A LEGAL action for re-possession of a €10 million property at Smithfield, Dublin, over rent arrears has been adjourned. It is hoped arrangements may be in place within eight weeks to pay rent arrears, the court heard.

The action is against Redquartz (Smithfield) Ltd, described as the head tenant of the property. The sub-tenants are the Light House Cinema and Fresh supermarket.

Because of issues concerning service of the proceedings on Fresh supermarket, Mr Justice Peter Kelly adjourned the matter at the Commercial Court yesterday for a week to allow those issues be resolved.

The action has been brought by John and Joseph Wyckham, owners of the property. Last week, their counsel Patrick Leonard said it was a claim for ejectment on title relating to a property valued at €10 million and with an annual rent of €550,000.

There were existing rent arrears, there had been difficulties in the past with rent payments and the defendant was saying it could not pay the rent, Mr Leonard added. He said proceedings had issued for re-possession.

Yesterday, Damien Keaney, for Redquartz, said his client was the head tenant of the property and had a good record of rent repayments. He said more than €1 million rent had been paid to date and there were arrears of some €93,500. He accepted there was a shortfall but there was no other breach of agreement.

Counsel said it was hoped there would be an ability to pay the rent within an eight week period and his client intended to do that but was not in a position now to consent to judgment in the sum sought.

Redquartz (Smithfield) Ltd is one of the group of companies controlled by property developer Paddy Kelly and his family.