Bathla Group, one of Sydney’s most prolific developers of lower-cost housing, has fallen into voluntary administration after a mounting financial crisis engulfed its sprawling property empire.
Advisory firm Teneo has been appointed administrator of Bathla’s main corporate entity, Universal Property Group, as well as Raj & Jai Construction, the company responsible for construction across parts of the group’s development pipeline.
The administration places a major spotlight on the future of projects across Sydney’s rapidly growing western corridors, as well as the impact on home buyers, contractors, employees and lenders with potentially billions of dollars exposed to the group.
Teneo’s Head of Financial Advisory, Stephen Longley, said the immediate priority was to stabilise operations.
“Our priority is to stabilise the business so that construction activity and property settlements can continue in the ordinary course,” Mr Longley said.
“Our objective is to ensure project continuity wherever practicable, and work with lenders to minimise disruption for employees, customers and contractors.”
The administrators have begun what they described as urgent discussions with lenders as they…