Woking Council’s property portfolio could be written down by as much as £1bn.
The council is on the brink of insolvency, with a possible section 114 notice believed to be imminent.
Liberal Democrat-run Woking is sitting on £2bn of debts, incurred by a programme of risky commercial property investments under the previous Conservative leadership.
It has now been placed into special measures, with commissioners installed by Levelling Up secretary Michael Gove charged with turning it around.
They said the council’s assets – which include a trio of skyscrapers rising up to 34 storeys – could be marked down in its accounts to reflect a significantly lower value than previously anticipated.
Figures obtained by the Municipal Journal, a local government trade publication, suggested the write-down could be worth up to £1bn.
