The creditors of failed modular housing firm Urban Splash House look set to miss out on over £12m owed to them, according to documents seen by TheBusinessDesk.com.
The Manchester-based company, which fell into administration last month (May), made 160 staff redundant at sites across the East and West Midlands when it called it Teneo to look after its day-today affairs. The firm also owns the Port Loop site in Birmingham and had a major factory in Alfreton, Derbyshire.
Now, according to an update from the administrator, it has emerged that there is a shortfall of £12,323,795 owed to creditors of House by Urban Splash – cash they are now unlikely to see.
Substantial sums are owed to unsecured creditors, including almost £1.8m to sister company Urban Splash Construction, £163,770 to law firm Eversheds and £130,105 to Turley Associates.
In a statement last month, Urban Splash said the appointment of Teneo senior managing directors Adrian Berry and Daniel Smith to the company will have “no impact” on the wider Urban Splash group or its operations.
“The administrators will oversee completion and sale strategies for the company’s developments”, the statement adds.
Berry said: “This appointment follows various operational issues relating to the factory in Alfreton.
“We will now look to stabilise the Urban Splash House Group by providing a platform to complete certain developments and explore sale options for the factory and the other development sites. We would like to thank all employees and other key stakeholders for their continued support.”