THE MANAGEMENT company charged with servicing the Beacon South Quarter in Sandyford, Co Dublin, is deeply insolvent and having difficulty paying the providers of basic services such as cleaning to the large retail and residential development.
Receiver Simon Coyle of Mazars who was appointed by Bank of Ireland and other lenders recently to the assets of developer Patrick Shovlin, has called a meeting of creditors of the management company for tomorrow afternoon.
Mr Shovlin's Landmark Development group was behind the development of the Beacon Court and Beacon South Quarter. The developments include extensive retail space and hundreds of apartments. Some of the apartment blocks are unfinished.
Mr Shovin's loans are understood to have been sold to the National Asset Management Agency (Nama).
Landmarks's loans in relation to the Sandyford development exceed €200 million.
Mr Coyle has no official relationship with the management company but after cleaners Noonan Cleaners withdrew their services to the South Quarter centre, he organised a new cleaning service for the development. The anchor tenant in the development is Dunnes Stores.
It is understood that Mr Coyle will make proposals to the creditors tomorrow which, if accepted, would see it continue in business. The name of the management company could not be verified last night.
In 2006, Mr Shovlin and property investor Derek Quinlan bought the Bank of Ireland's headquarters on Baggot Street in Dublin for €200 million.
Mr Shovlin developed his Sandyford project along with brothers Pat and Tony Fitzgerald.
An enforcement action by Nama against Mr Shovlin and the Fitzgerald brothers is expected to start later this month in the High Court.
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