Administrators finish work on housing scheme

ADMINISTRATORS for a development company have completed a Northumberland residential development that the failed firm set out to build.

- COREENA FORD

Lok Developments 05 Limited fell into administration last October, more than five years after it was launched with the sole purpose of constructing commercial and residential buildings.

Its main asset was a partially completed freehold development at Prospect House in Hallgate, Hexham, which it acquired in 2019 for £700,000.

Once complete, it was estimated the project would have a gross development value of around £3.53m.

However, Nick Myers and Alex Cadwallader of Leonard Curtis were appointed joint administrators on October 29, 2024, after the secured creditor HT Investment SARL - which had provided a loan facility of around £2.7m to the company - took the decision to place the company into administration, in order to protect its interests and continue with the build-out of the development.