Family-owned Midlands building contractor fails

Aaron Morby 10 months ago
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Family-owned Stafford building contractor Enrok Construction has fallen into administration.

Happier times for Simon Bennett , operations director at Enrok's Brixton build to rent scheme last summer
Happier times for Simon Bennett , operations director at Enrok's Brixton build to rent scheme last summer

With offices in the East and West Midlands, Enrok previously traded as ATD Homes undertaking its own developments and contracting to residential developers.

In 2020, the firm rebranded to Enrok to position itself as a more general construction contractor venturing into London to take on a flagship 63 rental flat conversion project in Brixton, London, completed last summer.

But in recent months, Enrok was confronted with several challenges including the insolvency of a key supplier along with delays to key contracts that increased cashflow pressure.

Owners Jordan and Laura Mallisch concluded that insolvency was unavoidable and took the decision to seek the appointment of administrator Interpath Advisory.

Seven of the eight staff have been made redundant.

Tim Bateson,  joint administrator at Interpath Advisory, said: “The building and construction sector continues to face a number of headwinds, including persistent cost inflation and material shortages which have had the effect of eroding the thin margins that are so often seen in competitive fixed price contracts.”

“Our intention is to assist the employees that have unfortunately been made redundant whilst we seek to realise the assets of the Company, including exploring any interest in the company’s live contracts.”

 

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