Bank of Ireland has seized control of Sligo Retail Park in Carraroe.
The retail park is one of four provincial shopping centres where the Bank of Ireland has appointed receivers in an effort to deal with an exposure of more than one hundred (100) million euro.
Kieran Wallace and Patrick Horkan, accountants with MP NMG, have been installed as receiver in the shopping centres located at Carraroe (Sligo), Letterkenny, Tullamore and Monaghan town.
Bank of Ireland advanced more than one hundred (100) million euro to fund development of the four centres in boom times but, according to The Sunday Business Post
, the Bank has become increasingly concerned about its exposure.
The centres are owned by a consortium of businessmen which includes William Moffet, Pat Doherty and Anson Logue.Anchor store
Total floor space in the Sligo Retail Park is estimated at over 250,000 square feet.
Homebase is generally regarded as the anchor store, with other prominent stores including PC World, Halfords, Currys, Harry Corry and also a group of fast food outlets including McDonalds which moved from O'Connell Street, Pizza Hut and KFC. Smyths Toys opened a store there last week.
Located two miles outside Sligo town, the Retail Park has been the subject of controversy as from its start it has been repeatedly refused permission, under the county development plan, to include food and clothing retail outlets. Because of this the consumer footfall has suffered.
Sligo Chamber of Commerce has been the main voice against developing the Park as an 'all inclusive' shopping venue.
Over the past few years the Park has seen several high-profile companies pull out of Sligo Retail Park citing a 'challenging retail environment' as the primary reason for the exit. At one stage less than half of the Park's 14 units were occupied. Casualties included, 2 Seasons, InStore, Avondale, Furniture, Classic and Reid Furniture.SligoToday.ie
understands that both Dunnes Stores and Tesco own substantial plots of land both adjacent to, and directly opposite, the Park ready to be developed. Some of these plots have been neglected and have become eyesores and groups like the Sligo Tidy Towns Committee have been striving to have them improved. The sites are often used for travelling circuses and fairs.
It is, at this time, unsure what effect Bank of Ireland's seizure will have on future trading at the Park.