Kell & Rigby, one of Australia's oldest, most respected building companies, set for voluntary administration

The future of the NSW-based builder Kell & Rigby is in doubt. 

Finance reporter Ross Greenwood reported on his Macquarie Radio 2GB MTR 1377 Money Show that the fourth-generation family-owned construction company had ceased building today on all its sites.

“We understand it will be in [voluntary] administration tomorrow morning,” Greenwood told his listeners.

It is understood potential refinancing arrangement negotiations halted on Tuesday, and company chief James Kell advised staff it was "prudent to suspend works on site."

"When those negotations didn't continue then we had to act fairly quickly," Kell said.

"It's not over yet .. we're still talking about a way out of it, of a solution," Kell, who has been running the firm for 10 years, said.

In 2009 the NSW/ACT family business Australia/Deloitte Growth Award was awarded to Kell & Rigby, whose construction awards included work done for the Sydney Apple store, the State Hockey Centre, Epping RSL, Sydney University, the ANA Hotel and Parliament House Canberra.

Ross Greenwood interviewed CFMEU state secretary Brian Parker, who said the firm had seven major works projects with 500 workers.

The firm was in the headlines several years ago after fixed price construction project issues at a Rushcutters Bay site. But Kell told Greenwood that the problems surrounding a Rushcutters Bay project "had been largely isolated from the business".

“It’s a very sad day for our industry,” Parker said after speaking with the Kell & Rigby management.

“And it’s a very sad state of affairs for NSW,” he added.

The family historian says the partnership started in June 1910 between two young carpenters, William James Kell, 26, and Alexander Leslie Rigby, 22, both having arrived independently from England. The original office was at 1 Elsie Street, Burwood, where Bill Kell boarded with his Aunt Beckie Freeman. It was Aunt Beckie who also tendered the phone when the partners were out on the sites.

In 1912 land was purchased in Bishop Street Burwood where a workshop and office was built and with the £200 capital each subscribed K. & R. commenced growing. Initially domestic work was carried out, but more and more commercial and industrial work was undertaken. Houses built locally were in Llandilo Avenue, Torrington Road, Strathfield Avenue, Kingsland Road, Victoria Street and Wakeford Road.