Edinburgh-based residential developer Highmore Homes, part owned by Highcross the Newbury-based fund manager, has gone into administration.

Highmore Homes, has asked its bankers, HBoS, to appoint an administrator in an attempt to rescue the business.

The Highmore business was bought by Highcross last year from Kenmore.

A spokesman for Highcross said: 'Despite a strong sales record and low built stock, the company was finding that there are plenty of purchasers willing to commit, but who were failing to secure mortgages to complete the deals. The management are discussing a rescue package with the administrators.’

It is thought that it had planned to build around 500 homes in 2007/08 and it had a projected development pipeline of around 3,000 units.

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