HIGHLANDS and Islands Enterprise (HIE) has released further details on the repayment of a loan of more than £600,000 to facility management company Shetland FM, which went into receivership when it lost its contract to run the Sella Ness work camp in 2019.
HIE confirmed during a media briefing last week that the loan to the company, owned by entrepreneur couple Frank and Debbie Strang, had been repaid in full.
However, following further questions, HIE clarified than one third of the loan had been repaid in the form of a security on Saxa Vord, owned by Shetland Space Centre.
The original loan was secured against the Saxa Vord resort and 17 self-catering houses at Nordabrake, in Unst.
A spokesperson for HIE told Shetland News: “A total of £457,000 has been repaid to HIE by the SFM [Shetland FM] liquidator.
“A condition of the sale was that SSC, as new owners of Saxa Vord, would grant HIE security over the property for the outstanding amount of £283,919.
“This remaining debt to HIE is treated as a loan to SSC, with repayment due by February 2022.”
Space centre owner Frank Strang confirmed the remaining amount would be paid off in full by the end of the year.
Become a supporter of Shetland News
Shetland News is asking its many readers to consider start paying for their dose of the latest local news delivered straight to their PC, tablet or mobile phone.
Journalism comes at a price and because that price is not being paid in today’s rapidly changing media world, most publishers - national and local - struggle financially despite very healthy audience figures.
Most online publishers have started charging for access to their websites, others have chosen a different route. Shetland News currently has over 540 supporters who are all making small voluntary financial contributions. All funds go towards covering our cost and improving the service further.
Your contribution will ensure Shetland News can: -
- Bring you the headlines as they happen;
- Stay editorially independent;
- Give a voice to the community;
- Grow site traffic further;
- Research and publish more in-depth news, including more Shetland Lives features.
If you appreciate what we do and feel strongly about impartial local journalism, then please become a supporter of Shetland News by either making a single payment or monthly subscription.
Support us from as little as £3 per month – it only takes a minute to sign up. Thank you.Support Shetland News