Kaupthing Singer Friedlander has recovered just half of its £900m property loan books four years after its collapse.
An administrator’s report for the UK arm of the Icelandic bank, which collapsed in 2008, shows that it has collected cash receipts of £476m from more than 220 borrowers as at 7 April 2012.
The pace of recovery has slowed significantly as it collected just £37m in the six months to 7 April, after taking in £439m in the three years to October 2011.
The report, filed this week by Ernst & Young, said the largest exposure in its property loan book continue to be the UK residential market, development land in the Caribbean and structured development projects in the UK.
E&Y said it is continuing to meet requests for committed funds “where expenditure helps to preserve or enhance the value of the security”.
“However, where appropriate, in the meantime we are realising part-built assets”, or appointing receivers or administrators where borrowers are uncooperative or in breach of their loan facilities, it added.
