New owners of the Lower Dens site in Dundee intend to reveal their hotel plans for the former textile works in the near future.
Jean-Pierre Permutt, director of real estate and finance company Percor Capital, said: “We are finalising details of our plans and intend to make an announcement about the first phase of the redevelopment in the next few weeks.
“It is our intention that the first phase should be a hotel.”
The Lower Dens site was marketed for a hotel development because of its proximity to the central waterfront area and the V&A Museum of Design.
It was subject to a previous hotel project which stopped after former owners Lindores (Lower Dens) Ltd ran into debt funding problems which affected two other firms in the Lindores Group.
The three Lindores property development companies were put into administration by their owner Tim Allan, the former president of Dundee and Angus Chamber of Commerce, with total liabilities of almost £15.5 million.
Reports on the administration filed at Companies House explain that Lindores (Lower Dens) Ltd owned the Lower Dens Works, the Stable Warehouse and the Marquee, Smugglers and Customs House public house.
Lindores (Lower Dens) had been in discussion to sell the buildings excluding the Stable Warehouse.
Administrators RSM Restructuring engaged agents to proceed with the sale of Lindores (Lower Dens) Ltd excluding the Stable Warehouse.
An offer of £725,000 for the Lower Dens Works, the Marquee Smugglers and Customs House was accepted from Percor Capital.
A sum of £25,000 was paid to a third party who had a financial interest in The Marquee Smugglers and Customs House public house. Negotiations for the Stable Warehouse are ongoing.
The secured creditor’s debt for Lindores (Lower Dens) is £4,342,647. That party has so far received £615,000 from the sale of Lower Dens Works and the Marquee, Smugglers and Customs House public house.
