Investment fund seeks to redeem property loan facilities of at least €124m

High Court Reporter

An investment fund is seeking to redeem what it says is €124 million to €125 million in loan facilities on a significant commercial property portfolio, which is due to be sold by receivers, the Commercial Court has heard.

Goldstein Property ICAV is also seeking an injunction preventing receivers appointed by RELM loan firms, which provided the facilities, from selling the properties.

On Monday, Judge Mark Sanfey admitted to the fast track Commercial Court the case brought by Goldstein against RELM Loan Opportunities 2 DAC, RELM Loan Opportunities 3 DAC, RELM Loan Opportunities 4 DAC and against receivers Ken Fennel and Brendan O'Reilly.

The application was made by Frank Crean, for Goldstein, on consent from Neil Steen, for the defendants.

Goldstein claims it is entitled to redeem loan facilities made to it by the RELM defendants. On its figures, Goldstein claims, there is a redemption sum of between just over €124 million and €125.8 million.

On RELM's figures however, it is a sum of some €133 million or €146.6 million including surcharges and penalties.

Goldstein wants the security held by RELM removed and the receivers discharged. Crean said on Monday that the receivers continue to market the properties.

As a result, the court was told, Goldstein sought the early hearing of an injunction application in relation to the receivers and moves to sell the property.

Judge Sanfey noted there was a significant dispute about the amount of the redemption sum. He approved directions for the hearing of the case and adjourned it to next month.