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Agencies & People

Liquidators called in at troubled Merseyside estate agency

The most recent unaudited accounts for Loc8 Estate Agents Ltd show creditors could be owed more than £500,000.

Nigel Lewis

estate agency

A family-owned estate agency in Merseyside has called in the liquidators leaving many of its tenant, landlord and vendor clients unsure about what will happen to fees, rents and deposits handled by the company until only recently.

Called Loc8 Estate Agents Ltd and based in the town of Maghull between Liverpool and Ormskirk, liquidators are now said to be concentrating on the ‘safeguarding of rental income and tenancy deposits’.

A meeting of creditors is scheduled to take place on 30th September but the company’s most recent unaudited annual accounts for 2018 show it owed creditors over £500,000 at the end of the year with only £13,400 cash in the bank.

Estate agency insolvency

Operated by the Scott family, the business is reported to have begun insolvency proceedings voluntarily and appointed Manchester company Path Business Recovery.

According to local media reports, Loc8 fully managed 200 rental properties in the area but also handled a let-only service for more, as well as running a sales operation.

Tenants have been seen outside its premises seeking to pay their rent and it is alleged that some deposits have not been lodged correctly with a government-approved deposit protection provider.

Landlords have also been asking how they can reclaim keys to their properties, while one vendor told the Liverpool Echo that they had paid over £1,000 in selling fees upfront to the estate agency in return for a discount only a few weeks ago.

September 24, 2019

One comment

  1. This is extremely embarrassing.
    I am now retired, or rather, not working at present as have recently sold-up my business.
    It is hard to say “it serves em right” but really, clients money and deposits should be ring-fenced. In a non-compliant manner is OK as long as the signatories are responsible. They obviously were not compliant or responsible so it serves em ……

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