Brisbane-based developer Nerang Street, which is behind the $500 million Queen Street Village at South Port on the Gold Coast, has been placed into administration.
Reports have surfaced highlighting the developer had been struggling with funding issues on top of the pandemic.
Creditors are owed about $80 million, with construction firm Tomkin owed $16.2 million and Hutchinson Builders owed $22 million.
Robson Cotter Insolvency Group have been appointed as administrators.
“The directors disclosed the main reasons for the company’s financial circumstances included a change in property market valuations, inability to meet funding arrangements and prior to that, the general impact of the Covid-19 pandemic,” a report to creditors said.
The news follows Art Struct, a Brisbane-based custom home builder, who was placed into administration lastly week, owing almost $2 million.
