Cash trouble leads to sale of property
Published at 21:35, Wednesday, 27 June 2012
A COMPANY director who owns commercial and residential buildings in Langholm – estimated to be valued at about £1m – has appointed administrators.
Andrew Scott, director of Langholm Properties Limited, has decided to dispose of some of his commercial property in the town. His company owns several properties on the High Street as well as the post office.
The administrator’s report says Langholm Properties Limited was formed in 2003 by Mr Scott and operated as a property rental company.
It says: “The company built up a residential and commercial property portfolio of eight properties, all located in Langholm. Since 2004, the company had been supported by Clydesdale Bank.
“During 2011, the company began to experience cash-flow difficulties as a result of a drop in rental income due to properties being vacant.
“As a result the company was unable to adhere to its arrangement with Clydesdale Bank.
“Mr Scott then took steps to place some of the properties on the open market but was unable to secure any sales in the current market.
“After discussions with Clydesdale Bank in February, the director took the necessary steps to appoint administrators.”
Mr Scott said: “In March, I appointed Begbies Traynor to formulate a marketing plan in the hope of finding, over time, suitable buyers.
“This is intended to lead to an orderly disposal of the company’s properties and to provide opportunities to those who can move ahead with the development of businesses in the individual premises.
“This does not in any way affect existing tenants or their businesses. Current leases will continue without interruption or inconvenience to tenants, suppliers and customers. New leases on vacant properties can be agreed and I aim to make sure that the High Street starts to look busy again.
“The past four years have been very difficult for those involved in High Street retailing and banks give little or no support to small businesses.
“Imaginative ideas and innovation are needed to rejuvenate these activities and I feel that others might be better able to devote their energy and enthusiasm to the task.
“I shall continue as Langholm subpostmaster and want to actively contribute to any efforts to improve trading conditions in Langholm.”
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