Sydney, 27 August, 2026: One of Western Sydney’s largest home builders, Bathla Group, has entered voluntary administration with more than $3 billion in liabilities, throwing thousands of housing projects into uncertainty.
The family-owned developer, founded in 1997, appointed advisory firm Teneo as administrator on August 25, 2026. Bathla says the move is an “orderly restructure” aimed at protecting buyers, staff and contractors.
The scale
Administrators say the collapse affects 22,000 apartments and over 3,000 houses in the pipeline. Other filings list about 3,500 homes stalled with $1.41 billion worth of residential projects frozen across Western Sydney, the Hunter, and parts of SA and Victoria.
Entities in administration include the main developer Universal Property Group and construction arm Raj & Jai Construction.
Why it happened
Founder Bhart Bhushan blamed a “perfect storm”: A sharp softening in sales and falling buyer confidence Impacts from the federal May budget, Soaring construction costs, labour shortages and fixed-price contracts that the company absorbed.
He said the goal is to “continue delivering much-needed housing” while working with lenders and contractors.
Impact on buyers
Thousands of off-the-plan buyers are now unsure if their homes will be completed or if deposits are safe. One couple who paid a deposit in October 2025 for a Kembla Grange apartment said they are living with family while waiting for answers.
Teneo says its immediate focus is to stabilise construction and settlements and negotiate with lenders.
Wider context
Bathla joins a growing list of NSW builder failures. 1,522 construction firms collapsed in NSW in 2025-26. With NSW already 40% behind its housing target, the collapse adds more pressure to Sydney’s housing supply.
Buyers are advised to contact Teneo and their lender immediately to confirm project status.
