Primesite’s Kerry Tomlinson declared bankrupt

The developer who fronted troubled Liverpool schemes including Herculaneum Quay and The Rise has been declared bankrupt in the city’s County Court.

Tomlinson’s name was added to the Individual Insolvency Register on 5 January, according to papers seen by Place North West. The bankruptcy order stated that the case had gone before District Judge Lampkin on the petition of creditor Lendy, which is in administration currently overseen by RSM Restructuring.

An advisor to Tomlinson told Place North West in a statement: “The bankruptcy hearing comes after Mr Tomlinson personally committed to working with the administrators and the investors to ensure that the development completed with all investors able to realise their asset. Everything that could be done to save this project was done and the scheme will be fully  delivered early this year.

“Primesite’s directors were assured, after extensive due diligence, that Lendy were a funding partner that would deliver the full scheme when the agreement took place in 2016, however, the fund entered administration in 2018, taking Herculaneum Quay down with it.

“Primesite’s directors discharged their duties professionally and with integrity, with the only goal being to deliver the scheme for its investors, which we are satisfied was delivered. It is regrettable that Lendy and Saving Stream Security Holding feel it appropriate to take this action against Mr Tomlinson, when other directors have been discharged of any personal liability in this matter.“

Primesite vehicle Herculaneumco was forced into administration by peer-to-peer loans platform Lendy in June 2018, which “shocked” Primesite at the time, the developer said. Lendy had backed the scheme with a £12m funding package. It was later revealed that Herculaneumco owed a further £12m to unsecured creditors.

Less than a year later, Lendy itself went into administration, with RSM Restructuring appointed as administrator. In the same month, a rescue deal led by a special purpose vehicle of investors to complete Herculaneum Quay was announced, with Primesite Developments billed as an advisor.

The other Primesite scheme of note has been The Rise, which was taken over in December by a consortium of Nexus Residential and Legacie Developments, which intends to start on site in April.

According to administrator Duff & Phelps, contractor CPUK carried out £7m of works on the original scheme before work halted, the project later being cited as one of the reason’s for the building firm’s own fall into administration in April 2020.

At present, Primesite’s website informs visitors that the company is undergoing a two-year wind-down process, while the phone number listed on the site is now disconnected.

The bankruptcy is scheduled to be automatically discharged on 5 January 2022, in line with amendments to the Insolvency Act brought about by the 2002 Enterprise Act.

Kerry Tomlinson has been approached for comment.

The Rise Liverpool

The Rise was taken over by Nexus and Legacie in December 2020

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