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New school construction halted

New school construction halted

Orion's-Belt
Joined: Sep 2007
Posts: 579

Orion's-Belt
Joined: Sep 2007
Posts: 579

New school construction halted
3/2/2020 at 9:19 PM

read online that the company doing the new school went bankrupt. This can’t be very good.
Edited by admin, 2020-03-03 03:54:13. Reason: Title
Giddyup
Joined: Apr 2013
Posts: 473

Giddyup
Joined: Apr 2013
Posts: 473

name?
3/2/2020 at 9:38 PM

What is the name of the business that filed for bankruptcy?
NOYB
Joined: May 2008
Posts: 611

NOYB
Joined: May 2008
Posts: 611

Fresh Start
3/2/2020 at 9:48 PM

It was called Fresh start
bean
Joined: Dec 2012
Posts: 135

bean
Joined: Dec 2012
Posts: 135

.
3/2/2020 at 9:48 PM

I don't think we are allowed to mention any names....
Johnbisonbear
Joined: Mar 2010
Posts: 4183

Johnbisonbear
Joined: Mar 2010
Posts: 4183

the name
3/2/2020 at 9:52 PM

bean said "I don't think we are allowed to mention any names.... "
is provided in the Brandon Sun so I think naming said company will be allowed.
dougdoug
Joined: Nov 2018
Posts: 124

dougdoug
Joined: Nov 2018
Posts: 124

Fresh Projects
3/2/2020 at 10:30 PM

The company name was Fresh Projects, a GC based out of Winnipeg.
Winter123
Joined: This month
Posts: 848

Winter123
Joined: This month
Posts: 848

so sad
3/3/2020 at 8:03 AM

This has affected way more local subcontractors than what is listed.
Orion's-Belt
Joined: Sep 2007
Posts: 579

Orion's-Belt
Joined: Sep 2007
Posts: 579

Vibe around site
3/3/2020 at 8:14 AM

I wonder if any contractors could tell me if there was any warning this was coming. Was the vibe around the site good? Was there rumours floating around about the prime contractor going under during the job? The whole thing seems crazy to me.
Winter123
Joined: This month
Posts: 848

Winter123
Joined: This month
Posts: 848

I don’t think so
3/3/2020 at 8:20 AM

I got the impression from the 3 people I know that are affected that they didn’t know anything.
Jackson67
Joined: This month
Posts: 91

Jackson67
Joined: This month
Posts: 91

Fresh Start
3/3/2020 at 8:29 AM

I can't be the only one that is not surprised that a practically unheard of company that was awarded a huge multi million dollar contract by under bidding well known, established companies with years of experience has gone bankrupt...
dougdoug
Joined: Nov 2018
Posts: 124

dougdoug
Joined: Nov 2018
Posts: 124

Fresh Projects
3/3/2020 at 8:41 AM

Fresh Projects has been around for a while, they have done quite a few large projects this size in and around the Winnipeg area. Everyone that works in this line of work has heard of and was aware of Fresh Projects. Its not uncommon for a GC out of winnipeg to come to Brandon to do a project $20M+.
Fishin Guy
Joined: Dec 2005
Posts: 6897

Fishin Guy
Joined: Dec 2005
Posts: 6897

Money??
3/3/2020 at 8:48 AM

Is it really the money on this particular job? Everyone is saying typical with lowest bidder and get what you pay for. What if this company was the highest bidder and still went bankrupt? I feel for those that have to choose a winning tender. It is spinning a chance wheel. Unless we see a breakdown of how the tenders were priced cost really isn't the issue. Sometimes the local market can get a little complacent. Sometimes it is needed another builder to come in and shake the market a little. Not saying bankruptcy is part of the cards but I would bet some sort of mismanagement higher in their company is to blame.
1wrangler3
Joined: Dec 2019
Posts: 280

1wrangler3
Joined: Dec 2019
Posts: 280

.
3/3/2020 at 9:10 AM

Not surprised. When people bid for a contract taking the cheapest one is generally 100% the wrong choice. Especially for such a large undertaking. This is what happens when you try and go cheap and pick the cheapest option. Should’ve picked a higher mid way bidder from a local company. Try to save a buck and look what’s happened.
Abbysmum
Joined: Mar 2009
Posts: 5038

Abbysmum
Joined: Mar 2009
Posts: 5038

people
3/3/2020 at 9:31 AM

RC123 said "I got the impression from the 3 people I know that are affected that they didn’t know anything. "
In the Brandon Sun article, it says that the school division was informed at 11 a.m., and at 2:30 p.m. an employee of the company called police "asking for advice on the situation" (they were told it was a civil matter), presumably because they were locked out of the job site?

So I'm thinking your 3 people are correct, it was business as usual right up until the end.
Fishin Guy
Joined: Dec 2005
Posts: 6897

Fishin Guy
Joined: Dec 2005
Posts: 6897

??
3/3/2020 at 10:22 AM

1wrangler3 said "Not surprised. When people bid for a contract taking the cheapest one is generally 100% the wrong choice. Especially for such a large undertaking. This is what happens when you try and go cheap and pick the cheapest option. Should’ve picked a higher mid way bidder from a local company. Try to save a buck and look what’s happened. "
Winnipeg is getting a new school too. That contractor is cheaper per sqft than our Brandon school. I don't think it has anything to do with the price of the tender. If the company in the middle was awarded and went bankrupt what would you say is the cause then? I have seen over my years local projects by local people that have failed and needed to be done by others. They just completed a hospital project in Flin Flon, When being a GC really it is about how much are you marking up someone else's work?
1wrangler3
Joined: Dec 2019
Posts: 280

1wrangler3
Joined: Dec 2019
Posts: 280

.
3/3/2020 at 10:25 AM

Lots to do with the price of this. It was a brand new inexperienced company who gave a low ball bid to try and get their name into the large construction business. It backfired immensely.
mycomment
Joined: Mar 2017
Posts: 37

mycomment
Joined: Mar 2017
Posts: 37

Construction contract defaults
3/3/2020 at 10:35 AM

After the GC has determined that they can't fulfil their contract, the bonding company will have to step in to complete the project. The GC would have to have been fully insured (labour and performance bonds) for the contract value amount to have been awarded the contract. The sub contractors should end up being paid, but probably not the full amount.
auntieerica1984

Joined: Jul 2019
Posts: 143

auntieerica1984
Joined: Jul 2019
Posts: 143

new school
3/3/2020 at 10:43 AM

I just feel bad for all of the people who are now temporarily unemployed and have bills to pay.
F8

Joined: May 2008
Posts: 679

F8
Joined: May 2008
Posts: 679

I'm on that list :(
3/3/2020 at 11:08 AM

No work for me and a few of my co-workers because of this GC. Not a good situation at all for anyone involved.
Adam

Joined: Mar 2005
Posts: 15663

Adam
Joined: Mar 2005
Posts: 15663

Statement
3/3/2020 at 11:27 AM

Statement issued this morning from the office of Brandon School Division Secretary Treasurer Denis Labossiere:

---------

"Due to matters related to the general contractor, Fresh Projects, construction of the Maryland Park School has been stopped effective March 2.

Brandon School Division will be working very closely with Manitoba Education, Legal Counsel, Architects and the bonding company over the course of the next several weeks to develop a revised construction schedule.

Brandon School Division is concerned for the former staff of Fresh Projects as well as the sub-trades and suppliers involved in this project and will be coordinating a meeting of all parties in the very near future."

--------
cdog
Joined: May 2011
Posts: 46

cdog
Joined: May 2011
Posts: 46

true
3/3/2020 at 5:23 PM

agree with wrangler 100%