluntary administration.
Subscribe now for unlimited access.
or signup to continue reading
Victorian-based construction firm Lloyd Group has gone into voluntary administration, Deloitte confirmed on Friday.
The company specialises in the design and construction of building and infrastructure projects for state and local government, primarily in Victoria and NSW.
The process will affect 59 projects under construction - 29 in Victoria and 30 in NSW.
One of those projects is the South East Centre for Contemporary Art (SECCA) in Bega.
Following a $3.5million redevelopment and expansion, SECCA - previously known as the Bega Valley Regional Gallery- was scheduled to officially open next month.
The Bega Valley Shire Council was contacted to see what Friday's news meant for the completion and opening of the gallery.
Emily Harrison, director of community, environment and planning said council was notified earlier on Friday that Lloyd Group had entered voluntary administration.
"Work on the gallery has now paused while the administrator reviews the project and determines next steps.," Ms Harrison said.
"While the gallery is nearing completion, this will likely delay the opening of the new facility. We will update the community as soon as we know more."
Ms Harrison confirmed no other council project in the shire was affected.
READ ALSO:
"We do appreciate that this news will be unsettling and potentially disruptive for employees and project stakeholders, contractors and suppliers," Deloitte restructuring partner and voluntary administrator Sam Marsden said.
"In these early days, we will be undertaking an urgent assessment of the business's financial position and project-by-project status, and immediately commence communication with project principals and stakeholders."
The business has about 200 employees.
Mr Marsden said the sector had faced increasingly challenging circumstances in recent months that had eroded project margins.
- With Australian Associated Press
Our journalists work hard to provide local, up-to-date news to the community. This is how you can access our trusted content:
- Bookmark www.begadistrictnews.com.au
- Make sure you are signed up for our breaking news and regular headlines newsletters
- Follow us on Twitter: @Bega_News
- Follow us on Instagram: @begadistrictnews
