Subcontractors and suppliers across the North West are braced to lose millions after the company behind the 16-storey Natex student accommodation scheme in Liverpool fell into administration.
Mount Group Student Natex was developing the £45m scheme which was due for completion in December.
The company is now in the hands of administrators Mazars but the wider Mount Group remains unaffected.
Mount Group Student Natex was incorporated in 2016 and work started on the 574-bed scheme in 2019 with Manchester based Barton PM as management contractor.
Mazars told the Liverpool Echo: “The administrators are presently assessing the financial position of the company with a view to determining the optimal strategy for the completion of the development.
“The company’s financial position has been adversely affected by delays and increased costs resulting from, among other factors, the Covid-19 pandemic and supply chain issues associated with the pandemic and Brexit.”
One local subcontractor told the Enquirer: “Payments have been delayed for ages on this job and suppliers are owed millions.”