Kroll announces appointment as administrator of Cheshire-based partnerships builder
Advisory firm Kroll has been officially confirmed as having been appointed administrator of Cheshire-based partnerships housebuilder Mulbury Homes.
Kroll said that Andrew Knowles and Steve Clancy of Kroll were appointed joint administrators yesterday of the 12 year-old firm, which had specialised in building affordable homes for housing associations in the North west.
The developer, which reported turnover of 拢38.4m in its most recent accounts, employed around 40 staff, all of which have now been made redundant.
Kroll said Mulbury, founded in 2010 by Greg Mulligan and Martin Bury, had been 鈥渟truggling with trading and cash flow issues brought by the pandemic, planning delays and rising costs鈥�.
According to Mulbury鈥檚 website, it has built developments worth more than 拢149m since being set up, amounting to over 2,000 homes. As well as building homes for registered providers, it also set up a build to rent division in 2015.
The firm had managed to recruit the high-profile Liverpool Council commissioner and former Homes and Communities Agency regional director Deborah McLaughlin as a non-executive director.
In its latest accounts, for the period ending 31 March 2020, the firm reported pre-tax profit of just 拢12,000, less than half of the 拢27,800 posted for the previous year.
A statement from the Mulbury directors said the firm was proud of its record, and that it had built a strong pipeline of projects and had been 鈥渉opeful for the future鈥�.
鈥淗owever, we have not been immune to the very challenging conditions facing the construction sector brought by the pandemic, planning delays, cost increases and supply chain issues,鈥� the statement said.
鈥淲e have been working tirelessly to keep the business going but the current conditions left us with no option but to call in administrators.鈥�
鈥淲e would like to thank our staff, clients, supply chain and partners for their support to Mulbury Homes in the last 12 years.鈥�
Andrew Knowles said the joint administrators will now work to realise assets, investigating the financial affairs of the Company, and distribute any funds to creditors. He said: 鈥淭he continued difficult trading conditions, rising costs, and financial pressures as a result of bad debt has led to a weakened cashflow position which has led to the appointment of the joint administrators.鈥�
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