High-living fashion family owe a pile in unpaid rent

[flyernzl]

"Family members of a former richlister walked out of their luxury fashion store owing more than $350,000 in unpaid rent.

The retired owner of the premises said he was plunged to the brink of financial ruin by the debt."

http://www.nzherald.co.nz/nz/news/article.cfm?c_id=1&objectid=10767379

I cannot understand the logic of some people when they say:

"We were probably more than a little naive but we [pinned] our hopes on their repeated promises ... because we felt that in a recession, we would be very lucky to find new tenants."

So you don't evict someone who is not paying any rent because you might have trouble finding someone else who will actually pay the rent?

[Ivan McIntosh]

The solution to which is to start looking for new tenants and evict the present ones when you find them.

You can, unfortunately, get yourself in a real tangle here, because a tenant can generally get their lease reinstated by the court if they front up with the money...arrears, interest, costs. Which is a bit of a problem if you've leased elsewhere in the meantime. You need to be careful with the conditions and it would be prudent to allow a bit of lead in time to see if the exiting tenant can actually pay.

For that reason, you get landlords feeling a bit hamstrung about signing someone up before they've gotten rid of the old tenant, sometimes a bit too timidly I feel. In the landlord's favour there are cases where the tenant claims reinstatement but the court rules it is no longer practicable because the new tenant is in.

Interested to see that the landlord often didn't require personal guarantees. That would be fairly unusual these days.

[Maccachic]

Rippin once controlled a $60 million fortune. He was bankrupted after going guarantor on a loan for his stepdaughter Maria Williams

Expensive daughter.

[spaceman]

LOL.... not even daughter.....stepdaughter ......wouldn't be ironic if the mother married him for his money

Cheers
Spaceman

[flyernzl]

They usually do.

She'd be off as soon as the money runs out.

[speights boy]

Perhaps Dean has a vacancy in one of his Alabama Trailer Parks

[spaceman]

^ I so hope that, that's real

Cheers
Spaceman