Work to complete one of Bristol’s flagship housing developments has stopped after the firm building it went into administration. The 17-storey ‘Boatyard’ development already dominates the skyline next to the River Avon on the Bath Road in Totterdown.
But the immediate future of the development is in doubt after the collapse of the developers. And now the housing association that have been selling shared ownership ‘affordable’ flats at the Boat Yard are left hoping that the administrators appointed to sort through the collapse of the Mid Group can quickly find another developer to complete the project.
The Boatyard was nearing completion - it was scheduled to finish in August and Clarion have been marketing the apartments since the early summer. But work stopped last week, and on Thursday, workers for the Mid Group were told their jobs were lost as the company went into administration.
Read more: Work about to start on 150 affordable flats overlooking the River Avon
Construction industry news site Construction Enquirer revealed staff with the Mid Group and its parent company, which was formed in 2014 and was one of the fastest-growing construction firms in the country, had been told not to come into work on Friday.
“Staff worked the first two weeks of this the month before they were told not to come into the office as the firm faced a cash flow crisis,” wrote Grant Prior. “The directors confirmed there was no money to pay the staff for July. The email seen by the Enquirer states: “I am sorry to be the bearer of bad news, but I trust that this brings some certainty to what has been a very difficult and worrying period for all staff.”
The parent company Mid Holding’s latest accounts for the year to 2020 showed it made a pre-tax loss of £2.5m from a turnover of £55.7m. Accountancy firm Cowgills has been appointed as the MId Group’s administrators, and now have the task of going through the firm’s unfinished projects, sorting out unpaid debts and bills, and finding new contractors to take on the firm’s sites.
Clarion Housing Group are now hoping things are sorted quickly with the building being completed, and admitted the collapse of the building firm would delay the first people moving in.
“We were saddened about the news relating to Mid Group," said Clarion's group development director Richard Cook. "While it will mean for a delay to the works, we are firmly committed to completing our Boatyard project on Bath Road and delivering vital affordable housing in Bristol. We are urgently seeking a solution and will provide an update when we can.”
The Boatyard was one of the most controversial developments of the decade so far in Bristol, with a large number of objections from local residents in Brislington and Totterdown when it was first proposed. It was branded 'a monstrosity' when the developers applied for planning permission in the first half of 2019 and, along with the decision to give permission to Castle Park View, has kickstarted developers to propose tall tower blocks of apartments at sites in the city centre and South Bristol.
The project to build a number of blocks of apartments includes a landmark tower that is 17-storeys high from the river bank and 15-storeys high from the road next to the Totterdown Bridge. It was backed by council planners, who gave the scheme planning permission in 2019, and the city’s mayor Marvin Rees.
When Labour leader Keir Starmer visited Bristol as part of the mayoral and local election campaign in April last year, the Mayor took him to the top of the tower block at the Boat Yard project, hailing the development as evidence of his mission to get affordable homes built.
The project was initially created by a different development firm, Hadley Property Group, but in 2020 the Mid Group took over and switched the development to one that was designated as 100 per cent affordable homes.
A total of 112 of the 152 flats in the development are being sold through a London-based housing association, Clarion Housing, as shared ownership, with people buying around half the value of the flat and paying Clarion rent on the rest. The other 40 are for 'affordable' rent for people on the council's HomeChoice housing waiting list scheme.
Bristol Live understands the city council’s leadership and housing team are in contact with Clarion too to get updates and the council is monitoring the situation closely.
“Everyone at this end is concerned about the reports of job losses and hope those affected are being supported,” said a source at City Hall. “We all very much hope the works will continue at some point and deliver the much needed affordable housing the site promises,” he added.
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