Browns Construction HQ fetched £925,000
THE former headquarters of Browns Construction in Cheadle fetched £925,000 when it was sold by administrators.
This was below the asking price of £1m when the 6,500 sq ft Bollin House at Cheadle Royal Business Park was put on the market.
The figure was revealed in a progress report by administrators at Begbies Traynor. The name of the buyer was not disclosed.
Browns went into administration in August 2011 with its parent Headcrown blaming weak cashflow and contract debts.
It failed owing unsecured creditors almost £6.6m, with some £3.5m to group companies. A further £1.6m was owed to subcontractors, £672,165 to trade creditors and more than £657,000 to employees.
In the latest report administrators said secured creditor Lloyds TSB had been repaid in full following the sale of the headquarters building.
Payments to unsecured and preferential creditors will depend on the amount of unpaid contract debts recovered. A statement of affairs identified contract debts of £1.8m. So far £223,598 has been recovered.
