Creditors to the retirement-home developer McCarthy & Stone are in a stand-off with shareholders over the future funding of one of Britain’s largest property companies.

Holders of tens of millions of pounds of mezzanine debt in McCarthy & Stone are bringing in Houlihan Lokey, a specialist restructuring firm, to advise them. Recent proposals put forward by debt holders and separately by HBOS, the banking group which owns 20% of the company, are understood not to have gained traction with other investors.

Daily Telegraph, The Times