Major Sydney residential developer Bathla Group has fallen into administration after months of mounting financial pressure.
Administrators from Teneo were today appointed to its main corporate entity, Universal Property Group, as well as Raj & Jai Construction, a company linked to the Bathla Group, documents lodged with ASIC show.
voluntary administration is when an independent administrator takes control of a company in financial trouble and assesses its future.
Creditors then generally decide whether the company can be restructured or should be wound up.
Bathla Group is a major developer of lower-cost homes, townhouses and apartments, particularly in Western Sydney suburbs including Schofields, Marsden Park and Tallawong.
According to its website, 22,000 apartment dwellings and 3,500 homes are in the developer’s “project pipeline”.
In an Instagram post, managing director Bhart Bhushan said the developer was dealing with a “perfect storm” of softening sales, tax change impacts and higher construction costs.
Rendered Bathla building floor plan. (Supplied: Bathla…