THE COMPANY building homes at the Carnival Hub development has ceased trading, laying off all its staff.
However, Wokingham Borough Council says it has contingency plans and is reviewing options.
The hub itself, including the new library which is due to open in September, is not affected.
The Mid Group started work on Carnival Place homes last autumn, after being appointed in March 2021. Last week its parent company was folded, and a decision was made to pull the plug on the company.
They were commissioned by the previous administration to build 55 apartments opposite the leisure centreand close to the multistorey car park and bowling alley.
The council chose the firm for its fabric first construction approach aimed at making the Carnival Place apartments some of the most energy efficient homes in the borough.
Building structures were formed using pre-cast panels made in a factory, and fitted with everything from brickwork and insulation, before being delivered and craned into place.
This approach also speeds up the build process and helps reduce the impact of the construction site with fewer deliveries and a smaller workforce needing to be in place.
The then executive member for regeneration, Charlotte Haitham-Taylor, said the entire regeneration project for Wokingham town centre – which includes Peach Place, Elms Walk and the housing around Elms Field – would generate a yearly income of £2m initially and then up to £6m once the building costs had been paid off.
“The residential elements of the regeneration are incredibly important,” she said. “Not only will they will deliver 55 new homes in the town centre, right next to the park and the fantastic new facilities at Carnival, but also help with funding the new leisure centre, library and the play area on Elms Field.”
In a statement released this week, the new leader of the council, Cllr Clive Jones, said: “Given the risks inherent in all building contracts of this type the Council has rigorous policies in place to handle situations like this and is reviewing options and risks to establish the best way forward.
“It is premature for the council to comment too much at this stage but, whilst the project is well advanced, a review of outstanding works will be carried out and, if necessary, the council will move forward with taking control of the site and appointing a new contractor to complete the final works.”
The leisure centre has been built by Pellikaan and opened on Monday, July 25– just in time for the start of the school holidays.
Cllr Jones added: “This situation has no impact on the Hub.
“The new library space at the Carnival Hub is also unaffected and remains on track to open in September this year.”
An earlier version of this story stated that the apartments at Carnival Place would generate an income of £2m a year. This was incorrect, it is the entire regeneration scheme. We apologise for this error.
