Tuesday 09 August 2022
Select a region
News

Spencer Close sold for £16m in tenant rescue deal

Spencer Close sold for £16m in tenant rescue deal

Thursday 24 March 2022

Spencer Close sold for £16m in tenant rescue deal

Thursday 24 March 2022


A company that tried to evict Spencer Close and Spencer Lodge tenants on Christmas Eve sold the homes to Andium for more than five times the price they were bought for, Express has learned.

In order to save families living at the St. Saviour estate from homelessness, the island’s largest social housing provider struck a deal with Rockwood Investments to purchase the properties in February.

That transaction officially passed through the Royal Court on Friday (18 March).

Property contracts obtained by Express have confirmed that Spencer Close was sold for £15m, and Spencer Lodge for £1.15m. 

The sum is around £13m more than the company paid for the properties in 2003 - £2.725m and £375,000 respectively.

All tenants at the St. Saviour estate received a notice letter from Patrick Kennedy, a Director at Rockwood Investments, asking them to vacate their home by 31 March 2022 on Christmas Eve last year.

In the letter, he said that the “cost and effect of increased regulatory burdens on landlords” had led to a decision to sell.

Mr Kennedy said it was a call that had not been made “lightly, as we have always been in the rental market and appreciate that this may have an adverse effect on you.”

While those on fixed-term tenancies were later told they would be able to stay in their homes until the end of their lease, the others were expected to vacate their properties at the stated date.

The news led to upset and outcry from many of the tenants, who expressed concerns about their ability to find suitable accommodation at short notice.

Spencer_close_blurred1.jpg

 Pictured: The first letters were received on Christmas Eve.

With only a few weeks before the March deadline, Andium Homes confirmed in late February that Columbia Estates – Rockwood Investments’ agent – had accepted its formal offer to purchase both Spencer Lodge and Spencer Close.

The value of the deal was not disclosed at the time.

On Friday, Andium said it was “delighted” that it now owned Spencer Close and Spencer Lodge “and that the existing tenants have been protected from being made homeless.”

“We will be visiting all of the tenants next week. Welcome to Andium Homes,” they added.

Sign up to newsletter

 

Comments

Comments on this story express the views of the commentator only, not Bailiwick Publishing. We are unable to guarantee the accuracy of any of those comments.

Once your comment has been submitted, it won’t appear immediately. There is no need to submit it more than once. Comments are published at the discretion of Bailiwick Publishing, and will include your username.

To place a comment please login

You have landed on the Bailiwick Express website, however it appears you are based in . Would you like to stay on the site, or visit the site?