DOZENS of Warrnambool and district building industry tradesmen and suppliers have been hit by the sudden closure of a housing construction franchise and its parent company Kirway Constructions.
Nanjing Night Net

They stand to lose tens of thousands of dollars.

Work on about 14 homes in Warrnambool and three in Port Fairy has come to an abrupt halt with no certainty on when construction may resume.

Gippsland-based Kirway Constructions went into voluntary administration on Tuesday leaving about 100 construction workers and several large projects in limbo. The company built the Warrnambool foreshore pavilion, Wannon Water headquarters and consulting suites at St John of God Hospital in recent years.

It owns the Warrnambool franchise to national company Cavalier Homes which has a display home on Grange Road.

The Standard understands no other franchises of Cavalier Homes are affected.

A Warrnambool tradesman and several suppliers told The Standard they heard the news from the local Cavalier supervisor who is understood to have lost his job along with the local sales representative.

“It’s a damn mess,” the tradesman told The Standard yesterday.

“We’ll have to wait until a liquidator assesses the housing projects.

“Tens of thousands of dollars are at stake.”

Ponting Brothers Timber is one of the major local suppliers at risk of losing out.

Spokesman John Ponting confirmed yesterday the company had been notified of the collapse.

“This sort of thing is not good for the district,” he said.

Comment was not available from the national office of Cavalier Homes yesterday or the Victorian Housing Industry Association.

This story Administrator ready to work first appeared on Nanjing Night Net.