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$15m subdivision wound up, creditors unlikely to recover funds
Jazial Crossley | Monday September 7 2009 - 03:44pm
Luxury Papamoa subdivision company Ascot Downs Developments has been wound up, leaving creditors of the $15 million development unlikely to receive payment.
Bay of Plenty developers and investors Maurice Weaver and Blair Millar bought the land near the beach at Papamoa in 2004, and the following year began marketing it as Ascot Downs with large lifestyle sections between 3000-5000sq m.
Strong covenants were enforced to keep homes built in an “American colonial” New England mansion style.
The business went in to receivership on 9 July 2009, and is now also in liquidation.
Liquidators Meltzer Mason Heath's first report detailed that Pricewaterhouse Coopers receivers said development has been stalled for one year due to council requirements.
The delay resulted in existing sale and purchase agreements on sections lapsing, and the company was unable to on-sell the sections “at the price required to satisfy the lender,” Meltzer Mason Heath liquidators Karen Mason and Rachel Mason said in their report.
“In turn, this led to the company being unable to pay its other creditors, and the company was placed in liquidation on the application of one such creditor.”
Known creditors include Fulton Hogan, Inland Revenue and Tauranga City Council.
Liquidators said that at this stage it appears the company has a deficiency of $3.7 million and it is unlikely creditors will receive a distribution.
Jazial Crossley | Monday September 7 2009 - 03:44pm
Luxury Papamoa subdivision company Ascot Downs Developments has been wound up, leaving creditors of the $15 million development unlikely to receive payment.
Bay of Plenty developers and investors Maurice Weaver and Blair Millar bought the land near the beach at Papamoa in 2004, and the following year began marketing it as Ascot Downs with large lifestyle sections between 3000-5000sq m.
Strong covenants were enforced to keep homes built in an “American colonial” New England mansion style.
The business went in to receivership on 9 July 2009, and is now also in liquidation.
Liquidators Meltzer Mason Heath's first report detailed that Pricewaterhouse Coopers receivers said development has been stalled for one year due to council requirements.
The delay resulted in existing sale and purchase agreements on sections lapsing, and the company was unable to on-sell the sections “at the price required to satisfy the lender,” Meltzer Mason Heath liquidators Karen Mason and Rachel Mason said in their report.
“In turn, this led to the company being unable to pay its other creditors, and the company was placed in liquidation on the application of one such creditor.”
Known creditors include Fulton Hogan, Inland Revenue and Tauranga City Council.
Liquidators said that at this stage it appears the company has a deficiency of $3.7 million and it is unlikely creditors will receive a distribution.
