This is a current case that our consultants are working on now, however, as we are starting to see more and more buy back from Administration / LPA receivership its well worth writing about and letting people know we can help.
The curent position is that a high street bank lent large sums of money to the limited company in 2006 – 2007. The main asset of the Company being commercial properties. Funding had been arranged from the high street bank for improvements and renovations to the properties which would increase rental incomes and yields. The Credit and Banking Crisis then hit funding stopped for the improvements. Fast forward a few years, the bank is in a position where is has over extended itself, the project is not complete as they stopped lending and commercial property values have fallen. The banks are wanting to de-risk away from property and have asked for their money back, an LPA receiver has been appointed and the Company has been placed into Administrative Receivership.
Working quickly to understand the clients true position Enable Finance have carefully formulated a funding strategy to buy back the properties from the appointed LPA Receiver. We have identified suitable lending sources for the the buy back and negotiations have started with a new finance house.
This case is ongoing as of the date if this post and further updates will be posted. If you would like to know more why not sign up to our newsletter or contact us for further information.
- Law of Property Act, LPA Receiver more info on their powers
Phillip Evans [email protected] or mobile 0797 0500425