UK's KW Linfoot goes to wall

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British commercial property group KW Linfoot has fallen into administration after failing to secure credit.

The company had been in the process of constructing western Europe's tallest residential development in Leeds, but will now be administered by BWC Solutions.

Talks between KW Linfoot and investors over raising £50 million had previously taken place, which could have been completed in a secure online environment using one of Ansarada's secure virtual data rooms.

The group said in a statement: "Over the past 12 months - like every other property development business - KW Linfoot has found its dealings with the banks increasingly difficult due to a complete withdrawal of development funding to enable it to progress new schemes."

It added that these actions had "effectively strangled" the business and prevented it from further trading.

The restructuring firm Begbies Traynor earlier this month predicted that 1,600 commercial property firms could go to the wall before the end of 2009.