Gerry Prendergast, one of the 3 directors of the Millennium Park estate, stated that they have already started working out with the National Asset Management Agency (NAMA) for loans and they have already on the process of trying to sell properties to be able to clear their debt.
The Millennium Park is one of the sections of the Osbertown Development in Naas, Co. Kildare. The company has been reporting losses reaching to €285m and a staggering debt of around €300m. Osbertown Development paid around €315m for the Millennium Park. Its financial source came from loans from AIB, EBS, and Irish Nationwide.
The NAMA loans comprise a mortgage of 331 acres of land and 61,305 sq.ft. space at the Millennium Park. Aside from this mortgage, Millennium Park directors, Tom Considine, Patrick Sweeney, and Gerry Prendergast agreed on a guarantee of €129.3m. This guarantee carries a huge difference from the current value of the property. The property has only around €38m value according to CBRE, a real estate adviser.
Prendergast has high hopes of recovery particularly from foreign direct investment. In fact, they have been communicating already with several companies. But NAMA will have the final say about a deal if a new sale of lease is considered. Prendergast stressed that the purpose of any such deal is to be able to pay back NAMA. They are doing their best to be able to service their NAMA loans. They are paying off some of the NAMA loans from the tenant fees that they get from Oberstown.
