Lendlease Group (ASX:LLC) said it will appeal a recent court ruling which did not support the company's ability to exercise its contractual rights over certain land parcels in its Figtree Hill project in New South Wales, according to a Tuesday filing with the Australian bourse.
In November 2024, the company said that specific conditions required to secure its contractual rights over the parcels had not been met.
Despite ongoing discussions with the landowner of the parcels for a revised agreement, the matter escalated to legal proceedings, the filing said.
The court's decision comes after environmental challenges, particularly concerns over the local koala population and the necessary construction of movement corridors, delayed the project's progress, the filing added.
The company is in ongoing talks with the landowner for a revised agreement and estimates a potential loss of up to AU$100 million if it cannot secure the land.
Lendlease confirmed that the loss will not impact its earnings guidance for the fiscal year 2025.
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