Investors to miss out as Legacie swoops for stalled scheme
The developer has agreed to buy the 145-apartment second phase of Parliament Residence in Liverpool’s Baltic Triangle out of receivership, and plans to invest between £15m and £20m in the project.
Legacie Developments’ acquisition comes after the development, which was previously being delivered by Assetcorp and is 70% complete, fell into receivership at the end of last year, as revealed by Place North West.
LPA receiver David Currie & Co was appointed to recover a charge lodged by investor Collateral Investments from AC Parl Street 2, the special purpose vehicle set up by developer Assetcorp to deliver the project, according to a Companies House filing.
Around 140 investors in the project claim to have paid deposits of up to 60% on one-bedroom apartments valued at £120,000 and two-bedroom units valued at around £150,000.
Darren Bennett, founder of real estate consultancy DCBM, had been attempting to coordinate a recovery package for the investors to help them recover their deposits but said it had been “challenging”.
Legacie Developments, which also stepped in to complete Primesite’s stalled The Rise in partnership with Nexus Residential last year, is expected to complete the acquisition, worth around £6m, next week.
It is not clear whether investors will be able to recover their deposits, under the deal.
A spokesperson for Legacie Developments said: “We have put in a bid to rescue this development. It is currently in a dangerous condition from the damage that has been caused once the site stalled, and requires significant investment to bring it to standard.
“Our vision is to create a quality residential development on this site so that Liverpool is not left with another stalled scheme. Legacie has a track record of delivery in Liverpool and so we hope to revive this project to make it something the city can be proud of.”
The second phase of Parliament Residence comprises a stepped-height eight- and 11-storey building containing 145 one- and two-bed apartments designed by architect Falconer Chester Hall, was being built by Abodus Construction, a subsidiary of Assetcorp.
Assetcorp has already delivered the 44-apartment first phase of the scheme, which sold out ahead of completion in February 2018. This phase was built by Goodwin Construction and project managed by consultant Avison Young.
The project team for Parliament Residence also included M&E Abacus; cladding firm BAK; curtain walling contractor WDS; structural engineer Clancy; fire consultant OFR, and approved project inspector Quadrant.