TWO of Eddie Mitchell’s development companies are in part receivership over mortgages on luxury flats.
Seven Developments and Gee Developments are both subject of Section 38 receiverships.
AFC Bournemouth co-owner Eddie Mitchell is a director of both firms and they are based at Sandbanks Road in Poole.
Seven Developments is carrying out the construction of the new training pitches complex next to AFC Bournemouth.
The firm also designed and built a luxury mansion for AFC Bournemouth’s Russian co-owner Maxim Demin on Sandbanks.
The Bank of Scotland appointed Colliers International as receiver over three mortgages held by the companies at two set of flats in Poole.
Colliers has not appointed receivership over the whole business but only over mortgages at these properties.
Higham Heights is a block of eight flats on Mount Pleasant Road next to Poole Park, and Sand Boy is a block of six on Lakeside Road in Branksome Park.
The flats at Sand Boy sold for upwards of £350,000 and those at Higham Heights for more than £225,000.
Eddie Mitchell said the receivership would have “no effect whatsoever” on the two companies and their work.
He said: “We have never missed a payment. The loans aren’t due until July.
“The loans will be repaid in full on or before then.
“Why the banks decided to do what they did I don’t know.
“It’s up to them. I think they have experience in the past of bad loans with people.”
He said the loans related to one flat at Mount Pleasant Road and two at Lakeside Road.
Colliers International and Bank of Scotland spokesman said they did not comment on mortgages.
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