Sark Property Company’s bid for Barclay family’s estate rejected

The company had received binding commitments from more than 100 investors and was attempting to purchase the portfolio of commercial and residential properties owned by a trust of the late Sir David Barclay.

Sark Property Company was launched earlier this year, with a target to raise £35m. to buy the Barclays’ Sark estate, which covers about one fifth of the island.

CEO Swen Lorenz said they failed to agree a price.

‘Our offer of £20m. was, we believe, a fair reflection of the portfolio’s value, with a small premium on top,’ he said.

‘However, the asking price of the current owner was so much higher that there was no way to bridge the gap.

‘Sark needs a strategy for its future and if the opportunity came up again to negotiate for the estate we would be interested, but only under specific pre-agreed conditions such as a binding commitment to sell at that price or an auction process.

‘This type of transaction doesn’t always pan out, but we are pleased that we tried to make a positive difference for the island.’

The trustees in charge of the Barclays estate have told the Sark company that they have their own plans to develop the estate.

Sark Seigneur Christopher Beaumont, also a director of the Sark Property Company, said he looked forward to seeing 'overdue improvements' made.

The Sark Property Company has informed its financial backers and investors that it will not be using the money committed. The legal entity of the company will remain, but activities will wind down.

Mr Beaumont said that the company was being ‘put on ice’.

But he hoped there would be opportunities in future to make it happen.

‘This is not the outcome we had hoped for. The opportunity to secure a future for Sark, which was clearly supported by a large majority of the population, has been lost for the time being,’ he said.

‘I still believe that Sark Property Company’s proposition was the best one for the future of Sark, but will of course work with anyone who wants to give our island and its people a proactive and sustainable plan for their futures.’

Paul Armorgie, speaker of Chief Pleas, described the decision as ‘bitter sweet.’

‘Looking at it from an entirely non-political perspective, part of me is disappointed as the opportunity to do something like what Sark Property Company was proposing was long overdue,’ he said.

‘However, I’ve never been convinced that having all properties under single ownership is good governance, so from that side of things I’m pleased.

‘Perhaps it’s better for the greater good that it has turned out this way.

'We will have to see how the Barclay family take things forward.’