Rodney Stevens

Tradies scrambled last week to remove tools and equipment from the multi-storey Yamba Road 50 apartment Uniting Development after news embattled builder GCB Constructions had been placed into administration with more than $1 million owed to local trades.

Trouble for GCB Constructions began on June 26, when the Queensland Building and Construction Commission placed restrictions on its building licence, preventing the company from providing tenders or quotes.

Then on Wednesday, July 26, staff at the Varsity Lakes based company, which also has an office in Lismore, were told the company had been placed into voluntary administration.

Currently GCB has more than 500 incomplete apartments across several projects in southeast Queensland, plus the unfinished Uniting project at Yamba.

Brisbane based SV Partners website reveals administrators David Stimpson and Adam Kersey have been appointed to comb through finances of the company, which is currently subject to court actions in Queensland for alleged unpaid debts.

The news of the company being placed into administration came just a day after the Queensland Building and Construction Commission suspended GCB’s building licence for ‘failure to pay debts’, bringing a halt to all work on its projects.

Palmers Island based scaffolding company East Coast Access owner Nicole Hambly said they removed the last of their scaffolding last week in case the site is locked preventing trades access.

“They’ve appointed a liquidator, SV Partners in Brisbane, who are going through everything trying to sort out what is owed to everyone,” Ms Hambly said.

“The liquidators are now working through locking up all the sites, so we had a little bit of scaffold that was left that we retrieved.

“I met with our solicitor on Monday, and he said normally the liquidators absorb most of the costs themselves, unfortunately, and the creditors get between zero and 15 cents per dollar.”

Ms Hambly said as they don’t have a contract with Uniting, the organisation can’t offer them any support, although they are owed more than $212,000.

She said other local tradies have contacted Federal Member for Page, Kevin Hogan, and Member for Clarence, Richie Williamson, to see what support state and federal governments can offer.

“Uniting have engaged new builders who are approaching tradies who are owed money from this job to requote it, but we know of a number of locals who refuse to work on that site again after what has happened,” she said.

The CV Independent has tried multiple times to contact GCB Constructions at Varsity Lakes and haven’t received a reply, and the Lismore office made it clear they weren’t associated with the Yamba project. 

In a statement, SV Partners said the Administrators are undertaking enquiries into the company’s financial position including the potential completion of any contracts by a third party.

“The Company is exploring the prospect of putting a proposal for a Deed of Company Arrangement (DOCA) to creditors and the Administrators will provide creditors a recommendation on any such proposal,” the statement said.

“The Administrators will conduct an investigation into the affairs of the Company and will be reporting to creditors on the outcome of those investigations as soon as possible.”

An initial report to creditors was issued last Friday and Administrators will meet with creditors on Monday, August 7.

A Uniting spokesperson said Uniting has been working closely with GCB Constructions over many months, to support them through these challenging times and ensure the completion of Uniting Yamba.

“Disappointingly, GCB Constructions has gone into administration, meaning work on the apartments and clubhouse remains on hold,” the spokesperson said.

“The company has contractual obligations to Uniting, which are currently being worked through with the administrator.

“Unfortunately Uniting expects this may take some time to resolve.

“We are also working with the local sub-contractors affected by GCB Constructions’ situation.”

The spokesperson said Uniting were already working to engage a new builder.

“We hope to have appointed the new builder and commenced work by the end of the year, with the aim of completing the apartments by late 2024,” the spokesperson said.

“While it’s expected that there will be a delay, Uniting is committed to finishing the apartments and welcoming residents to their new home as quickly as possible.

“Uniting is committed to updating and supporting all residents during this time.”