The building of new council homes across Sussex has been halted after the contractor filed for administration.
Boutique Modern was in the middle of building 16 new council homes in Lancing and a development in Hastings when it suddenly filed for administration.
The homes in Daniel Close and Gravelly Crescent, Lancing - a mixture of one, two and three-bedroom houses built on former garage sites - were at an "advanced stage of construction", Adur District Council said, and were due to be completed in the next four months.
In Hastings, the 16 homes being delivered on land by Bexhill Road were the council's first development in 30 years.
Adur and Worthing Councils are now "considering what action needs to be taken to secure the completion of the developments".
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The homes are set to have parking and gardens. They will also be "highly insulated and energy efficient".
The two projects are part of the council's small sites programme of house-building, under which small garage sites, car parks and compounds the council owns are being redeveloped to create new council homes.
The construction of 26 homes in Sompting, Lancing, Shoreham and Fishersgate has been completed under the scheme since the start of 2024.
A Hastings Borough Council spokesperson added: “We are aware of the announcement about Boutique Modern, who we were working with on the building of the Bexhill Road housing site.
"We are waiting for further information about what happens next and how this impacts our plans for this site.”
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