Real Estate Opportunities said Ernst & Young had been appointed administrator to four companies over £325 million of debt linked to the stalled Battersea Power Station regeneration project in London.

On November 30th, Reuters reported lenders Lloyds Banking Group and Ireland's National Asset Management Agency were seeking to have administrators appointed over the unpaid debt.

Accountancy firm Ernst & Young was appointed administrator to REO (Powerstation) Ltd, REO (88 Kirtling St) Ltd, REO (8 Brooks Court) Ltd, and REO (Site Assembly) Ltd, AIM-quoted REO said in a statement.

These four companies are subsidiaries of Battersea Power Station Shareholder Vehicle Ltd (BPSSV), which is the holding company for the dilapidated landmark whose four towering chimneys are a feature on the London skyline.

REO owns 54 per cent of BPSSV.

"The administration order does not apply to the company or BPSSV and the company's other assets, which are situated in Ireland, are unaffected by this development," REO said.

The protected status of the disused red-brick power station, which featured on the cover of Pink Floyd's 1977 album Animals, has been a major stumbling block for redevelopment over the last three decades.

Reuters