NuGen Properties

Allma Construction and Centre Plant in administration

Allma Construction and Centre Plant in administration

Stuart Robb and Michelle Elliot, partners with FRP Advisory, have been appointed joint administrators of Allma Construction Limited and Centre Plant Limited.

All but seven of the 188 employees have been made redundant. Those that remain are helping the administrators in the short term.

Founded in 1991 and based in Barrhead near Glasgow, Allma Construction is a specialist supplier of groundwork services to house-builders.  The company operated sites mainly through the Central Belt and Ayrshire.  Centre Plant hired plant and machinery and provided haulage services mainly to its sister company, Allma Construction.

The two businesses had a combined turnover of £25m.

According to the administrators, the companies had experienced a sharp downturn in recent activity in the house-building sector.  This, together with rising raw material prices and delays to the start of new developments, had caused “unsustainable financial and cash flow pressures”.

Assets are now being marketed for sale by the administrators.

Joint administrator Stuart Robb said: “Allma Construction is a long-established and highly regarded supplier of specialist groundworks services to many of the leading housebuilders.  Unfortunately, the business has been severely affected by a downturn in the homebuilding markets and rising labour and material costs, and despite the best efforts of the directors in exploring other options, administration was the only option.

“We will now focus on marketing the assets for sale and on providing every possible support to the staff for claims to the Redundancy Payments Office and accessing support agencies such as PACE.”

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