My Bank has appointed a receiver to manage my property portfolio because arrears for the loans have increased. The fear is that they will force fire sale of the lot leaving me with nothing. Portfolio value is £12m against loans of £5.8m. Wht can i do to stop this from happening?
Have you been made bankrupt?What is in the loan terms about them appointing someone?
I have not been made bankrupt. They have appointed Allsops as rent receivers. Allsops are also auctioneers who are only interested in taking the properties to auction. They have sub- appointed their own rent receivers. The bank has shown their ultimate intentions by appointing Allsops rather than a firm specialising in just rent receipts. The terms of the loans allow the bank the right to apponit rent receivers but to force the sale of such a large portfolio in the current times when i would lose everything is grossly unfair while there are other options to follow.
You could try and get an injunction preventing the bank from taking this course of action and to appoint rent receiver instead. My only concern is that the agreement allows for them to take action.In the terms for them to be able to do this, are there any 'trigger' events?
The arrears are historic and they allowed them to continue over the last year. However , i have been appointed a new manager and it is his decision to now act in this way. The arrears position was just about to be arrested and improved but will now worsen drastically because of the huge fees being charged to the accounts by these new parties. This worsening position will enevitably lead to forced sales in the very near future.
Have you asked them to capitalise the arrears?
The loans fixed money market loans for 5 years and do not have this facility. How would i go about the injunction route.
Ideally you need to see a Solicitor. I can tell you the Court fee is £150 for this, plus any legal costs. You should be aware that if you do lose, you would be responsible for the other party's costs.
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