The company is also involved in legal stoushes with two other major property managers - APN Property Group and GPT Group. Following a lengthy dispute with Grocon over the Scots Church development in Melbourne’s Collins Street, APN Property launched a counterclaim against the company saying it was owed almost $36 million. In August, GPT served Grocon with a Supreme Court debt demand for $21 million it allegedly owes for a string of leasing deals with top-tier law firms and corporate consultants. Court documents show GPT claims it was owed $20,633,747 for leases over which Grocon took “assignment” in the Riverside Centre at 123 Eagle Street in Brisbane. Combined, the Grocon debts total nearly $85 million.

Mr Grollo said appointing an administrator was "regrettable" but became necessary when Dexus, a 480 Queen Street creditor, escalated its demands for payment even though a court process was continuing. Loading "Grocon has engaged with Dexus over a long period on this issue, however, both parties have not been able to agree payment terms, which has subsequently led to the existing and ongoing court case," Mr Grollo said. “Grocon has developed and constructed billions of dollars of real estate for Dexus over the years and its attitude to this matter is both unreasonable and disappointing." Mr Grollo said Grocon had multiple business arms and the decision to appoint administrators to the two entities would not affect its broader operations.

It currently has projects under construction in Sydney - the $700 million Ribbon redevelopment in the heart of Darling Harbour - and Northumberland office in Melbourne. Dexus and Grocon have been locked in a dispute over payments for years. Sources close to Dexus said it was shocked that Grocon had taken the step to appoint administrators. There is speculation that Dexus will struggle to receive a payment near what it was seeking because the entities were now in administration. Dexus general counsel Brett Cameron said: "Grocon appears to be seeking to avoid the court hearing by winding up these entities". Grocon's subsidiaries took Dexus to court in February this year to set aside statutory demands from Dexus to pay its alleged debts. Dexus has alleged Grocon Constructors Victoria owed Dexus $28 million over the lease breach while Grocon Constructors Queensland owed Dexus $14 million. The judge found that Dexus had a claim against Grocon but found "it was a genuine dispute in respect to the initial amount of $13,970,00". The matter is still before the courts.