The extent of the financial difficulties faced by the Urban Splash joint venture as it collapsed into administration has been revealed

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The extent of the financial difficulties faced by a modular housing joint venture between Urban Splash and a Japan-based giant as it crumbles into administration has been revealed for the first time.

Urban Splash Housing Holdings was a joint venture between Manchester-based property company Sekisui House UK – a subsidiary of Japanese company Sekisui – and Homes England which held 4% of the shares.

The group had a number of development sites and a modular construction factory in Alfreton, Derbyshire.

READ MORE: Urban Splash joint venture enters administration with 160 laid off

The joint venture started operating in May with 160 people made redundant.

His modular homes have been used at sites such as Wirral Waters and New Islington in Manchester.

Teneo Financial Advisory, which recently oversaw the sale of Studio Retail Group and Missguided, has been appointed as a director.

Now documents recently filed with Companies House have revealed how much the joint venture owed its creditors when it collapsed.

According to the documents, which were filed by Teneo, the joint venture owed creditors more than £8.3million and had an estimated total deficit of £4.4million.

Its largest creditor was Sekisui House UK Limited, which held more than £7.6million, while Urban Splash Management Limited held £238,615.

The joint venture had over £4 million to distribute to secured creditors, but the over £8.3 million it owed unsecured non-preferred creditors caused it to have a total deficit of 4, £4 million.

Teneo declined to comment when approached by BusinessLive.

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