Administrator appointed at Ocon Construction
The Manchester office of insolvency specialist Mazars has been appointed administrator for Ocon Construction.
Ocon hit the headlines last week when it announced its intention to file for administration after a deal with the University of Liverpool to novate its £51m Crown Place student accommodation contract for the institution to complete.
Mazars has appointed Driver Corporate Recovery to find contractors to complete four remaining contracts.
Driver director Chris Walsh is now working with Loughborough University to find a firm to complete a £2m refurbishment project and Susses University to finish up to £1m worth of work on student accommodation and a new creche facility.
The firm also collapsed with about half of a £1.2m flats refurb contract left to complete.
Around 35 staff have been laid off at Ocon with more than a dozen, including directors, being kept on to help with the handover and collect information for the creditors report.
Latest account show that Ocon had shown a steady falloff in work after peaking at around £65m to just £40m in the last set of accounts.
The contractor’s heavily indebted parent company student accommodation developer Opal Properties had taken out several inter-company loans from Ocon, including £4m released in the last set of accounts.
Mazars, partner Tim Askham, said: “We are trying to facilitate the orderly transfer of Ocon’s remaining jobs to completion to avert any claims from Ocon’s clients for late delivery.”