Pumpfields Regeneration Company Limited

Pumpfields Regeneration Company Limited (the “Company“), the owner of the Metalworks scheme, an 0.78 acre plot of development land located in the Vauxhall district of Liverpool, entered administration on 8 March 2021, on appointment by MoneyThing (Security Trustee) Limited, the only secured creditor of the Company with the power to appoint an administrator.

The proposed development – 300 new apartments – was not built after the Company ran into financial issues and ceased trading prior to the administration. MoneyThing itself had also entered administration by this point.

In their Progress Report delivered on October 5, the Joint Administrators reported on their efforts to market the property for sale. Complicating the Joint Administrators’ work has been the fact that Metalworks is subject to 122 individual security interests held by 80 secured creditors of the Company. This is an unusual scenario which has given rise to a number of complexities regarding the order of priority of the secured creditors’ claims and the manner in which a sale of the Metalworks can be achieved.

Following an extensive marketing period working with CBRE, the Joint Administrators have accepted an offer. Contracts have not yet been exchanged and, due to the commercial sensitivity of this stage of the sale process, the agreed sale price for the Metalworks has not been disclosed.

As the Metalworks is a fixed charge asset, the Administrators have sought the consent of all 80 secured creditors to proceed with a sale of the Metalworks by way of consent. If sufficient consent is not received, an application to court will be made before any sale can complete.

The sale of the Metalworks will result in sufficient funds to enable a distribution to some of the secured creditors in line with the order of the priority of secured claims. The Joint Administrators will be writing to each secured creditor to inform them of their individual positions.

Finbarr O’Connell and Colin Hardman of Evelyn Partners are the Joint Administrators. They are assisted by Wedlake Bell.

The full report can be found HERE.