Elliot Group’s £70m Salford scheme to be sold to original investors

Liverpool developer Elliot Lawless says he has worked with administrators to agree a deal that will see the successful disposal of his £70m Residence scheme, in Salford, to a consortium of its original investors.

The deal will require an application to be made to Court to achieve the sale.

Lawless said he has agreed to transfer his freehold interest in an adjacent site to the consortium to secure their positions.

The developer last year worked with investors on the same basis to rescue the Aura scheme in Liverpool. Work has since resumed on site and the development is now nearing completion.

He said: “My motivation throughout the administration process was to protect my investors.

“They helped me build my business and I was duty bound to look out for them. I’ve worked tirelessly for 12 months on this and my thanks go to the administrators and to the investors for staying the course.”

Administrators Paul Cooper and David Rubin, of David Rubin and Partners, said: “Administrations of this type require a collective will to get them over the line and credit is due to all parties.

“It’s a very attractive and well-located scheme and we are looking forward to seeing it built out and occupied.”

The 300-unit scheme comprises two blocks of 14- and 34-storeys, with the concrete frame for the 34-storey tower completed before the project was placed into administration by Elliot Group in March 2020.

The scheme collapsed when investor confidence disappeared following the execution of warrants and searches of properties owned by Elliot Lawless in December 2019.

Merseyside Police has since conceded in the High Court that these were unlawful and no charges have ever been brought.

Lawless says his focus will now shift to completing deals for the Infinity project in Liverpool.

“The aim is the same,” he said.

“I want to ensure investors’ monies are protected and that we can complete the project without further delay. I wish the investors in The Residence the very best as they bring that project to fruition.”