The property billionaire brothers Nick and Christian Candy were racing to save plans for the world's most luxurious residential development last night, in the wake of the crisis engulfing the Icelandic banking sector.

Today is the repayment date for a $365.5m (£212m) loan owed to Credit Suisse relating to the 9900 Wilshire project in Beverly Hills. But some 60% of the total is held by Kaupthing, Iceland's beleaguered largest bank, which has been threatening to abandon the deal for more than a week.

Against the backdrop of continued turmoil in Iceland's financial services sector, and Kaupthing's UK arm being taken into administration, the tycoons and their banks were yesterday locked in frantic talks to hold the Wilshire scheme together. Statements from the Candy brothers confirmed a desire to keep Kaupthing at the table, but they have also sounded out potential replacement investors to ensure that the development goes ahead.

The eight-acre site was bought by Kaupthing and CPC Group – Christian Candy's Guernsey-based company – last year for $500m.

The Independent