Residents' 'hell' as firm enters administration
Original Article Summary
Ardmore Construction Group had been replacing the cladding on The Lighterman Building in Greenwich.
Investor Analysis
Ardmore Construction has entered administration after a £15m court-ordered remediation liability, halting cladding replacement on multiple London developments and leaving residents trapped in unsellable, partially stripped flats. Industry commentators warn this will not be an isolated case as post-Grenfell retrospective liability overwhelms smaller contractors.
Investor Relevance
Investors holding leasehold flats or apartment blocks in buildings undergoing or requiring cladding remediation face compounded risks: contractor insolvency can freeze works mid-project, rendering properties unsellable and uninhabitable for extended periods. The article reinforces that retrospective liability under post-Grenfell legislation is now large enough to bankrupt mid-tier contractors, meaning developer and freeholder counterparty risk is a material acquisition and hold consideration for any affected stock.
Original Source:
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