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Commercial Property News
Chase the Midlands property development group falls partially into administration
The gathering crisis surrounding the housing and construction sector helped deflect attention from the troubled Chase Midland group, which has collasped into administration.
Ernst & Young, administrator to the residential and commercial developer said: ‘Chase Midland plc is the holding company and main operating company of the £90m turnover group, based in Warwickshire and the West Midlands that directly employs 50 people. Chase Homes (Eastern) is a property development company and subsidiary of Chase Midland plc.
‘The group had been experiencing significant cash flow problems in recent months. The administrators are currently assessing the financial position and viability of its business. The majority of the group's subsidiaries are not affected by any insolvency process.’
PricewaterhouseCoopers is thought to have been making progress with the administration of Chase Norton Construction, which directly employs 123 people and has a turnover of £40million, but the fate of Harborne Apartments, the company behind the 94-apartment development in Harborne, remains unclear.
The firms are thought to have run into difficulty when they were starved of working capital as lenders refused to back them any further.
The collapse of the various companies has so far led to the loss of 157 jobs and all work on their projects has been suspended pending the outcome of administration.
Among the divisions to have escaped problems are Chase Commercial and Chase Partnership.
Ernst & Young, administrator to the residential and commercial developer said: ‘Chase Midland plc is the holding company and main operating company of the £90m turnover group, based in Warwickshire and the West Midlands that directly employs 50 people. Chase Homes (Eastern) is a property development company and subsidiary of Chase Midland plc.
‘The group had been experiencing significant cash flow problems in recent months. The administrators are currently assessing the financial position and viability of its business. The majority of the group's subsidiaries are not affected by any insolvency process.’
PricewaterhouseCoopers is thought to have been making progress with the administration of Chase Norton Construction, which directly employs 123 people and has a turnover of £40million, but the fate of Harborne Apartments, the company behind the 94-apartment development in Harborne, remains unclear.
The firms are thought to have run into difficulty when they were starved of working capital as lenders refused to back them any further.
The collapse of the various companies has so far led to the loss of 157 jobs and all work on their projects has been suspended pending the outcome of administration.
Among the divisions to have escaped problems are Chase Commercial and Chase Partnership.
Wed, 9th Jul 2008