Pinnacle administrators put Victoria House up for sale
Less than a month after the collapse of Pinnacle Residential Liverpool, administrators have put one of the failed developer’s projects on the market – a 70-apartment scheme at Victoria House on James Street.
Administrators from Dow Schofield Watts were called in to the company last month, a special purpose vehicle of Pinnacle Alliance, which continues to trade.
The company was set up to deliver the scheme at Victoria House, which included the conversion of the upper floors of the building on James Street into flats.
The developer had already sold a number of the apartments off-plan, with studios priced from £66,250; one-bed flats priced from £84,610; and two-bedroom flats priced from £161,400. Around 40 of these were sold off-plan in total, at a combined cost of £2.2m.
Brochures marketing the project overseas suggested it would complete by the end of 2017, but very little work has taken place.
Like a number of other Pinnacle projects, Goodwin Construction was originally attached as contractor for the scheme but is understood to be no longer involved.
Plans to open a Wetherspoons pub on the ground floor are unaffected by the development of the building above, and will not be impacted by Pinnacle’s collapse.
Director Carl Mills is listed as Pinnacle Residential Liverpool’s sole active director at Companies House. Mills is also a director at Pinnacle Angelgate and Pinnacle Student Developments Liverpool, which have both also entered administration in the past six months. Convicted conman Tony Freeman has been linked to the Angelgate development.
Lisa Moxon of Dow Schofield Watts said: “Since being appointed in April, we have corresponded with all of the investors, creditors and the buyers’ security trustee company. There are insufficient funds available to complete the development.
“Our strategy is to market the property for sale in order to achieve the best sale price with a view to maximising returns to the company’s creditors and the buyers’ company. Due to the fantastic location of the property, we are anticipating a high level of interest from potential purchasers.”
The administrators have instructed Eddisons to market the property.
Again a Pinnacle firm causes harm to the Liverpool property market and citys reputation. Paramount and Quadrant are bad enough, now this. Investor confidence is damaged. The contractors and their employees must be out of pocket too. Angelgate, Spectrum, Paramount, Quadrant and Xchange all failures and yet they are still trading…how come?
By Anthony
Any company that works for a SPV I’m tempted to say get what they deserve. We are all offered bad debts, in the form of outrageous risk profiles by developers, and its our fault if we accept them.
By Verum
I suppose the investors money paid in is still safe? if no work has been done then plenty should be available to creditors….if there isn’t…and let’s face it…there isn’t.
Then WHERE HAS THE MONEY GONE?
By Mike
Multiple SPV’s have failed here, will the directors be bought to account for investors losses? Will those directors finally give up the person behind these schemes?
By Julie
still trading, how ? why?
By stacey