Asquith Properties, a West-Yorkshire based residential developer, has gone into administration.
PricewaterhouseCoopers has been appointed administrator of the company whose developments included Gatehaus in the centre of Bradford.
The administrator said the company had cash flow problems as a consequence of ‘the well documented problems in the UK property market and the difficulties in raising development finance caused by the credit crunch environment.’
Steve Ellis, joint administrator and partner at PricewaterhouseCoopers in Leeds said: ‘Despite financial support from its bankers and the shareholders, the company has encountered severe cash flow problems as a consequence of escalating development costs on the Gatehaus development project and an inability to realise value from its land and property assets due to the troubled UK property and development finance markets.
'Curtailment of these developments has generated significant losses as the projects cannot now be funded.’
The company’s remaining property and land assets in Bradford and Queensbury will be marketed to recover value for creditors. The company has five remaining employees.