Sydney Damelian car dealership in receivership two weeks after failing to sell
The Sydney motor vehicle dealership Damelian Automobile has been placed in receivership just two weeks after being unable to sell its redundant Parramatta Road car yard holdings.
Ferrier Hodgson partners Steve Sherman and Jim Sarantinos have been appointed receivers and managers after the prominent Parramatta Road car dealership was put into receivership today.
It was founded in 1978 by Rick Damelian.
The three redundant offerings were 587-595 Parramatta Road, Petersham, which was passed in on a $2.4 million vendor bid, 680-716 Parramatta Road, Petersham, which was passed in with no bid, and 509-529 Parramatta Road, Leichhardt, which was passed in on a $1.9 million vendor bid when auctioned last month through Knight Frank by auctioneer Damien Cooley. They were listed through Knight Frank agents Nick Saba and Eugene Evgenikos.
Located on Parramatta Road, the offerings consisted of a showroom, office and workshop on sites totalling about 4,700 square metres.
It was offered with vacant possession at its August 25 Knight Frank auction.
The appointment of receivers came after an extended period of support by the creditor, who is owed about $80 million by the car dealership. During this time, the Damelian group had been working towards a possible restructure and reduction of its debt.
Steve Sherman says the receivers will engage with the manufacturers of cars sold by the group, including Honda, Suzuki, Renault, Citroen, Fiat and Alfa. The Skoda dealership is not subject to the receivership.
Sherman says the servicing of vehicles has been suspended until further notice.
