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Major construction company St Hilliers has been placed into voluntary administration, halting work on 21 multimillion-dollar development projects around Australia.
WLP Restructuring was appointed as voluntary administrator of seven entities within the Sydney-based St Hilliers group of companies on Sunday.
In a statement, a spokesperson for WLP Restructuring said the company had "secured and paused" all works across St Hilliers' active construction sites while they undertook an urgent assessment of the business's financial position and operations.
"As this assessment is completed, approximately 80 staff members will remain employed while 22 have unfortunately been made redundant," the statement read.
The company's major projects include several Department of Defence contracts, along with commercial developments in Newcastle, Sydney and on the New South Wales Central Coast.
Gosford waterfront project impacted
Peter Lawley from the Erina-Gosford Chamber of Commerce said the collapse was "potentially disastrous".
The sites affected include a $150 million waterfront project in Gosford on the Central Coast.
"The plans are well advanced, the concrete's been poured and all sorts of things, so I can only imagine the administrators will be onto it straight away," Mr Lawley said.
Mr Lawley said that with 100 per cent of the units already sold, he hoped work could resume soon.
Further north in Newcastle, St Hilliers was involved with a yet-to-be-built $100 million dual apartment tower development in the CBD.
The 90-metre-high design has already been approved for 257 dwellings, which are now for sale via expressions of interest called for three weeks ago.
In Queensland, the Bernborough Ascot Retirement Village in Brisbane will also be also impacted, with work there grinding to a halt.
Talks with stakeholders ongoing
St Hilliers has been operating for 34 years and has offices in Sydney, Brisbane, Townsville and Perth, but its key projects are in south-east Queensland.
Administrator Glenn Livingstone said talks with stakeholders were continuing.
"The administrators are working closely with all stakeholders and staff in order to recommence project works at the earliest opportunity," he said.
The first meeting of creditors will be held on or before February 14.
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