Australia’s construction industry is a substantial economic driver, contributing approximately 8% to the country’s GDP. On the supply side, building commencements are in decline, with 2024 data for new dwelling commencements at a 10-year low. According to Australian Securities & Investment Commission data, in the 2023-2024 financial year, 2832 construction companies went into insolvency in Australia, representing the greatest proportion of company collapses and a problem that is trending worse. In recent years, the industry has experienced significant growth but has also shown a significant shortage of materials, rising costs, and a constrained labour market. These difficulties have been further intensified by global supply chain issues and increasing inflation, affecting both project timelines and budgets.
The builder-developer model is been used more now to mitigate risk in the Australian construction industry for effective project delivery. A report from the Australian Constructors Association indicates that projects employing the builder-developer model can reduce cost overruns by up to 15% compared to traditional approaches. Furthermore, the merging of responsibilities enhances communication and cooperation among all stakeholders, helping to reduce delays and improve decision-making efficiency. According to a survey conducted by the Housing Industry Association (HIA), 72% of builder-developers reported better project outcomes due to this integrated approach, particularly in managing financial and regulatory issues.
Construction Risk: Builder-Developer Model by Trueventus aims to create a premier destination for construction industry professionals, Real Estate Developers, Builders, Government Officials, and Stakeholders to discuss emerging risks and effective solutions to mitigate risks that happened during construction. With Insolvencies and safety concerns threatening project delivery, this summit aims to provide valuable insights into how the builder-developer model can be a part of safeguarding the people and the industry involved.