Stobart Group, the transport and logistics company, has written down the value of its stake in the office scheme One Plantation Place to nil.
Stobart owns a stake in the building following the merger of The Westbury Property Fund with Eddie Stobart Group 12 months ago.
It said in a statement at its interim results for the six months to 31 August 2008 today that: ‘Following the downturn in the commercial property market, we have reviewed the carrying values of our investments in joint venture property investments. In particular, the investment in One Plantation Place, a joint venture investment property, has been written down - as previously anticipated - by £23.3m to nil in the period.’
But it said the ‘underlying quality of the building, its location and tenants’ remain strong.
Stobart is in the process of disposing of all its property investments.
The owners and holders of bonds secured against the rental income at One Plantation Place are in the middle of a tussle over the sale of the building.