The company behind the London Resort, a proposed £2.5 billion theme park on the Swanscombe Peninsula in Kent, has called in financial administrators.
London Resort Company Holdings (LRCH) has appointed administrators after incurring £100 million debts, KentOnline reports.
LRCH will enter a period of financial restructuring through a Company Voluntary Administration (CVA).
A spokesperson for the company told the publication it has “taken the logical and sensible step of launching the CVA proposal”.
“We’ve spoken to many of our creditors who are very happy to support the initiative which would see their debts converted into shares,” the spokesperson added.
“Many millions have been invested into the Swanscombe Peninsula over the last decade and there remains a fantastic opportunity to bring forward exciting proposals.
“This CVA process safeguards everyone’s position and provides an opportunity for a financial return to creditors in the long-term.”
According to the spokesperson, the project will continue, with new proposals now being developed for resubmission later this year.
In December, PY Gerbeau stepped down as CEO of the London Resort. Despite his departure, the London Resort said a planning application will be resubmitted in 2023.
However, the proposals will be changed “significantly”. For example, the London Resort will no longer spread across the whole of the Swanscombe Peninsula.
London Resort to resubmit plans in 2023
This takes into account the decision by Natural England to designate the land as a Site of Special Scientific Interest (SSSI).
“PY was a great leader and we are very grateful to him for his contribution,” said Steve Norris, the chairman of LRCH.
“He helped us develop our business plan and brought some great insight into the history of the leisure industry.”
“We will be changing the proposals significantly, but remain wholly committed to delivering in Swanscombe,” Norris added.
“There is huge scope for exciting destination leisure development and we will share more as we move forward next year.”
Images: London Resort Company Holdings
