Millbrook Homes Pty Ltd - Case Update

Jonathon Keenan and Peter Krejci of BRI Ferrier have given an update on the liquidation of Millbrook Homes Pty Ltd, a company that designed and built luxury homes in Greater Sydney. Financial issues for the company arose progressively given the deteriorating market conditions affecting the construction sector, with increasing material and labour costs, the impact of which accelerated with the collapse of related company Elderton Homes in late 2022. Restrictions were also applied to the company’s builder license and insurance arrangements. Upon their appointment on 26 June, the liquidators disclaimed their interest in the six homes under development and the eight that required remediation. The company has reported liabilities of circa $2.6 million, but this is expected to increase as customers/owners with incomplete builds and ongoing defect issues file claims against the company. The appointment was referred to BRI Ferrier by RSM, the company’s external accountants.