Property Company could be wound-up over unpaid bill

A Co Down property company will face a winding-up petition in Belfast’s High Court court this morning over an unpaid bill.

The petition being brought by planning consultant Turley Associates against Brook Campbell Developments is understood to relate to a debt that has been owed by the company for over a year.

In a further blow, Brook Campbell in Dundonald has also had 20 properties in its portfolio repossessed by First Trust Bank. Around 20 are set to go on sale after fixed charge receivers were appointed by the bank. The properties on sale are in Belfast, Bangor, Dundonald and Conlig.

BTW Shiells commercial property estate agents is selling the properties after being appointed as the fixed charge receivers.

Brook Campbell was set up in 1999 to carry out engineering and construction work. Stephen Deyermond, a consultant at commercial property agents TDK in Belfast, said fixed charge receiverships were becoming more and more common and that his firm had received “frequent” instructions from banks in Northern Ireland.

“These appointments arise when banks have to take action with regards to loans relating to property assets, frequently as a result of insolvency,” Mr Deyermond said.

“Fixed charge receiver is a simpler and usually more cost effective route for funders to take than administration and, depending upon the nature of the charge or status of the borrower, allows the lender to secure swift control of the property asset.

“While receivers are typically appointed with the intention of realising the asset, we are also appointed where following insolvency the lender believes that we could apply our property expertise to achieve better outcomes than the borrower.”

Activities of a fixed charge receiver include co-ordinating the letting of vacant units, achieving planning consents or project management.

Banks appoint receivers to realise the assets – but the fixed charge receivers may also instruct separate estate agents to carry out the sale.

Taken from Belfast Telegraph article by Margaret Canning on Thursday 17th November 2011.