Modco Residential, owned by Yusuf Khan and Cynthia Lu, is a Perth-based construction company specialising in building steel-framed homes and was launched in 2020.
But the business entered voluntary administration on Monday.
“Despite our efforts to overcome adversities expected in building a growing business, the rapid and unforeseen external challenges ranging from unprecedented industry challenged, perpetuated by a series of controversial articles that created distrust amongst stakeholders became an insurmountable challenge,” director Damien Clancy said.
“What initially started as a nation-wide industry challenge of increased costs of materials and labour and shortage of skilled trade forcing many builders into administration in the past financial year was then exacerbated by the intense media scrutiny targeting Modco Residential creating distrust among our trades, vendors, staff, shareholders, clients and the industry insurer QBE.”
