Another construction company has gone into administration with higher interest rates and building costs blamed.
Rork Projects, which specialised in building refurbishments and commercial property fit-outs, has appointed insolvency firm McGrathNicol as administrators, with operations affected in NSW, Queensland, Victoria and the n Capital Territory.
The company, established in Canberra in 1997, was also co-owned by a leading Yes campaigner for the Voice, John Paul Janke, who hosts an Indigenous affairs TV program on SBS.
Director Brian O’Rourke announced that several of his companies went into administration on Friday after 26 years.
‘It is with a heavy heart I announce that after 26 years of operations, Rork Projects was forced to commence voluntary administration on 1 March 2024,’ he said.
‘This was the final step in a long journey to find a solution for our staff, clients and subcontractors, and we acknowledge the devastating impact this outcome has on them.’
Another construction company has gone into administration with higher interest rates and building costs blamed
Mr O’Rourke said rising interest rates and building costs amounted to a ‘tsunami of impossible economic conditions’.
‘Builders are in crisis because of high interest rates, labour shortages and material supply constraints following the pandemic,’ he said.
While inflation has moderated to a two-year low of 4.1 per cent, he likened the present spate of building company collapses to the 1970s when inflation and unemployment were both high.
‘The construction market is facing one of the worst storms since the mid-1970 crisis,’ Mr O’Rourke said.
‘While devastating for us, it is also damaging to the n economy and community.
‘Thank you to everyone who we have worked alongside.’
Rork Projects on LinkedIn describes itself as ”s Leading Indigenous Construction Company’ with the affected companies including Rork Projects (Holdings) Pty Ltd.
Mr O’Rourke and his school friend Mr Janke had established the company in Canberra in 1997.
Mr Janke, who has Indigneous heritage, has is also the co-host of SBS and NITV’s The Point program and served as the construction company’s communications director.
He had been a leading campaigner for last year’s doomed Yes case for the Indigenous Voice to Parliament and had claimed on the ABC’s Insiders program the No campaign had used artificial intelligence images.
‘Some of them now are using AI with black, Indigenous characters to try and look like it’s an Indigenous person supporting the No campaign,’ he in August 2023.
Rork Projects, which specialised in building refurbishments and commercial property, has appointed insolvency firm McGrath Nicol as administrators, with operations affected in NSW , Queensland , Victoria and the n Capital Territory
While Rork Projects had an announcement on its website, the company has closed down its Facebook and Instagram accounts.
In January 2024, 552 companies entered into external administration for the first time, marking a 53.8 per cent surge compared with the 359 in January 2023, n Securities and Investments Commission data showed.
This occurred after the Reserve Bank of in November raising interest rates for the 13th time in 18 months to a 12-year high of 4.35 per cent, adding to the most aggressive hikes since 1989.