Offices firm looking for buyer after calling in administrators

The Leeds-based company owns and rents 56 locations in England and Scotland, providing workspace for small-and-medium-sized businesses, and was owned in partnership by Persian Ltd and the Kodak Pension Plan.

Joint administrators from Zolfo Cooper were appointed to restructure the business ahead of its sale.

The process will involve the unwinding of a complex and out dated 1907 limited partnership structure that currently owns the business.

Evans Easyspace was originally formed in 2000 as part of the Evans Property Group and the group’s Evans Management arm acted as asset manager for the partnership.

The group said that while Evans Easyspace has enjoyed strong cash flows and has over 90 per cent occupancy, it suffered from a permanent re-rating of its asset class in 2008, which reduced the value of its property.

Zolfo Cooper said yesterday that the joint administrators will continue to trade the companies while exploring a range of options including the sale of all or parts of the business as a going concern.

Potential buyers are thought to include international office space supplier Regus, which runs about 1,800 work centres in more than 100 countries.

The plc, which yesterday announced a 23.3 per cent rise in revenues to £1.53bn for the year ending December 31, declined to comment on the rumour.

In a statement, Zolfo Cooper said: “The joint administrators were appointed as a result of the companies experiencing financial difficulties.

“Administration was the only option which would allow the businesses to continue to trade and to retain their employees.”

Simon Appell, Alastair Beveridge and Anne O’Keefe, from the London and Manchester offices of Zolfo Cooper, were appointed joint administrators over Evans Easyspace Limited, Evans Easyspace Limited Partnership and Evans Easyspace Trustee Limited last month.

Mr Appell, partner at Zolfo Cooper, said: “We believe the companies are attractive to a range of potential buyers either to continue in current use or in a number of other guises.

“We would like to thank the staff for their continued support and professionalism during this process.”

Evans Easyspace, which has a £13m turnover, employs 57 staff, and also offers virtual offices, meeting rooms and self-storage units to rent. It has over 2,000 customers.

Evans Property Group said in a statement: “Evans Management Ltd acted as asset manager for the partnership and the sale of the business will free up management resources.”

The statemnt added: “Evans Management Limited recently secured a £175m, five-year funding package which will allow the Evans Property Group to step up its investment and development activities.

“The group has net assets in the region of £360m.”

A spokesman for Persian Ltd said: “We are proud to have founded a business which provides a unique and flexible real estate offering to the SME market and I’m sure the business will continue to expand under new ownership.”

The spokesman went on: “The incoming purchaser will inherit a great team who are dedicated to the business and we would like to take this opportunity to wish all our management and staff, suppliers and customers every success for the future.”