Foley Street Homes Limited (11118468): administration
- Status
- Administration ended
- Administration began
- 2024-02-29
- Administrators
- David Frederick Shambrook, Glen Carter
- Administrators' firm
- RSM
- Incorporated
- 2017-12-19
- Location
- Manchester
- Industry
- 41202 Construction of domestic buildings
Why it went into administration
- Funding withdrawn / unable to refinance
- Creditor pressure / legal action
- Property / lease costs
- Rising interest rates
From the administrators' statement
The Company was incorporated on 19 December 2017. The Company was set up as a Special Purpose Vehicle (‘SPV’), with the aim to convert a former care home situated in Hawarden, North Wales (“the Property”) into a specialised residential building, providing accommodation for individuals with autism. Sir Bernard Gray (“the Secured Lender’) provided a loan to the Company and in return the Company granted the Secured Lender a Debenture.
The Property comprises of a care home which is now disused and in a poor state of repair situated with open land to the rear. The aim was to convert the care home into 16 complex living quarters with an additional 14 supported living apartments. Planning permission was rejected in December 2022 as it was deemed the scale of scheme was too large and the site would be overdeveloped.
The Company first faced difficulties towards the end of 2022. With rising interest rates, the Company could not raise the necessary funds to proceed with the proposed conversion of the Property and with planning permission being rejected, the Property has been derelict since 2017, with the director’s view to market the property to developers in the local area.
Administrators' statement of proposals (2024-05-02) · Companies House register