The company behind St Giles shopping centre in Elgin, which closed in January, is set to appoint liquidators.
A petition, submitted by 82-year-old David John Cameron, the sole director of St Giles Shopping Centre Holdings Ltd, is now before Inverness Sheriff Court.
Mr Cameron is asking the court to order the winding-up of the company and appoint temporary liquidators to handle its closure.
The Moray shopping centre closed its doors on January 25, with tenants left scrambling to find alternative premises.
St Giles Centre firm applies to appoint liquidators
The decision comes after years of financial difficulties for the shopping centre, which has struggled with falling foot traffic and rising operational costs.
This escalated to crisis point in November of last year when Moray Council took legal action to recover a substantial amount in unpaid non-domestic rates from the owners of the St Giles Centre.
That figure is estimated to between £600,000 to £750,000, and is understood to have built up over several years.
The St Giles Centre, a fixture in Elgin for 33 years, had been hit hard by the changing retail landscape, with increased competition from retail parks and online shopping.
Severe financial challenges
The most recent accounts for St Giles Shopping Centre Holdings Ltd, for the year ending April 30 2023, show a deteriorating financial position.
The company’s tangible assets are stated as worth £1.4 million.
The value of the shopping centre has steadily declined over several years. In 2013 it was stated as worth £9.9m, but this reduced to £7m in 2017 and £2.5m in 2020.
Meanwhile, net liabilities increased from £2.7m to £3m between 2022 and 2023.
Prior to closing, St Giles Shopping Centre Holdings released this statement: “The company has faced severe financial challenges in recent years, with a high level of vacant units, reducing rent roll and increasing service charge costs.
“The company is disappointed at the closure, however after taking professional advice this difficult decision was the only option available.”
The firm filed its petition for winding up on February 28, and this was officially advertised in the Edinburgh Gazette on March 11.
Interested parties—such as tenants, creditors, or others with a stake in the matter—are now being urged to respond within eight days of the advertisement.
David Cameron is being represented by Gordon Hollerin from the Glasgow-based law firm Harper Macleod LLP, which is overseeing the legal proceedings.
David Cameron on 2009 rich list
Mr Cameron was listed in The Sunday Times’ Rich List in 2009 with a family fortune of £38 million at the time, which earned him the 1,477th spot on the chart.
He was also a director of Inverness Caledonian Thistle from November 2019 to March 2022, during the time Scot Gardiner was chief executive of the club.
Currently, he is one of three directors of Upland Developments Holdings Ltd, a company known for commercial and residential developments across Aviemore, Inverness, and the wider Highlands.
Read more of our St Giles Coverage:
- Well-known Elgin businessman believes closure-hit mall could thrive again under a new owner
- No shops, more than two years late and a bankrupt developer: The saga of how the St Giles Centre in Elgin finally opened
- Why having an Elgin shop is important to whisky specialists Gordon and MacPhail
- Ramsdens confirm new Elgin town centre home two months after St Giles closure
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