Losses leap at Ask Developments as refinanclng nears
ANNUAL losses at Manchester-based property company Ask Development have more than doubled to £14.8m, newly-filed accounts reveal.
The group’s accounts for the year to March 2013 also show a drop in turnover from £17.2m to £2.4m.
Net debt at the group behind Manchester’s First Street development, rose in the year to £73.4m, but Ask revealed that it has agreed a deal to refinance with its lender, the troubled Co-operative Bank. The existing bank facility is due to expire on April 14,
A statement in the accounts, signed off by auditor Grant Thornton on March 31 this year, says: “The directors have prepared a business plan together with forecasts and projections through to December 2016. These forecasts assume the continued support of the group’s principal lender and extension of the existing group borrowing facilities.
“The group are finalising an agreement with their principal lenders to extend the existing group facilities to 31 December 2016. The principal lender has confirmed that the revised facility agreement has been approved, although the final agreement is still subject to final legal review.”
In his business review ASK financial director Jonathan Cross says the group made “excellent progress across its portfolio” during the year, particularly at First Street, Manchester, Eden Square at Urmston and The Embankment in Manchester city centre.
ASK declined to comment further on the results or the pending refinancing.
Since the year end, Ken Knott, one of the founders of ASK – which was named after the first name initials of the three founders Andy Dodd, Simon Bate and Mr Knott – has left the business.
The group has recently agreed a major letting at First Street to Auto Trader, and also inked a deal with London-based investor Tristan Capital Partners for it to buy into the Greengate office scheme in Salford.
