Northern Ireland

Latlorcan Developments to cost Ulster Bank £5m

Ulster Bank
Image caption Ulster Bank will lose out following the collapse of Latlorcan Developments

Ulster Bank can expect to lose at least £5m following the collapse of a County Tyrone development company.

Latlorcan Developments, which was building houses in Monaghan town, was placed into administration in December.

It owes the bank more than £10m but the estimated value of the Monaghan site is now around £5m.

The firm was a sister company of WJ Dolan Construction (Ireland), which is also in administration.

WJ Dolan was the main unsecured creditor of Latlorcan Developments being owed more than £2m.

The administrators report said the firm failed as a result of the Irish house price crash.

It said: "The inability of the company to secure property sales coupled with the effect of the general economic climate severely restricted the availability of funding which in turn has lead to the firm experiencing significant cashflow difficulties."