A property developer who has just bought the offices of a troubled property management company has applied to turn the upper floors into flats.
PS&B Estate Management, which managed blocks of flats on behalf of freeholders, told clients in February its bank accounts had been frozen because of money laundering checks in February, leaving it unable to pay insurance and utility bills.
Its sole director Peter Hewett, 58, told staff on 16 June he had agreed the sale of the Brighton office in Queens Road – adding at that point the company was still profitable.
But PS&B staff, plus employees of sister companies including Carr & Priddle next door, were told last month by director Peter Hewett, 58, he was planning on putting the group’s companies in administration.
A few days later, the South East Regional Organised Crime Unit (SEROCU) arrested a 58-year-old man on suspicion of fraud, money laundering and theft. It told potential victims money appeared to be missing from the company’s accounts.
The 58-year-old man has now been released pending investigation.
A separate company, Weatherstone Properties, has now lodged a planning application to turn the floors above the offices into flats.
There is no suggestion Weatherstone Properties or its sole owner Chris Weatherstone are involved with the matters under police investigation.
The application appeared this month on Brighton and Hove City Council’s planning portal, but was submitted on 21 July, before the arrest.
Land Registry documents show the offices were bought in October 2023 by a company called Dakota Estates Investments for £1.35 million.
Companies House shows that company was then part-owned by Peter Hewett and another director, Nick Faulkner. A year after the sale, Mr Faulkner’s stake was transferred to Karen Hewett, Mr Hewett’s wife and the company renamed Cognatio Property Investments Ltd.
In April and May this year, electronic updates to the company’s ownership were made on Companies House in relation to both the Hewetts’ shares. The ownership details now say Mrs Hewett is the sole owner.
The planning application asks to convert the buildings’ uppers floors into seven flats. All would have one bedroom, with six big enough for one person and the seventh for two people.
Mmm all seems very suspicious to me things have happened very quickly, was the property put up for auction for the creditors of the the company-which I imagine many Freeholders/Leaseholders/Landlords and Tenants.
As one of largest property companies surely by Law clients funds must be ring fenced in a client account and yet the director is wandering free?
Apparently not though. I think this and another couple of similar cases are making the government change this