Belfast Telegraph

Ground rent portfolio for flats on sale

The College Court Central apartments are near to CastleCourt
The College Court Central apartments are near to CastleCourt
Margaret Canning

By Margaret Canning

The ground rent portfolio of two large blocks of city centre flats linked to Cerberus debtor Gareth Graham is on the market for £425,000.

A property company run by the businessman, who sensationally withdrew litigation against Project Eagle purchaser Cerberus earlier this year, built around 60 flats at 14 to 24 College Court and 54 to 62 King Street in 2005.

The apartments are located close to Belfast's CastleCourt Shopping Centre.

In 2013, it was reported that housing association Oaklee - which is now part of Choice Housing Association - had bought the King Street apartments from Nama, which had absorbed the company's borrowings.

But the sale process fell through when Nama's Northern Ireland portfolio was sold to Cerberus in the controversial Project Eagle.

Mr Graham took Cerberus to court after it took control of his companies. But earlier this year, he used a newspaper advertisement to apologise for criticisms made of the vulture fund, and in return, he regained control of his business.

Now the right to the ground rent payable by owners of the apartments, amounting to £27,643 each year, has gone on the market and is for sale through CBRE.

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The ground rent is payable under a 750-year lease.

While Fernhill Properties built the apartment blocks, the right to ground rent is being sold by another party, which has not been identified.

At the peak of the market, a two bed apartment at College Court Central cost £203,000.

Belfast Telegraph