For all those who thought the worst was over in the commercial property market, comes news today to send a shiver through those real estate developers hanging on by a thread.
For Kilmartin Holdings and Thornfield Ventures have both been placed in administration, according to Property Week magazine. And once again, it is British banks that are in the red thanks to the demise of these companies. How many more will fall as we head into spring?
The curious flipside is that we are currently working with a US private equity group that is interested in partnering with developers on major projects worth a minimum $500 million – so long as the developer has at least 25% to bring to the table. So there is plenty of money out there, for those developers keen to pursue projects – even if the banks have lost their appetite.