Distressed Asset Recovery

October 2010 – March 2013

Planning and Listed Building Consent was granted for the change of use and alterations of the former school buildings to create 20 apartments, alterations to the former janitor’s house, external works and the new build of one house and two flats above 3 new garages. The developer went into administration late 2009 and Ernst & Young were appointed receivers with the HSBC as the 1st Charge secured lender. Due to non-compliance of the consents and building control plus the considerable water damage the building although giving the impression of being 80% complete was stripped back to a “shell” and fitted. Construction works recommenced in January 2012 with works being completed in December with all dwelling sold by March 2013.

Total Bank Debt including Property

Net Development Revenue

Surplus (Profit) after all costs including finance

£7,657,703

£8,885,000

£362,282

The surplus was distributed to all the unsecured creditors.