Liverpool flat scheme put up for sale as developer goes into administration

Victoria House – a Liverpool city centre development which was being converted into residential apartments – has been put up for sale following the administration of the company behind it.

Pinnacle Residential (Liverpool) Ltd was placed into administration on April 5, with Lisa Marie Moxon and John Allan Carpenter of Dow Schofield Watts Business Recovery appointed as joint administrators.

The company was a special purpose vehicle set up to convert the upper floors of Victoria House on James Street to more than 70 residential apartments. The conversion works have not been completed.

More than 40 units have been sold “off plan” to investors for £2.2m.

The administrators have confirmed that the investors are entitled to claim as creditors in the administration for the balance owing to them.

Lisa Moxon 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 in Liverpool to market the property for sale.

Pubs group Wetherspoon confirmed in February that it was to open a pub on the ground floor of Victoria House.

It is believed its plans are not affected by the sale of the building.

Pinnacle Residential (Liverpool) is part of the Pinnacle Alliance group of companies.

The firm was also building The Quadrant student block in Shaw Street, Everton, with plans to sell the flats to overseas investors, but work stopped two years ago after the collapse of building firm PHD1 Construction.

Pinnacle Student Developments (Liverpool), the company behind The Quadrant, went into administration in January.

In Manchester, Pinnacle’s Angelgate scheme was also hit by severe delays, sparking protests in Hong Kong among investors who had bought apartments.

The company behind that development – Pinnacle Angelgate Ltd – was put into administration last year.

Last month Far East Consortium (FEC) acquired the site of the failed Angelgate residential development in central Manchester for an undisclosed sum at an online auction.

The 1.96-acre Dantzic Street site has been standing empty since Pinnacle (Anglegate) went into administration in September 2017, having been granted planning permission by Manchester City Council for a £77m, 344-home scheme across two towers in 2013.

Gavin Taylor, regional general manager of FEC Manchester, said: “Having acquired the Angelgate site at auction we will prepare new plans for a residential development and hope to submit a revised planning application to Manchester City Council before the end of 2018.”