James Dewar and Alistair McAlinden from Interpath were appointed joint administrators to Arran Development Trust on 7 August 2025.
Established in 2017, Arran Development Trust is a charity whose principal purpose is to further sustainable development for the benefit of the local community on the Isle of Arran. It recently completed the development of 18 affordable ‘General Needs Workers Homes’ in the village of Lamlash.
Over the past 12 to 18 months, the Charity has weathered a number of issues which have impacted its financial stability. This has included delays in the availability of contractors and the delivery of materials from the Scottish mainland as a result of disruption to the island’s ferry service; delays and damage to developments as a result of Storm Eowyn; as well as more general issues including the rising cost of building materials and labour, and high interest rates.
With the Charity’s funding position worsening, the Trustees have worked tirelessly to explore their options, including exploring the potential to raise new finance. However, with creditor pressure intensifying, they had to take the difficult decision to seek the appointment of administrators.
Alistair McAlinden, head of Interpath in Scotland and joint administrator, said: “The availability of affordable housing in Arran has been a long-standing issue, and so it’s against this backdrop that Arran Development Trust has played a vital role in the delivery of homes for the benefit of the island community. It’s an enormous shame, therefore, that a combination of external factors and economic headwinds have resulted in the Charity having to file for administration.”
He continued: “Our priority over the coming days and weeks will be to work with all stakeholders, including residents and the Charity’s creditors, to find the best way forward.”
