Outstanding debts and other financial issues meant the Gherkin office tower had to be placed into receivership, Deloitte said.
Neville Kahn, Joint Receiver and Restructuring Services Partner at Deloitte, said:
The Senior Lenders were reluctant to appoint a Receiver but felt they had no choice due to the ongoing defaults, which have remained uncured for over five years, and concerns that the Borrowers’ lack of equity in the transaction had caused their incentives to become misaligned with the Lenders’.
The Gherkin is a truly exceptional building, a landmark recognised around the globe.
Our priority is to preserve the value of this asset.
We are in the process of communicating with all tenants and working with the property manager to ensure the continuation of all property management services with no interruption to tenants.