Receivers appointed to Rathmolyon development leaves buyers in further limbo
Distraught buyers of a new Rathmolyon housing estate say they are “shocked and disgusted" after receivers were appointed to the development without their knowledge.
It was confirmed today that receivers have been appointed to Meathamatic Ltd, the company behind Ring Fort in Rathmolyon.
It comes after a dozen buyers who entered into contracts with the developer were last month asked to pay an extra €60,000 on top of the agreed sale price of €275,000 due to the project running into financial difficulties.
Buyers of ‘Ring Fort’ a development consisting of 16 three- and four-bedroom semi-detached homes in Rathmolyon signed contracts and paid thousands in deposits, some more than three years ago but now have no idea if the project will ever be completed or if they will get their deposits back.
The developers have previously flagged significant cost issues, including higher than allowed for materials costs and rising debt servicing costs.
Spudmuckers Limited, which is owed a significant figure from the company , has appointed Interpath Advsory as receivers to Meathamatic. Spudmuckers is an investment company backed by, among others, Joe Elias, a businessman who is also a director of Meathamatic. Spudmakers is the largest creditor of Meathamatic, which hoped to develop the housing project of about 16 homes aimed at first-time buyers.
The development was being built by MDS Construction, a company headed by RTÉ Home Rescue star Peter Finn, he resigned as a director of Meathamatic late last year.
One buyer who asked not to be named said she is furious that buyers hadn’t been informed first.
"None of us were made aware, none of us knew that this was happening, our solicitors haven’t even been informed yet, we found out on social media that they had appointed receivers,” she said.
“We are in shock and absolutely disgusted that there was no courtesy email made through our solicitors let alone us, that we had to find out online,” she added.
“We have no idea where we stand, some of us are three years into this nightmare and it looks like no end is in sight.”
Buyers met with the developer last month who said an extra cash injection was needed or the estate would not be completed.
“There has been radio silence since this meeting for the extra 60k and that was three weeks yesterday,” said the would be home owner. "They are not answering phone calls or emails."
“I’m pretty sure there are two houses who pulled out who haven’t received their deposits back.
“What’s to stop this happening in every other estate as time goes on?”
The buyer says she hopes that engaging with the receivers will bring some answers.
"I contacted the receivers today and they have been very amicable, they said they would be more than happy to meet us, that the file had just landed on their desk this morning so they needed to establish the facts before they could establish a strategy about the house."