NATHAN Tinkler’s development company, Buildev Group, has failed to stump up the $6 million required to settle on a key development site at Honeysuckle.
Doubt has been hanging over the future of the $55 million Honeysuckle Central development since the Newcastle Herald revealed in September that Buildev had failed to meet several deadlines set by the state government-owned Hunter Development Corporation (HDC) to buy the land.
The development was touted as addressing a critical shortage of A-grade office space in the Newcastle central business district, providing up to 18,000 square metres of space over three eight-storey commercial buildings.
In October, Buildev paid about $80,000 for an extension until yesterday afternoon, but HDC spokesman Luke Mellare confirmed last night no payment had been made.
‘‘Further due process under the commercial contract means that it will be at least another two weeks before a clear resolution of the situation can occur,’’ he said.
Honeysuckle Central was approved in 2009. Building was expected to begin last year and be complete by 2014.
The Herald reported in September that a major mine subsidence repair program at the site that was being managed by Buildev’s construction arm Bolkm, which must be completed before building begins, was in tatters after the work was left incomplete.
Mr Tinkler, who is the largest individual shareholder in Buildev Group and a director alongside his corporate counsel Aimee Hyde, has been under increasing financial pressure.
The former billionaire’s private jet and helicopter have been impounded by a receiver appointed to his aviation company TGHA Aviation.
Two of Mr Tinkler’s private companies, Mulsanne Resources and Patinack Farm Administration, are in liquidation and another two companies, Tinkler Group Holdings Administration and Queen St Capital, are facing wind-up applications.
In October Buildev sold a development site in North Richmond, for $15 million, which would have helped settle a Newcastle industrial site property purchase from Mirvac and avoid being placed in liquidation.
In September Buildev’s group general manager and director Andrew Dowling joined more than a dozen staff who have resigned from the group, made up of Buildev, Bolkm and Castle Quarry Products, in the past 18 months.
Neither Buildev co-founder Darren Williams nor Mr Tinkler’s spokesman responded to a request for comment.