Adur District Council is investigating the action to take after the construction firm Boutique Modern applies to enter administration.
The company was building 16 new council homes in Lancing, with work nearing completion.
The sites at Daniel Close and Gravelly Crescent have now halted.
The project is at an advanced stage of construction and all of the homes were due to be completed and handed over to the council within the next four months.
Boutique Modern has now issued a notice that it intends to appoint an administrator.
Council officers are now considering what action needs to be taken to secure the completion of the developments at Daniel Close and Gravelly Crescent. Work has stopped at both sites and the council is seeking to liaise with the new administrators to get more information about the projects.
At Daniel Close 7 two-bedroom homes and 2 three-bedroom homes are being built for the council. A further 4 three-bedroom, 2 two-bedroom and a one-bedroom home are being built at Gravelly Crescent.
All of the homes will have parking and their own gardens. They will be highly insulated and energy efficient, making them cheaper to run for the tenants who move in.
Both 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. Since the beginning of 2024, the council has completed the construction of 26 such homes in Sompting, Lancing, Shoreham and Fishersgate, all for Adur families.
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