Green Parks (Holdings) Limited, Re

Facts

Green Parks (Holdings) Limited owned the freehold of the intended Westbeach Holiday Resort at Westward Ho! near Bideford, Devon, which it proposed to develop in seven blocks. On 4 April 2016 it granted a 999-year headlease to Landinvest Limited, a British Virgin Islands company, which on the same day granted a 125-year development underlease back to the company; both reserved an annual ground rent of £142,000 subject to five-yearly RPI-related reviews. Blocks 3 and 5 were completed and let on 62 occupational sub-underleases yielding £66,000 a year, but blocks 4, 6 and 7 remain dilapidated shells, and two duplex units in block 5 are unfinished. Joint administrators were appointed on 27 June 2019, the company was wound up on 21 May 2021, and the liquidator, Mr Christopher Ferguson, disclaimed both the freehold and the development underlease. On competing applications, ICC Judge Prentis vested the freehold in Landinvest and the blocks 3 and 5 leasehold in trustees for the 62 sub-underlessees, led by Mr Oliver Whitefield, under section 181 of the Insolvency Act 1986, leaving four issues — apportionment of ground rent, insurance costs, an alleged unpaid headlease premium and insolvency set-off, and electricity connection costs — to be determined later.