Investors vie for tycoon properties; PORTFOLIO WORTH pounds 26M UP FOR GRABS AFTER BANK DISPUTE

Evening Chronicle (Newcastle, England), June 17, 2008

Byline: By BRENDA HICKMAN

BIDDERS are lining up to buy an estimated pounds 26m property portfolio belonging to a Tyneside tycoon.

One of the prospective investors, Robert Cooper, is a partner in UK Property Bank PLC, of Newcastle's Quayside, Wynyard Hall and Sunderland.

The business buys homes nationwide for quick-sale cash and is looking to mop up in the sale of Jonathan Clark's premises.

Mr Clark told the Chronicle he already has a buyer.

But the sale is continuing via agents Sanderson Young, who were appointed by accountants Deloitte on behalf of Northern Rock.

Mr Cooper said today he was considering putting an offer to buy the entire portfolio.

He said: "We work with developers, builders, financial institutions and members of the public in purchasing property where a quick agreement and sale is needed.

"We then either sell the property straight on, let it or refurbish it.

"We have around pounds 8m worth of property in stock, pounds 3m being bought and a further pounds 3m going through as sales.

"Most of our property is in southern England, however we view the Clark portfolio as potentially a good opportunity to expand our interests in the North East."

The property market in the UK has been hit badly in recent months.

Rising interest rates, increased living costs and tougher mortgages have led to a lack of buyers.

Mr Cooper added: "The problems highlighted with the Clark portfolio have been seen all around the country.

"Our next step will be to take a look at the portfolio and work through it property by property and consider what would be the most realistic valuation."

Last week the Chronicle revealed the Clark Residential business premises in Jesmond Road, Newcastle, was closing down and being sold as part of Rock-mortgaged properties worth around pounds 6m.

And another batch of 59 homes owned by the 39-year-old property developer are also being sold.

Mr Clark, of Oakwood Hall, Wylam, Northumberland, said he and his ex-wife Helen hold mortgages through Northern Rock for 43 homes in Jesmond, Gosforth and other parts of Newcastle.

But after a financial dispute, Mr Clark was informed the bank was taking back the properties.

A spokeswoman for Sanderson Young said: "We were instructed to sell a mixture of 43 properties in the first portfolio.

"Now we have just received instructions for the sale of more premises. The final offers on the first portfolio have to be received by Friday, June 27, at noon."

Mr Clark told the Chronicle: "I am confidant of a buyer for the entire portfolio, which is worth around pounds 26m."

He admitted he hasn't paid Northern Rock since last year because of the dispute. "The issue has been triggered because of the bank's changed circumstances over mortgage arrangements with myself and my former wife," he said.

CAPTION(S):

INTEREST: Robert Cooper of UK Property Bank