The Bliss Hotel in Southport owed more than £18m to creditors when it went into administration

A Southport hotel owed more than £18million when it collapsed into administration.

Documented new show that Bliss Hotel, on Southport Promenade, owed more than £18million to creditors. The waterfront hotel remains open as a new buyer is sought.

Future owners have until next Friday (December 9) to submit an offer after it goes on the market at the end of September. The building is located near the future marine lakes event center.

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It features 131 rooms and penthouses, a lounge bar, restaurant, rooftop garden, gym, conference and event space, and secure underground parking for 120 cars. None of the 90 staff members have been made redundant.

Head quarter Waterfront Southport Properties Ltdas well as the subsidiary Waterfront Hotels (Southport) Ltd appointed Paul Davies and Sandra Mundy of consultancy firm James Cowper Kreston to manage the administrative process in October, the Echo reports.

According to documents recently filed with Companies House, Waterfront Southport Properties Ltd owed £18.2million to creditors when it entered administration. More than £16.2m of that sum was owed to ICG-Longbow Senior Secured UK Property Debt Investments Ltd – the charge holder who forced the two companies into administration.

The charge holder was the primary source of funding for both companies. However, the incumbent said the companies failed to meet their interest payment obligations, failed to meet asset reporting obligations, and net operating income and loan obligations. value.

The joint administrators said: “We consider that there will be a significant loss of income for the secured lender under its fixed charge, although the charge holder is likely to recover part of its debt in the associated company. which is also subject to administration.”

Other creditors include HMRC, although administrators say the amount owed remains uncertain. The joint administrators also warned that unsecured creditors “cannot expect a distribution of this heritage”.

They added: “As we continue to honor deposits that customers have made during the pre-appointment period (these include reservations for accommodations, weddings, receptions, etc.), we do not consider that they are currently creditors and we expect that when the hotel is sold that the purchaser will continue to honor these reservations to preserve the commercial activity of the company.

“However, if this position changes, we will notify customers of the deposits and offer them the opportunity to make a complaint to the administration, although we do not expect there to be funds available to make a claim to them. distribution.”

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