Developer failed to fulfil agreement to purchase lease on building, court told

DEVELOPER Gerry Gannon failed to complete the purchase of a lease on a building which formerly housed an investment subsidiary of the Friends First financial group, it was claimed in the High Court yesterday.

The subsidiary, Liberty Asset Management (LAM), claims it was “trapped” into paying €120,000 per annum rent on its old offices at 54 Northumberland Road, Dublin, when Mr Gannon refused to complete an agreement to purchase its leasehold interest in the building.

This was supposed to be part of a larger deal in which Mr Gannon rented LAM another premises. Mr Gannon was to take over the old LAM offices which neighbour the developer’s business at 52 Northumberland Road.