trading when Bellhill went into administration. In documents filed at Companies House, joint administrators Blair Nimmo and Alistair McAlinden of Interpath state that the “most likely” exit from administration for the business will be a creditors’ voluntary liquidation, adding that “we propose to seek appointment as liquidators”.
Documents show that the administrators have appointed property agent Christie & Co to market the freehold of the property, which had a net book value at appointment of £11.56 million.
“In tandem with Christies, we are currently preparing the hotel and collating the required information for the sales process, with the intention being to commence the marketing process shortly,” the administrators state.
According to the filings, the sole secured creditor of Bellhill on the appointment of administrators was the Bank of India.
The company had two term loans with the Bank, totalling £3.256m at the time of the appointment and subject to continuing interest and charges until they are repaid in full. The loans were secured by standard securities over the hotel, along with a first rank floating charge over the company’s business and assets.
“Based on the information on hand and subject to any unforeseen issues arising, we currently anticipate that the Bank will be repaid in full under the terms of the standard securities held,” the administrators state.
The administrators add that they expect to ordinary preferential creditors, including employees due wages, holiday pay and pension benefits, to be paid in full. These claims are expected to total £77,000. Secondary preferential claims estimated at £128,000, which include claims related to VAT, PAYE and National Insurance contributions, are also expected to be paid in full.
It is estimated that unsecured creditors receive a dividend, with the amount and timing still to be determined.
