Housing company behind Greenwich homes collapses
A company involved in modular construction used in developments across Greenwich borough has collapsed.
Modpod International’s 122 staff have lost jobs according to The Business Desk as the troubled company involved in new homes for Greenwich Council failed to find a buyer.
Modpods have been part of at least two sites in the borough. One was Sam Manners House which saw a long delay due to previous problems.
A Greenwich Council press release stated it would complete in early 2023 though the above image was taken in spring 2024.
Another site is in Kidbrooke as covered in March this year.
While some sites using Modpods appear almost complete, the council and ModPods had appeared to forge a close relationship via contractor Elkins.
Construction industry woes
It’s the latest modular building company to collapse in a torrid time for the wider construction industry as homebuilding hits deep lows despite a stark rise in population and demand.
Construction businesses going under is a third higher than five years ago while new housebuilding shows steep falls in London and beyond.
While private housebuilding has been cut steeply, government funding for new housing via the Affordable Housing Grant is being maintained by Starmer’s new government at the same total as the prior Hunt and Sunak government.
In Greenwich – as in other boroughs under Sadiq Khan’s Right to Buy Back policy – we’re also seeing funding used to buy existing homes at current high market prices (this week a further £48.5 million) instead of building new homes to support the building industry.
What will happen to the homes which have been started and not completed?
Will a new developer be found to complete the existing sites?
I think when appointmenting contractors Greenwich Council need to do some further investigations in to the companies financial situations before awarding the contracts.
This is not the first contractor Greenwich Council have awarded contracts to that have sadly collapsed..
My thoughts are with the staff who have l
Lost their jobs in these very difficult times.
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I hope a new contractor can be found to complete these developments as soon as possible. But agree Greenwich Council have some questions to answer on how they award contracts. This is the second contractor to go bust with in the last six months or so. The first being the original contractor working on the Woolwich Town Centre improvements around Powis Street and Beresford Square.
This article sheds light on the collapse of the housing company behind the Greenwich homes, underscoring the challenges in the real estate market and the potential impacts on future housing developments.