Sale ‘could devastate property values’

RESIDENTIAL and commercial property prices would drop further if Liam Carroll’s €2.3 billion property empire collapsed, according to the head of the Construction Industry Federation (CIF).

Tom Parlon said if Mr Carroll loses his court appeal today to have an examiner appointed to his Zoe group of businesses, the winding up of his empire would also have a negative effect on the values paid by the National Assets Management Agency (NAMA).

The appeal is expected to be heard in the Supreme Court today and could lead to a firesale of Mr Carroll’s assets if an examiner is not appointed. If this happens before NAMA is established later in the year, it could set the market price for development assets, forming the basis for the write-downs banks will have to take.