We specialize in leasing commercial spaces and investment services for all prime properties

Amazon’s largest warehouse project in the southern hemisphere, located in Craigieburn on the northern outskirts of Melbourne, has faced a significant construction delay. The massive fulfilment centre, originally expected to be completed by 2025, is now scheduled for completion in mid-2027. The delay occurred after the collapse of the original construction contractor, Roberts Co, which caused major disruption at the site.

This Craigieburn fulfilment centre is a key part of Amazon’s logistics expansion in Australia. Once completed, it will support faster order processing, advanced robotics-based operations, and large-scale employment in Victoria. Despite the setback, the project is now back on track after a new construction agreement was finalised.

New Construction Agreement Brings Stability to the Project

Amazon and the project developer, ESR, have appointed Multiplex as the new contractor to complete the remaining work. The building is approximately 65 per cent complete and consists of four levels with a total built-up area of around 209,000 square metres. Multiplex had already been working at the site under a temporary arrangement to keep subcontractors engaged and prevent further delays.

With the formal handover complete, Multiplex will now manage the project through to completion. According to industry sources, the construction site will have up to 290 workers on a daily basis, with the majority directly employed by Multiplex.

Amazon has confirmed that it continues to work closely with construction partners to ensure timely delivery of the facility. The company has also reiterated that the fulfilment centre will create high-quality jobs and strengthen its nationwide delivery network.

Key Details of the Amazon Craigieburn Warehouse Project

One of the Largest Robotic Warehouses in Australia

The Craigieburn fulfilment centre is designed as a robotics-enabled facility, making it one of the most advanced Amazon warehouses in the region. It will be around 9,000 square metres larger than Amazon’s robotic fulfilment centre in western Sydney, which was completed in 2022.

The size and technology involved make this warehouse a critical asset for Amazon’s long-term logistics and e-commerce strategy in Australia. Once operational, it will help reduce delivery times and improve supply chain efficiency for customers across the country.

Impact of Australia’s Construction Industry Crisis

The delay at the Craigieburn site reflects broader challenges facing Australia’s construction industry. Roberts Co was one of the most prominent contractor collapses in 2025, a year that saw a sharp rise in construction insolvencies nationwide.

Data shows that construction-related insolvency appointments increased significantly between 2024 and 2025, with further growth continuing into 2026. Rising material costs, labour shortages, and limited contractor availability have made large-scale construction projects increasingly difficult to manage.

Construction Insolvency Trends in Australia

Rising Costs and Contract Disputes

Industry experts have warned that construction costs are likely to remain high through 2026. Skilled labour shortages, low productivity, and ongoing insolvency risks are pushing costs upward for both builders and clients. Limited competition among Tier-1 contractors is also contributing to procurement challenges.

Former Roberts Co owner Andrew Roberts has stated that disagreements over cost sharing between builders and clients played a role in the company’s difficulties. According to him, strict contract administration during periods of rapid cost escalation can create severe financial pressure for contractors.

A Massive Logistics Development With Long-Term Importance

At its peak, the Craigieburn warehouse project had seven tower cranes operating simultaneously, making it one of the largest construction sites in Australia at the time. The sudden removal of subcontractor equipment in early 2024 signalled serious trouble before the contractor’s collapse became public.

Despite the delays, the project remains strategically important. Once completed, the Amazon Craigieburn fulfilment centre will support employment growth, advanced warehouse automation, and improved logistics infrastructure in Victoria.

Although the revised completion timeline extends to 2027, the stabilisation of the project under Multiplex provides confidence that this major logistics facility will eventually become a cornerstone of Amazon’s Australian operations.