Dunloe Ewart reveal losses as property market slows

All-Ireland property developers, Dunloe Ewart has revealed a loss of £8.2 million in the year to December 2001, compared to a profit before tax of £5.5 million in the previous year.

The company's losses resulted from a slow down in the property sector and a decrease in the value of their Sirocco site in Belfast, which was purchased in 1999 for £23 million. As a result of the slowdown in market conditions the company has had to knock £8 million of the site's value.

Dunloe's losses included exceptional costs of £13.6 million, which covered a write down of £9.5 million to carry the cost of holding some development stock, including the Sirocco site.

While company directors hoped that conditions would improve, a £1.4 million has also been made against other development sites. Dunloe also continued with its disposal programme of properties in Belfast and Dublin over the year.

Overall the company realised a profit on original cost before taxation of around £20 million from the disposals.

(MB)