About Good Returns  |  Advertise  |  Contact Us  |  Terms & Conditions  |  RSS Feeds Other Sites:   depositrates.co.nz  |   landlords.co.nz
Last Article Uploaded: Monday, September 26th, 7:39PM
rss
Latest Headlines

Ballantyne rescue bid turned down

The receivers of the Ballantyne Retirement Village have turned down a rescue offer from a consortium headed by Money Managers boss Doug Somers-Edgar and Richamond Paynter.

Thursday, May 17th 2001, 10:54PM

by Philip Macalister

The receivers of the Ballantyne Retirement Village have turned down a rescue offer from a consortium headed by Money Managers boss Doug Somers-Edgar and Richmond Paynter, and sold the development to another party of $4 million plus gst.

Tower Trust put the Ballantyne group of companies, which were developing a golf course and residential development near Katikati in the Bay of Plenty, into receivership in June because they had defaulted on payments to investors.

Currently the 600 bondholders in this development are owed their capital of $8 million plus interest. They got their last interest payment in September 1999 and are still awaiting the return of their capital and the final interest payments.

Tower Trust general manager Glenn Clark says the Somers-Edgar/Paynter proposal was turned down for a number of reasons.

He says the receivers and Tower were unable to conclude an agreement based on the terms originally proposed in November.

Under this proposal the consortium planned to fund the development and marketing of the Ballantyne resort with a $1 million unsecured interest free loan and a $1.5 million mortgage arranged through a bank or other financial institution.

Clark says the consortium put forward a modified proposal that significantly changed the basis of availability of the $1 million interest free loan.

"As a result, all of the development risk would fall on you and none on the consortium as originally proposed," Clark says in a letter to bondholders.

He also says that Tower was unable to get full details of how the consortium intended to manage, complete, market and sell the development.

"We therefore conducted our own analysis of the position and concluded that if we proceeded with the modified proposal bondholders would be left exposed to an unacceptable level of risk."

Clark says the cash sale, to an undisclosed buyer, "has the benefit of avoiding the complex and risky issues associated with the consortium partially completing and selling the development in circumstances where it would have none of its own cash at risk."

Earlier story

Money Managers boss to the rescue

You can read Philip's blog here: http://www.goodreturns.co.nz/blog/

« Adviser regulation no done dealSovereign takes regulation bull by the horns »

Special Offers

Commenting is closed

 

print

Printable version  

print

Email to a friend
News Bites
Latest Comments
  • Volatility hits NZ Super Fund
    “If you read the NZ Super Fund's mandate, withdrawals don't start until 2032/33 and the fund will continue to grow until 2080...”
    9 hours ago by thombentley
  • Warminger faces $1m penalty per trade
    “This is shaping up to be an interesting case and I am sure all the other people who up until recently engaged in the same...”
    12 hours ago by Brent Sheather
  • Dormant products drive replacement business: Adviser
    “Backstage It will be popular with poachers. But the game keepers will have a much bigger voice. Say you wrote a policy...”
    14 hours ago by Dirty Harry
  • Commission ban 'errant nonsense'
    “When I am charged entry fees or commissions by an Adviser at least I know the amount and can feel the hand of the adviser...”
    18 hours ago by mike6156@gmail.com
  • Dormant products drive replacement business: Adviser
    “Another situation that may reduce the need for replacement is removing or going forward stop renewal commission being vested....”
    20 hours ago by Backstage
Subscribe Now

Weekly Wrap

Previous News

MORE NEWS»

Most Commented On
Mortgage Rates Table

Full Rates Table | Compare Rates

Lender Flt 1yr 2yr 3yr
ANZ 5.59 4.75 4.79 4.99
ANZ Special - 4.25 4.29 -
ASB Bank 5.55 4.69 4.75 4.89
ASB Bank Special - 4.25 4.29 4.34
BankDirect 5.55 4.69 4.75 4.89
BankDirect Special - 4.25 4.29 4.34
BNZ - Mortgage One 6.25 - - -
BNZ - Rapid Repay 5.70 - - -
BNZ - Special - 4.29 4.29 4.49
BNZ - Std, FlyBuys 5.64 4.85 4.89 4.99
BNZ - TotalMoney 5.64 - - -
Lender Flt 1yr 2yr 3yr
Credit Union Auckland 6.70 - - -
Credit Union Baywide 5.95 4.99 4.99 -
Credit Union North 6.45 - - -
Credit Union South 6.45 - - -
Finance Direct 6.10 6.45 6.69 7.10
First Credit Union 5.85 - - -
Heartland 6.70 7.00 7.25 7.85
Heretaunga Building Society 5.60 4.85 4.90 -
Housing NZ Corp 5.55 4.69 4.75 4.89
HSBC Premier 5.75 4.19 4.19 4.49
HSBC Premier LVR > 80% - - - -
Lender Flt 1yr 2yr 3yr
HSBC Special - - 3.79 -
ICBC 5.60 4.39 4.69 4.99
Kiwibank 5.25 4.70 4.75 4.29
Kiwibank - Capped - - - -
Kiwibank - Offset 5.25 - - -
Kiwibank Special - 4.19 4.19 -
Liberty 5.69 - - -
Napier Building Society 6.50 5.80 6.70 -
Nelson Building Society 6.10 4.85 4.99 -
NZ Home Loans 5.45 4.69 4.75 4.75
NZ Home Loans - Specials - - - -
Lender Flt 1yr 2yr 3yr
NZ Home Loans - Specials - 4.19 4.19 4.29
Perpetual Trust 7.70 - - -
Resimac 5.19 4.94 4.90 4.91
SBS Bank 5.54 4.75 4.89 4.99
SBS Bank Special - 4.25 4.15 4.55
Sovereign 5.65 4.69 4.75 4.89
Sovereign Special - 4.25 4.29 4.34
The Co-operative Bank 5.45 4.25 4.35 4.49
TSB Bank 5.54 4.75 4.75 4.99
TSB Special - 4.25 4.19 4.59
Wairarapa Building Society 6.20 5.75 5.95 -
Lender Flt 1yr 2yr 3yr
Westpac 5.65 4.79 4.85 4.99
Westpac - Capped rates - 5.15 5.25 -
Westpac - Offset 5.65 - - -
Westpac Special - 4.25 4.29 4.49
Median 5.65 4.69 4.75 4.89

Last updated: 26 September 2016 9:58am

News Quiz

The maximum remuneration model for Australian life insurance advisers is to be set at what?

Upfront 40% + trail 20%

Upfront 50% + trail 10%

Upfront 50% + trail 20%

Upfront 60% + trail 10%

Upfront 60% + trail 20%

MORE QUIZZES »

About Us  |  Advertise  |  Contact Us  |  Terms & Conditions  |  Privacy Policy  |  RSS Feeds  |  Letters  |  Archive  |  Toolbox
 
Site by Web Developer and eyelovedesign.com