Mainline Corporation
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| Company type | Public |
|---|---|
| Industry | Real estate development, Construction, Hospitality |
| Founded | 1961 |
| Founders | Dick Baker & Laurie O'Neil |
| Defunct | 1974 |
| Fate | Collapsed |
| Headquarters | 16th Floor, 54-62 Carrington Street, Sydney , Australia |
Area served | Australia, New Zealand, Fiji, United States of America |
Key people | Dick Baker (CEO), Langer Avery (CFO) |
| Services | Construction |
| Divisions | Mainzeal Property and Construction Ltd (NZ), Noah's Hotels Ltd (AU), Mainline Contractors (U.S.A.) Pty Limited (US). |
| Subsidiaries | Mainline Constructions Pty Ltd (NSW), Mainline Constructions (A.C.T.) Pty Ltd (ACT), Mainline Constructions (VIC.) Pty Ltd (VIC), Mainline Contractors Pty Ltd (NZ), Mainline Millers Constructions (Fiji) Ltd, Mainline Marshall Pty Ltd (SA), Mainline Equities N.V., Mainline Development N.V., Mainline Davis N.V.(Netherlands). |
Mainline Corporation Ltd ("Mainline") was one of Australia's largest construction companies during the late 1960s and early 1970s. Mainline Corporation was responsible for building some of Australia's most notable landmark buildings before its collapse in 1974. The company at its height was involved in large-scale and high-rise property development and construction in Australia, New Zealand, Fiji and the United States of America. Mainline also operated a hotel chain in Australia, New Zealand and United States of American under the brand name Noah's which notably built and operated the Noah's Lakeside Hotel in Canberra, Australia as its flagship business.
Mainline Corporation was established in 1961 by Richard ("Dick") Baker and Laurie O'Neil as a small construction company in Sydney building apartment blocks in Double Bay and Potts Point.[1] Dick Baker was appointed as the Chief Executive Officer (CEO) of Mainline Corporation and by 1965 it had expanded into commercial developments including the AMP Building and Gold Fields House. In 1967, Langer Avery was appointed as Chief Financial Officer (CFO) of Mainline Corporation Ltd and held the position until 1974.[2]
In December 1968, Mainline Corporation Ltd was listed on the Sydney Stock Exchange.[3][4] Major shareholders were AMP Limited, L.C. O'Neil Enterprises Pty Ltd (Laurie O'Neil)[5] and W.R. Carpenter Holdings Ltd (Walter Randolph Carpenter).
In June 1971, Mainline Corporation paid $1.35 million for a site in Canberra CBD.[6]
In August 1971, Mainline Corporation declared a consolidated net profit of $844,203 for FY71 on the back of a revenue of $41.5 million for FY71.[7]
In August 1972, Mainline Corporation declared a consolidated net profit of $1,722,258 for FY72 on the back of a revenue of $56 million for FY72.[8] The value of the reported building contracts in hand at 30 June 1972 was $123 million.
In 1972, Mainline Corporation acquired Dunkerley Hat Mills maker of the Aussie Icon Akubra Hats.
In 1972, Dillingham Construction handed over Australian and South-East Asian contracts including Western Distributor (Sydney) and projects underway including the Melbourne Hilton Hotel to Mainline Corporation to manage.
In 1973, Michael Warson sells 51% of Glenvill to Mainline. Name changes to Glenvill Mainline Homes and opens branches in QLD & South Australia. At the time, the company was the second largest home builder in Australia.
In September 1973, Mainline Corporation performed a 1:5 premium share issue to raise $3,649,265.[9]
In April 1974, many property developers were paying finance companies 15% for money. By May 1974, developers were paying finance companies 19% to 20% for call money. As the liquidity in the market tightened, land prices in Sydney fell 14%, including a 15% drop in Sydney's north shore house prices.
On 3 August 1974, Mainline Corporation reported a profit.
On 15 August 1974, Mainline Corporation's shares plunged by 40% on the back of rumors of a liquidity crisis. This resulted in a stock exchange inquiry.
On 20 August 1974 Mainline Corporation's principal creditor, the ANZ Bank, asked for a receiver to be appointed and Mainline was placed in voluntary administration and liquidated.[10][11]
Mainline corporation Ltd appointed Mr J. H. Jamison as the receiver-manager to administer the more than $60 million owed to creditors.[12][13]
Following the collapse of Mainline Corporation in August 1974, the Builders Labourers Federation (BLF) called for nationalisation of the building industry under workers control.[14]
On the 16 April 1975, sixteen of Mainline Corporation's best properties (estimated at $86.8 million value) across Australia were sold by Sydney auctioneer F. R. Strange under the instruction of the receiver Mr J. H. Jamison to raise fund to pay creditors.[15][16]
Major construction projects
Mainline has built some of Australasia's landmark buildings, including the following major projects:
