$36m ‘no relief’ — Jewel contractor
A $36 million "progress payment" from the developer of the Gold Coast's troubled Jewel towers to its major builder is proving little relief for out-of-pocket subcontractors.
Yuhu Group, developer of the stalled $1.4b triple towers at Surfers Paradise beachfront, was to make a $30m payment soon to builder Multiplex, the Bulletin reported yesterday.
A Yuhu Group spokesperson told the Bulletin late on Thursday: "The progress payment you might be referring to has already been paid."
It is understood to be $36m.
But the news of the payment is bringing no joy to subcontractors who quit the site in the past fortnight amid upheaval surrounding redesigns and proposed retendering of some work.
One contractor awaiting a six-figure payment for pre-ordered materials said yesterday: "Until the money is in my bank account they can say what they want.
"I have heard it all numerous times - then push comes to shove and it's the contractors left with no money in their pockets. So until I see the money in my bank account I'm always fearful."
A Yuhu spokesperson last night repeated "all pre-ordered material up to and including September 21 will be paid for in full to Multiplex and those who believe they have a claim should discuss with Multiplex".
The spokesperson added: " … pre-ordered material that cannot be returned".
"Yuhu also makes all its project progress payments in a timely manner."
Sources say Yuhu and Multiplex representatives will meet Monday to negotiate some of the contractor costs.
It coincides with work restarting after a meeting of workers and the Construction, Mining, Forestry and Engineering Union (CFMEU) on Thursday endorsed a return.
Half the 900 workforce was let go, according to the union. The rest of the staff and subbies quit during the confusion when work dried up, with Yuhu Group saying it was awaiting redesigns and a hotel operator to be selected.
A Multiplex statement on Thursday said: "We're glad to be back at work on the Jewel site today, and looking forward to completing our remaining scope of work on this landmark Gold Coast development."
It is understood $300m worth of work remains to be done, with a completion date of mid-2019.