Major Aussie builder collapses with more than $3billion debt: Bathla Group goes into voluntary administration

By KYLIE STEVENS, SENIOR BREAKING NEWS REPORTER, AUSTRALIA Published: 04:25, 25 August 2026 | Updated: 04:25, 25 August 2026 An embattled Sydney property developer has collapsed. The Bathla Group went into voluntary administration on Tuesday, owing more than $3billion. Administrators from Teneo were appointed to undertake 'immediate assessment' of the company's finances in an effort to stabilise operations. The company's main entity Universal Property Group, owes almost $3.2billion, while another entity, Raj &Jai Construction, had $304million in liabilities at the end of the 2024-25 financial year. 'Our priority is to stabilise the business so that construction activity and property settlements can continue in the ordinary course,' Teneo's head of financial advisory, Stephen Longley said. 'Our objective is to ensure project continuity wherever practicable, and [to] work with lenders to minimise disruption for employees, customers and contractors. Bathla develops budget-friendly housing estates, townhouses and apartments across Sydney, including growing suburbs Schofields, Marsden Park and Tallawong in the city's north-west. Bathla Group managing director Bhart Bhushan took to social media to announce the news, citing a 'perfect storm' of softening sales, tax change impacts and higher construction costs. The Bathla Group went into voluntary administration on Tuesday, owing more than $3billion A former taxi driver, Mr  Bhushan founded Bathla Group in 1997 and co-owns the company with his brother, Rajinder Mohan.