Sherry FitzGerald undervalued Dublin’s Market Bar, claims owner

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Business man claims valuation carried out by Sherry FitzGerald (Commercial) Ltd led him to suffer a loss of nearly €841,000 via IrishTimesBiz

Outlining the case, the judge said that in 2012 Mr Conan was required to meet an LTV covenant on loans following the sale of his loans by AIB to Vesta Mortgages Investment, a subsidiary of the US-based private equity firm Lonestar.

In his pleadings, Mr Conan said that, at the time of the valuation, there was a shortfall of some €310,000 in the LTV covenant. The €6.1 million LTV valuation comprised the Market Bar in Fade Street and an adjoining retail unit with office/workshop premises along with an apartment in George’s Quay, Dublin, and property in Cheltenham, England.

The real value of the property was significantly greater than the figure reported to Vesta by Sherry FitzGerald, he says. The auctioneers argued, among other things, they were severely prejudiced by the delay. They said that while Mr Conan had argued part of the delay was due to a medical condition he was suffering from, this did not stop him from bringing proceedings in two other cases in August 2021.Refusing the application to dismiss, the judge said no specific or concrete prejudice had been established.

 

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