Jobs go as debt-ridden Grangemouth housebuilder closes down

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Receivers were called in to handle Carronvale Homes, which had outstanding debts of £11.6 million at the end of March 2011 and a significant overdraft with Clydesdale Bank.

Carronvale, owned by Gordon and Allan Hogg, had been reportedly making a loss for the last three years and the company and Clydesdale had attempted to work out a long-term plan for the future.

Receiver KPMG, which immediately cut 15 Carronvale jobs, said the company owned development sites at a number of locations, including Larbert, planning consents for 256 homes and applications for a further 53. The business also had a development site in Grangemouth, and another in Edinburgh.

According to KPMG, the firm’s six remaining employees would help pay back creditors.

Blair Nimmo, receiver, said: “The widely-publicised slowdown in the Scottish residential property market and the resulting contraction of the construction sector have led to the regrettable decision to cease trading with the loss of 15 jobs.”

Clydesdale Bank stated receivership was a “last resort” and added it would work with companies as much as possible to find the best solution for both parties.