The collapse of the Dawnay Day over the past few weeks had little to do with its extensive property holdings. It was the adventures of the business empire in financial services – specifically losses made on stakebuilding in asset manager F&C – that hurt most.

However, Dawnay Day’s plight should still worry the property sector. Even as the vultures look to pick off its property assets, other investors have noted that this is the first time in this cycle that a property lender – in this case Norwich Union – has taken control of a distress situation.