Work stops at Shenton Quarter

Work has stopped at $140 million apartment project Shenton Quarter, amid a dispute between its builder BGC and developer Iris Residential-PW. 

The project, within DevelopmentWA’s Montario Quarter, comprises 157 apartments in a nine storey complex. 

The development, which commenced construction in late 2020, has been beset by delays, with its anticipated completion mid-2022.

BGC Australia today issued a statement confirming the temporary closure of the site, amid a “commercial dispute with the developer regarding engineering and design”.

“The decision to close the site was not taken lightly and is a result of our unwavering commitment to the safety, quality and integrity of our projects,” the statement read.

“During this temporary suspension, the workforce has been stood down.

“We understand that this decision may cause inconveniences, and we are working diligently to address the issues and expedite the resolution process.”

Developer Iris Residential-PW, a partnership between Iris Residential and Sydney-based investment manager Alceon Group, said it was not given any warning of the builder’s decision to shut the site down.

“No prior notice was given of this decision, and further information is being urgently sought from BGC,” their statement read.  

“Shenton Quarter is currently at 95 per cent complete, and all aspects of this project – including design, engineering and core structural integrity – have been thoroughly assessed and will be properly certified in line with our commitment to creating developments of the highest quality and integrity.

“It is deeply disappointing that BGC has taken this action without discussion.”

Alceon Group acquired its stake in the project from Primewest in 2021. 

Centuria Capital Group, which Primewest has been rebranded to, still owns a miniscule share in the project, ASIC documents show. 

It is unclear how many workers are affected, or the exact details of the dispute.

The Construction, Forestry, Maritime, Mining and Energy Union earlier this year expressed concerns about the structure of the building.

Australian Apartment Advocacy founder Samantha Reece said such concerns highlight the need for mandatory audits during apartment construction.