Park Developments plunges further into the red with €38.4m loss

Property group Park Developments, owned by developer Michael Cotter, plunged further into the red last year to record a pre-tax loss of €38.4 million.

A €30.6 million writedown in asset values was the major factor behind the outcome. It comprises a €25.7 million writedown in stocks and work in progress and a €4.9 million writedown in development land.

The loss comes after a €1 million loss in 2010.

Consolidated accounts just filed by Park Developments (Dublin) Ltd show the loss emerged despite a 10 per cent increase in revenues, including a share of joint ventures, to €68.6 million in 2011.

The filings show that a majority of the group’s work is now taking place in the UK, which last year accounted for 53 per cent of sales.

The company, which has had its loans transferred to the National Asset Management Agency (Nama), paid a dividend of €344,365 to its immediate parent company.

The firm’s six directors – including Galway native Mr Cotter – shared aggregate remuneration last year of €960,000.

Park Developments is best known as the company behind the Park commercial development in Carrickmines, Dublin.

In a note attached to the accounts, the directors state that they have submitted a comprehensive and viable business plan to Nama outlining the company’s revised development strategy.