GVA appointed to sell Liverpool development site
The joint administrators of Pinnacle Student Developments (Liverpool) Ltd have instructed GVA to market for sale The Quadrant development site in Liverpool.
Registered in Manchester, Pinnacle Student Developments (Liverpool) was a special purpose vehicle used to acquire and develop the 240-bedroom student accommodation scheme on Shaw Street, Liverpool, which was granted planning consent in 2012.
The apartments were sold off-plan to individual investors, the majority of whom were based overseas.
However, building work ceased following the administration of the main building contractor, PHD1 Construction.
With insufficient funds available to complete the build and with no development finance strategy available that was to the satisfaction of all stakeholders, the building has since remained unfinished.
Joint administrators from KPMG’s restructuring practice were appointed to Pinnacle Student Developments (Liverpool) in January 2018.
Since that time, the administrators have assessed a range of exit options, including the potential build-out of the property.
Paul Dumbell, director at KPMG and joint administrator, said: “The ability to build-out the development in administration is not possible.
“In order to maximise the return to creditors, we consider the only viable option is to sell the development in its current condition.
“We will be working closely with GVA over the coming weeks to market the development for sale.”
Chris Walker from GVA’s restructuring solutions team, added: “GVA is delighted to be working with the joint administrators on what is a well-positioned and prominent student accommodation scheme in Liverpool city centre.
“Liverpool’s private student accommodation sector has enjoyed steady, positive growth over recent years and sentiment in the sector remains strong.
“The Quadrant offers an exciting opportunity to create value through delivery of the existing permitted scheme to fulfil its potential or through exploration of alternative uses and further development on site.
“We anticipate a good level of interest in the property and are confident of delivering a successful outcome for the creditors.”
The sales process is expected to last for a number of weeks before parties are invited to submit final bids for consideration.