Cheshunt Lakeside builder owes council £1m after collapse

The plan for Cheshunt Lakeside, based next to the nearby railway station, includes a civic space, restaurants and cafes

A builder which went into financial collapse during a major redevelopment owes a borough council more than £1m.

Work had begun on 1,725 homes at the old Tesco headquarters in Hertfordshire when Cheshunt Lakeside Developments Ltd went into administration.

It was due to fund local infrastructure including a school and public transport links to the tune of at least £20m.

Broxbourne Borough Council leader Lewis Cocking previously said it would fight "tooth and nail" for the money.

A statement of affairs filed with Companies House in December revealed the amount of debt which the London-based firm would need to settle after its demise in October.

Insolvency firm Kroll says the Cheshunt Lakeside development represents a "great residential and business opportunity"

Among the figures is a debt to the Conservative-led council of £1,008,000.

It also owes £45,717 to Openreach, the BT Group company which looks after telecommunications cables and cabinets, and £98,029 to energy provider Npower.

Debt to the government's housebuilding accelerator Homes England is a reported £18.17m.

Administrators estimated the company's assets were worth about £34.4m.

'Fight for residents'

Mr Cocking said in October the council was "hopeful" it would get its money back, with negotiations ongoing.

"We're not the only ones that are queuing up to get something out of it, but it's quite right we fight for the residents," he added.

Cheshunt Lakeside is the largest housing allocation in Broxbourne's Local Plan 2018-2033, which dictates where about 6,000 new homes are built in the borough.

In October, Robert Armstrong of insolvency firm Kroll said: "The development represents a great residential and business opportunity for the local community.

"The joint administrators will work closely with Kroll's specialist real estate team to ensure the best possible outcome for the development."

The BBC asked the council for an update on the development's future.

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