Construction work stops on another Elliot Group tower

Grant Prior 3 years ago
Share

Construction has been suspended on Elliot Group’s £70m The Residence tower in Salford.

The 34-storey scheme is the latest project to be hit by the fall-out from the arrest late last year of Elliot Lawless, founder of Elliot Group, along with a senior official at Liverpool City Council as part of a fraud investigation.

Both men were released on conditional bail and neither have been charged.

Lawless described the allegations as “completely baseless.”

Elliot Group confirmed work on its Salford job has now been halted while the developer looks to secure further funding.

The job was delayed when original main contractor Forrest fell into administration in December 2018.

Careys have been on site since working on completing the concrete frame.

An Elliot Group spokesman said: “We have called a moratorium whilst we finalise funding for the project’s build-out, a task that has been made more difficult, of course, by the police’s on-going investigation.

“Institutional funds are waiting for the investigation’s conclusion before re-engaging with us so we are writing to the scheme’s original investors this week to request that they bring forward their final payments, which will enable us to complete the project.

“In essence, we’re asking them to make a payment off their balance each quarter for the next year and will pay them interest on each deposit.  It’s not extra cash, just what they had agreed to at the outset, but on an accelerated timetable.”

Main contractor Vermont suspended work last month on two projects it was building for Elliot Group in Liverpool.

The decision hit the £100m Aura student scheme which was due to complete in September 2020.

Vermont replaced Forrest on the job 12 months ago.

The suspension also hit phase one of the Infinity scheme on Leeds Street where a 38 storey, residential tower with 416 apartments is scheduled to be handed over in December 2021.

Latest news

ISG wins £600m Hertfordshire Hollywood film studio job

Holywood studio Sunset awards pre-construction contract for 90-acre studio complex in Broxbourne
3 days ago

NAO calls for road programme cuts as costs soar

Public spending watchdog calls for roads programme review amid project delays and cost overruns
3 days ago

Kier hires Laing O’Rourke veteran for London office push

Gus Wright takes up new London regional director role in January
4 days ago

VolkerFitzpatrick lands starring role on £174m film studios

Contractor to start main works on Eastbrook Studios in Dagenham
4 days ago

Wates poaches Balfour director to lead North West operation

Sarah Cooke to lead Wates Construction in the North West
4 days ago

£3.4bn Sellafield infrastructure race delayed to New Year

Contest to start in January for four partners in infrastructure delivery shake-up
3 days ago

Rebuilt TBM launches into second HS2 tunnel drive

Balfour Beatty Vinci TBM Dorothy starts second Long Itchingwood HS2 drive
4 days ago

Materials lead times back to pre-pandemic levels

Pinch points around gas boilers to persist until mid-2023 because of shortages of semiconductors
4 days ago

Bond strength helps TClarke towards £500m turnover target

Building services giant predicting a record year in 2023
4 days ago

All-clear for £125m Guildford Debenhams redevelopment

Native Land's St. Mary’s Wharf will comprise 185 homes
4 days ago

Thompsons brings down historic Redcar blast furnace – video

Redcar demolition clears the way for new net zero future
4 days ago

Wolverhampton picks McLaughlin & Harvey for £50m learning campus

Main construction to start next spring on City Learning Quarter
5 days ago

Michelmersh buys offsite brick cladding and chimney maker

Pre-built brick products producer Fabspeed sold for over £6m
4 days ago

Pagabo acquires mental health monitoring business

Framework giant makes move after Moodbeam goes into liquidation
4 days ago

Green light for London timber office block

Construction to start next year on six-storey cross-laminated timber block
6 days ago

Government pushes ahead with £3bn building safety levy plan

Affordable homes projects and small schemes developed by SMEs will be exempted
5 days ago

Rejigged £340m Museum of London plan approved

McAlpine tipped to take £340m job for new museum at Smithfield market
5 days ago

Ex-construction minister joins cladding repair firm

Intelligent FS appoints Lord Richard Harrington after government contracts send turnover surging
5 days ago

Willmott Dixon limbers up for £18m Rainham sports centre

Work to start in April on New Splashes Sports Centre in Rainham
5 days ago

Plans in for BBC’s new home in Birmingham

Project will be one of the first net zero carbon in construction office buildings
5 days ago

McLaughlin & Harvey wins Lowestoft harbour design

Lowestoft Eastern Energy Facility is expected to cost around £25m to build
6 days ago

Van Elle first-half revenue hits record £81m

Piling specialist upgrades full-year profit forecast after strong first-half trading
6 days ago

Forterra plans fourth brick price hike in 12 months

New Year increase follows 16.5% jump in October
6 days ago

640-home plan lodged for £250m Trafford scheme

Developer Glenbrook aims to start work by next summer on Lumina Village
6 days ago

Kier construction boss Liam Cummins to leave next month

Stuart Togwell to take over at Kier in New Year
6 days ago

Severfield profits jump as steel price hikes tempered

First-half pre-tax profit rises 29% to £10.2m as steel price rises successfully passed-on
6 days ago

Land deal reboots stalled Earls Court 4,500-home scheme

40-acre West London site could be redeveloped with 4,500 homes
6 days ago

Firms readied for £46m Norfolk bypass job

Work timetabled to start in 2024 on Long Stratton Bypass
6 days ago

2023 to be ‘Year of Catch-up’ for London office projects

Twenty-six schemes in demolition raising hopes of major project starts ramping up again
7 days ago

Galliford Try buys green water specialist

Latest deal boosts contractor's offering to the water sector
7 days ago

Contractor services