SANDBANKS property magnate Eddie Mitchell has seen receivers called in to seize some of his company’s upmarket Poole homes.
Mr Mitchell – the high-profile former chairman of AFC Bournemouth – has voiced his “disappointment” after Nationwide Building Society stepped in to take back the properties.
But he insisted his company Seven Developments would continue trading and had never missed a payment on the mortgages involved.
Companies House records show Nationwide has appointed receivers to sell two flats at The Clock in Sandbanks Road, Lilliput. Mr Mitchell said the same situation applied to four more properties on which the company had loans, originally with the Derbyshire Building Society.
“It’s a commercial loan we took out some seven years ago. It was with a commercial bank who were swallowed up by another commercial bank, which were then swallowed up by Nationwide.
“Nationwide changed the terms of the loan from making it renewable to repayable within a finite period of time,” he said.
He said when the business took out the loans with Derbyshire Building Society, there had been verbal confirmation that the loans could be renewed after five years. Nationwide had extended the terms of the loan once.
“We were unable to sell the flats so we ran out of time. We’ve never missed a payment in seven years but they decided they wanted their money back so they’ve taken it upon themselves to sell them through a receiver,” he said.
“It leaves me with a bill for the receivers and probably a shortfall in the property which I’m going to have to make up myself,” he said.
He said Seven Developments, which originally bought the properties in the 1990s, would continue, although it was inactive at the moment.
“We’re not doing anything at the moment. We’re not building anywhere,” he said.
“We’re just holding properties and those were some of them that Nationwide decided they wanted their mortgages back on.”
He added: “It’s disappointing. If you fail to pay them I could understand the dilemma but it’s very disappointing.”
He declined to say how much money was involved or the locations of the other properties concerned.
One of the flats at The Clock is listed on website of Lilliput estate agency Mays as having sold for £219,950.
Nationwide confirmed what was on the public record but declined to comment further because of commercial confidentiality.
Profile of former-chairman’s history EDDIE Mitchell is known outside the property world as the chairman for four years of AFC Bournemouth.
During his time at the Cherries from 2009-2013, he was credited by many fans with turning the club around. Sometimes controversial, he presided over an extensive refurbishment of Dean Court and was instrumental in rescuing the club’s finances.
He had previously been chairman of Dorchester FC and was subsequently involved with Poole Town, where he has announced plans for a new stadium to house both speedway and football.
His company Seven Developments was best known for building the Thunderbirds-themed house in Western Avenue, Branksome Park.
Last year, it unveiled two tiny homes at Grasmere Road, Sandbanks, which went on the market for £795,000.
He and wife Brenda are partners in Black Label Events (Poole), which owned the Sevens Boat Shed restaurant in Poole Park and sold it last autumn.
At the end of last year, Mr Mitchell unveiled plans for a 3,900 capacity beach arena at the current pavilion site at Sandbanks. He later withdrew the plans but said they would be resubmitted.
Earlier this month, the Echo reported how he was selling bespoke football training arenas as part-owner of Elite Skills Arena. He said at the time he was looking to get out of the property business.
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