The scale of the Stevenage based firm’s debts are revealed in an update from administrators at FRP Advisory who took over the business in April.
ARJ had been in business since 1991 specialising in projects from £10m to £60m across the South East in the residential, healthcare, education and commercial sectors.
FRP said the firm had enjoyed a significant growth in turnover during the last two years targeting 100-200 unit apartment blocks with an average contract value of £20m – £25m.
The company had 111 employees but delivered all projects via subcontractors.
Latest results for the year to April 30 2023 show a turnover of £117m generating a pre-tax profit of £2.8m.
FRP said the firm ran into trouble because of a number of loss making contracts following price rises in materials and labour.
The company had £7.3m cash in the bank at the time of its demise and unsecured creditors are expected to get some return on their debts once the company is formally liquidated.
