Auditors won't confirm €366m valuation by NAMA developer
Published 24/02/2011 | 05:00
THE top 10 NAMA developer, Gerry Barrett, has valued a group of his properties at €366m, but auditors have said there isn't enough evidence available to them to confirm the valuations.
Galway-based developer Barrett, the owner of the G hotel, has had his loans moved into NAMA and is in negotiations with the agency over his business plan.
One of his firms Talebury Properties has put a value of €233m on two properties, while another company Radical Properties put a value of €133m on its main property.
Auditors Deloitte said in relation to the valuations at both companies that "the evidence available to us was limited".
"We were unable to obtain sufficient appropriate audit evidence to support the assumptions used by the directors in valuing the property assets," they state.
As a result, in a disclaimer, the auditors say they could not form an opinion on whether the statements give a "true and fair view" according to generally accepted accounting standards.
Both Radical and Talebury are unlimited companies, which means they're not obliged to publish a profit and loss account. But the auditor's report states that both companies are in a net liability position and dependent on support from NAMA and non-NAMA banks.
Ashford Castle is also owned by Mr Barrett.
This week it reported combined pre-tax losses totalling €39m in 2009 and 2008.
Mr Barrett is a former teacher who started in the property sector in the early 1980s, buying properties in Galway city.
His firm, Edward Holdings, built the Edward Square development in Donnybrook, Dublin, and bought the former student residence, Hatch Hall, in 2004 for over €16m
Mr Barrett is also a shareholder in the energy company, Topaz.