This article is from the Australian Property Journal archive
HUTCHINSON Builders is Australia’s top-performing construction firm, according to BCI Central’s annual rankings report, having kicked off works on more than $2.6 billion worth of projects in 2022.
The BCI Construction League 2023 shows that Australia’s top 50 builders’ total value of projects came in at almost $30 billion last year, with an average project value of $67.7 million.
The year was a difficult one for the construction industry. Skyrocketing materials costs, supply chain issues and labour shortages saw the collapse of major developers ProBuild, Caydon Property Group, and Condev, leaving billions of projects across the country in doubt. That has continued into this year, with Porter Davis and Lloyd Group both entering administration on Friday.
According to the BCI report, the top 10 firms in 2022 commenced construction an average of just under $1.7 billion worth of projects, with an average project value of $132 million.
Queensland-based Hutchinson Builders’ $2.6 billion tally was the result of 147 projects valued at just under $18 million each. About 45% were community projects, 28% were commercial, 22% residential and 5% industrial.
Second-place Multiplex, meanwhile, had a total project of $2.1 billion across eight projects worth an average of $264 million each. Half were community projects, one quarter commercial, and the rest split between residential and industrial.
In third place was Richard Crookes Constructions, with $1.85 billion over 31 projects that were mostly residential, community and industrial, followed by ASX-listed giants Lendlease ($1.83 billion, seven projects mostly community and commercial) and Mirvac ($1.67 billion, five projects, mostly residential and some commercial).
Rounding out the top 10 were ADCO ($1.62 billion, 28 projects), Built ($1.47 billion, 74 projects), Hickory Group ($1.38 billion, 10 projects), Hansen Yuncken ($1.07 billion, 29 projects) and Deicorp ($1.04 billion, eight projects).
The top 50 commenced construction on 846 projects over the year, with the top 10 accounting for 347.
“In 2022, the construction industry saw some relief to supply scarcity but continued challenges with skilled labour shortages (and costs), and tightening economic factors in securing finance, inflation and interest rates,” BCI Central’s chief data officer, Michelle Aizenberg, said.
“As always, infrastructure and residential projects provided a steady stream of work and investment, but the year was marked by a resurgence in demand from the commercial sector, including offices, retail and hospitality projects across the country.
“The builders listed in this report have all adapted and succeeded through the trials facing the industry with innovation and resilience.”
