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An interesting follow-up to this thread from 2 years ago:
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An Aucklander who vowed to clean up a Paeroa street dubbed a "ghetto" is facing eight mortgagee auctions and his retired parents, the guarantors, are considering bankruptcy.
Remuera man Laurence Pope bought eight houses in Paeroa's Porritt St and Edwards Place in 2008, promising to clean up the area, but two years on he said the "scum of Paeroa" had ruined his venture.
"We tried to show people they didn't have to live in the Bronx but all we got in return was stuff stolen and tagging."
Harcourts Thames owner Alaine Hedges, who had been managing the properties, said the area was "the pits". "It's a ghetto, it really is," she said.
Mr Pope used his parents, Harley and Lilian, as guarantors to get finance from Westpac to buy the former State houses for around $120,000 each and refurbish them.
The family owe Westpac in excess of $1.2 million in mortgages and penalty interest. His parents, in their 60s, are considering bankruptcy after they failed to get tenants who could pay the rent.
Bayleys is marketing the houses, suggesting someone may like to play a real-life game of monopoly and buy up a whole street.
The properties will go under the hammer on April 22 but Mr Pope said he couldn't see any buyer succeeding in the area.
Mrs Hedges said it was the worst area to buy in.
"It was a good idea but it's all about location... and he picked the worst," she said.
Hauraki Mayor John Tregidga said the labels were absolute "rubbish". "Did he go in there with the hope of making things better or just for monetary gain?"
Mr Tregidga said the area had undergone a vast improvement. "I believe the community really got behind him and started to clean up their properties."
Paeroa police sergeant Phil Caldwell said there had been fewer calls to the area and there was a supportive community living there.
"I guess all towns have a street or two that aren't that flash and Porritt St was that one for us but, after their work, that improved."
He said residents would be upset at their area being labelled bad and there was good community support.
Mr Tregidga said he would be contacting Housing New Zealand to investigate if it was interested in taking over the properties.
It is not Mr Pope's first failed business.
In 2004 receivers were called in to take over a computer business, PCXChange, he was running in Hastings.
Receiver Grant Reynolds said creditors were owed about $100,000. Mr Pope disputed the figure, saying the two matters were not related. He had gone into the Paeroa venture with his mother and she had secured the loans, with his father joining later.
His father is the director of Nexa Property Ltd which owns the houses.
Laurence Pope, who also runs a television hire business and a paintball importing business, said he was the project manager for Nexa Property.
Remuera man Laurence Pope bought eight houses in Paeroa's Porritt St and Edwards Place in 2008, promising to clean up the area, but two years on he said the "scum of Paeroa" had ruined his venture.
"We tried to show people they didn't have to live in the Bronx but all we got in return was stuff stolen and tagging."
Harcourts Thames owner Alaine Hedges, who had been managing the properties, said the area was "the pits". "It's a ghetto, it really is," she said.
Mr Pope used his parents, Harley and Lilian, as guarantors to get finance from Westpac to buy the former State houses for around $120,000 each and refurbish them.
The family owe Westpac in excess of $1.2 million in mortgages and penalty interest. His parents, in their 60s, are considering bankruptcy after they failed to get tenants who could pay the rent.
Bayleys is marketing the houses, suggesting someone may like to play a real-life game of monopoly and buy up a whole street.
The properties will go under the hammer on April 22 but Mr Pope said he couldn't see any buyer succeeding in the area.
Mrs Hedges said it was the worst area to buy in.
"It was a good idea but it's all about location... and he picked the worst," she said.
Hauraki Mayor John Tregidga said the labels were absolute "rubbish". "Did he go in there with the hope of making things better or just for monetary gain?"
Mr Tregidga said the area had undergone a vast improvement. "I believe the community really got behind him and started to clean up their properties."
Paeroa police sergeant Phil Caldwell said there had been fewer calls to the area and there was a supportive community living there.
"I guess all towns have a street or two that aren't that flash and Porritt St was that one for us but, after their work, that improved."
He said residents would be upset at their area being labelled bad and there was good community support.
Mr Tregidga said he would be contacting Housing New Zealand to investigate if it was interested in taking over the properties.
It is not Mr Pope's first failed business.
In 2004 receivers were called in to take over a computer business, PCXChange, he was running in Hastings.
Receiver Grant Reynolds said creditors were owed about $100,000. Mr Pope disputed the figure, saying the two matters were not related. He had gone into the Paeroa venture with his mother and she had secured the loans, with his father joining later.
His father is the director of Nexa Property Ltd which owns the houses.
Laurence Pope, who also runs a television hire business and a paintball importing business, said he was the project manager for Nexa Property.
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