A COMPANY set up to ultimately deliver 3,100 homes at a new community west of Aberdeen has fallen into administration, writes Scott Wright.

The impact of the downturn in the oil and gas sector, which took root in 2015, was cited, alongside the more recent disruption brought by the pandemic, as administrators Tom MacLennan, Iain Fraser and Chad Griffin at FRP Advisory were called in by Countesswells Development Limited (CDL). The company was a subsidiary of Stewart Milne Group.

Around 900 affordable and private homes, as well as several commercial properties and communities, have so far been built at Countesswells by a range of companies.

CDL had received a guarantee from the Treasury in 2015 that allowed it to secure funding to invest upfront in the infrastructure needed for the project.

A spokesperson for the directors of CDL said they will “cooperate fully with the administrators to help ensure that the vision, which many people share for Countesswells, is realised.”

Work on the project will continue, the spokesperson said. Mr MacLennan said: “Our immediate priority will be to secure the site and finalise current construction, including completion of much-needed affordable housing projects. “