An Australian billionaire has publicly claimed that the multi-million-pound renovation of his luxury Melbourne penthouse is seriously substandard, despite an investment of almost $12 million. Adrian Portelli, founder of the rewards company LMCT+, brought in a popular site inspector to assess the work after experiencing a bad gut feeling and a year-long delay.
A Dream Renovation Turns Sour
Portelli purchased the sprawling 1,200 square metre penthouse in the 'Sapphire by the Gardens' development for $39 million in 2023. His vision was to transform the space into an ultra-luxurious events venue, complete with a cigar bar, private cinema, indoor pool, and a wellness room. However, the project has been mired in problems.
After growing concerned about the progress, Portelli enlisted TikTok and YouTube construction site inspector Zeher Khalil to conduct a thorough review. The pair filmed a two-hour inspection where Khalil identified significant issues. "I had a bad gut feeling. It was meant to be finished 12 months ago," Portelli explained in the video. "The more we've dug, the more we've found."
Significant Defects Uncovered
During the assessment, Khalil pointed out multiple faults that he argued would require extensive remedial work, with some areas potentially needing complete demolition. Key problems identified included:
- Faulty waterproofing leading to leaks.
- Incorrectly fitted tiles and wall panels.
- A shower that leaked outside its wet area within minutes of being turned on.
"12 minutes in and the shower is leaking all the way downstairs and possibly even to the people under us. I am shocked," Khalil stated. He also highlighted a piece of panelling that was poorly secured, remarking, "Mate, it's stuck with silicone or something." His overall verdict to Portelli was stark: "I think it's gonna be a lot of work, man."
Financial Discrepancies and Legal Action
The financial aspect of the project has also raised serious questions. Portelli revealed that the initial contract price was approximately $11.7 million. However, after terminating the agreement and reviewing his accounts, he alleges he had paid the builder $15.5 million—nearly $4 million over the agreed sum.
"This (penthouse) may be like 70 per cent complete, so there's a lot of money that's [allegedly] going missing," Portelli claimed. The construction company involved, Black Sheep Building, stated that matters relating to Portelli's allegations "are currently before the Supreme Court." Portelli, however, told news.com.au he was unaware of any Supreme Court case strictly about his penthouse.
In a separate legal matter, Black Sheep Building successfully took Portelli to court late last year over unpaid payment claims related to a different $14 million development project in Gosford.
Portelli, who says he has awarded the builder contracts worth over $300 million in the past, stressed his motivation for going public was to raise awareness. "It's not about the money," he said. "It's important enough to raise awareness, get the message out there... It's happened to me so it can happen to anyone." He believes their combined audience of millions will help hold builders accountable for poor workmanship.
