Spanish property firm Labaro seeks administration

MADRID, March 31 (Reuters) - Unlisted real estate company Labaro became the latest victim of Spain's property sector slowdown on Monday when it filed for protection against its creditors, joining several other companies that have gone into administration last week.

"Labaro has been dragged into a situation of a lack of liquidity as a consequence of the crisis affecting the property sector since the second half of last year," Labaro said in a statement that provided no financial details.

"Labaro will negotiate with its creditors "to revise its business plan and adapt its payment schedule to the new situation in the market, to avoid the value of its assets being affected by the current lack of liquidity."

The group was founded in 1987 and specialises in home sales and land management. It turned over 95 million euros ($149.9 million) in 2006 and posted a net profit of 9.7 million, according to its Web site.

No one at Labaro was immediately available for further comment.

In the last couple of weeks, a swathe of property companies have filed for administration, as sales with which they expected to pay off debts have dried up.

Many others are in talks with banks to try to restructure loans rather than declare bankruptcy and have to sell assets at knock-down prices, which could worsen the problems of the sector that has suddenly slowed down after a decade-long boom. (Reporting by Clara Vilar; writing by Joe Ortiz; Editing by Andre Grenon)