17/11/2021 - 11:27

Rosewood build back on track after Pindan collapse

17/11/2021 - 11:27

Bookmark

Save articles for future reference.

Aged Care provider Rosewood has employed its own contractors to finish its $70 million West Leederville facility, after work was brought to a standstill by the collapse of Pindan.

Rosewood build back on track after Pindan collapse
A subcontractor leaving the West Leederville Rosewood site in May before Pindan's collapse. Photo: David Henry

Aged Care provider Rosewood has employed its own contractors to finish its $70 million West Leederville facility, six months after work was brought to a standstill by the collapse of construction giant Pindan.

Construction of the 152-bed aged care facility was expected to be finished earlier this year, but was halted in May on the verge of completion when unpaid subcontractors of Pindan walked off the job.

Rosewood Care Group chief executive Mario Zulberti confirmed the company had considered appointing a new builder, but had instead opted to complete the project by employing staff and contractors itself.

“Having the build shutdown so close to completion was a setback for us, especially because most of the major work had been completed,” he said.

“Like many others in WA the news was a shock, but we were fortunate enough to be far enough advanced in our construction that we could continue without suffering too many delays."

He said the team had undertaken stringent compliance training to ensure contractors complete the cosmetic work to the highest standards.

The 5,454square-metre site, which is now expected to open by the end of the year, includes a community cafe, a wellness centre, a day centre and educational rooms, as well as public art.

The news comes after the official opening of Hilton’s Garden Inn Albany hotel, the construction of which was also hit by Pindan going into administration.

Meanwhile, subcontractors and employees of Pindan are still awaiting a date for the second creditors’ meeting, after it was adjourned to allow EY to consider an eleventh hour offer by Pindan's Singaporean owner lifting its deed of company arrangement proposal to $12.3 million.

Oxley Holdings lodged a revised DOCA for Pindan Group creditors earlier this month, after initially proposing an arrangement with $7.5 million for employees and creditors that was set to be rejected.

EY was appointed as administrators of three Pindan entities and liquidators of a further nine on May 18, after Business News revealed the company was facing financial trouble.

The multi-disciplinary construction group collapsed owing secured and unsecured creditors and employees more than $97 million, leaving the business's 80 active projects, 280 staff and hundreds of subcontractors and trade suppliers in limbo.

STANDING BY BUSINESS. TRUSTED BY BUSINESS.

Subscription Options