The scheme stalled in 2021. Credit: via planning documents

YPG’s woes continue as another company teeters on the brink 

The firm’s managing director will not contest a winding-up petition lodged against YPG Developments, the fourth group vehicle to collapse since 2020, but insists there will be “no more casualties”. 

Sanan Consulting has lodged a winding-up petition against Ming Yeung’s YPG Developments, one of the group’s contracting divisions, over unpaid invoices.  

Sanan was instructed on several YPG schemes in Liverpool.

The petition will be heard on 2 March in Leeds. 

Yeung confirmed he would not fight the petition, adding that YPG Developments’ outstanding contracts have been novated to other group companies.  

“YPG Developments will be wound up but there will be no job losses,” he told Place North West.

Yeung said that YPG Developments’ demise was due to the collapse of other companies within the group. 

The company is owed money by other YPG vehicles that are in administration, namely YPG Investar Islington House and YPG Fabric Residence. As a result, YPG Developments itself cannot be paid, meaning it cannot afford to pay its creditors. 

Yeung described the situation as a “domino effect” resulting from some projects getting “caught up” in the pandemic. 

Both YPG Investar Islington House and YPG Fabric Residence were attached to the stalled 413-apartment Fabric Village scheme in Liverpool. 

Read more about the reasons behind the collapse of the Fabric Village scheme  

YPG Developments was the contractor on Fabric Village, among other projects, which failed due to funding issues brought about by the pandemic, according to Yeung. 

JLL and Wignall Brownlow have been appointed to sell the Fabric Village site to recoup funds for creditors. 

In addition, rising construction costs have also impacted the ability of YPG Developments and other contracting divisions to carry out work they were contracted to do, Yeung said. 

North West Development Consortium, another contracting arm within the YPG group, went into liquidation in December 2020 owing around £9m to creditors, according to Companies House filings. 

There are around 50 companies within the wider YPG group. The collapse of four indicates that overall, the company is in good health, according to Yeung. 

“2022 is going to be a time when some companies go under,” Yeung said. “But there will be others that will be successful as they didn’t get caught up in the pandemic.” 

YPG is currently in talks to sell two completed student schemes in Liverpool for a combined £20m, Yeung said. 

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