ONE of the UK's biggest commercial property agents, with hundreds of business clients in south Hampshire, has gone into receivership.

Upmarket estate agency Chesterton, which deals in commercial property and homes worth more than £500,000, called in company "doctors" after suffering several years of losses.

About 300 staff on the commercial side of the 200-year-old business across the country have been made redundant by receivers Grant Thornton, although some offices have remained open.

It was unclear this morning how the news will affect the handful of commercial staff based at Alleyn House, Carlton Crescent, Southampton.

The Southampton office - one of 18 - is believed to be Chesterton's star performer in the UK, with particular expertise in management and valuations.

Those widely acknowledged strengths at Southampton raise the possibility of either a management buy-out or a rival taking over there.

Scores of business clients from the city, and as far as Bournemouth and Portsmouth, will now be anxious to find out where they stand with contracts.

One of them is Fareham Borough Council.

The Southampton office was recently reappointed as ratings advisor to assess the local authority's entire portfolio of 70 properties, ranging from the civic offices to public toilets.

Council leader Sean Woodward was this morning speaking to officers to find out if there will be any effect.

The Southampton office is headed by Stuart Cook, pictured above, a well-known and respected figure in local business circles.

He gave a keynote speech last month at Ordnance Survey in Southampton to about 85 developers, investors, lawyers and bankers, regarding regional demand for commercial property being at an all-time high.

Mr Cook said afterwards: "This year's attendance was our highest so far, and is a reflection of our reputation in the market, and people's interest in property."

His other colleagues, with their responsibilities in brackets, include James Prowse (agency), David Rusholme (valuation), David Ferriman (rating, landlord and tenant), Robert Haynes (buildings and development services) and Tim Cann (residential valuation and development and healthcare).

The receivers say a sale of the commercial arm, which lost £2m nationally in the past seven months, is unlikely.

However, two parties are interested in a potential sale of the residential business, which was badly hit by the depressed London property market.

One source said of the receivership news: "It has been on the cards for a while, and rumours were flying around yesterday."

Mr Cook was not immediately available for comment on the situation.