About Good Returns  |  Advertise  |  Contact Us  |  Terms & Conditions  |  RSS Feeds Other Sites:   depositrates.co.nz  |   landlords.co.nz
Last Article Uploaded: Saturday, July 4th, 2:21PM
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
  • Is the FMA looking in right places?
    “The real joke is how when large players in the market manage to get the regulator to look away, or to undertake a 'enforceable...”
    1 day ago by Chatterbox
  • Dealer groups should be QFEs
    “The term ‘dealer group’ appears to be loosely used in this discussion. Whilst it’s true that Australian Dealer Groups...”
    1 day ago by Pragmatic
  • Dealer groups should be QFEs
    “Well said Ron! Jeff - I suggest that you overlook the fact that as a QFE, you would have legal liability for the actions...”
    1 day ago by Graeme Lindsay
  • Dealer groups should be QFEs
    “Jeff, et al, what a wonderful conversation. I can't help but think that April 1 was a little while back, and this is indeed...”
    1 day ago by Hawaii Five-0
  • Dealer groups should be QFEs
    “Hi Jeff, which meaning were you trying to describe you adviser force: difficult to control or predict because of wilful or...”
    1 day ago by Bernal
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 6.49 5.10 5.59 5.59
ANZ Special - - 4.99 -
ASB Bank 6.50 5.49 5.49 5.75
ASB Bank Special - ▼4.89 5.10 5.39
BankDirect 6.50 5.49 5.49 5.75
BankDirect Special - ▼4.89 5.10 5.39
BNZ - Mortgage One 6.90 - - -
BNZ - Rapid Repay 6.49 - - -
BNZ - Special - - 4.99 -
BNZ - Std, FlyBuys 6.49 5.19 5.39 5.29
BNZ - TotalMoney 6.34 - - -
Lender Flt 1yr 2yr 3yr
Credit Union Auckland 6.70 - - -
Credit Union Baywide 6.45 5.75 5.75 -
Credit Union North 6.45 - - -
Credit Union South 6.45 - - -
Finance Direct 6.10 6.45 6.69 7.10
First Credit Union 6.45 - - -
HBS Bank 6.39 5.39 5.39 5.39
HBS Special - 4.99 4.99 4.99
Heartland 6.70 7.00 7.25 7.85
Heretaunga Building Society 6.45 5.40 5.40 -
Housing NZ Corp 6.74 5.70 5.99 6.29
Lender Flt 1yr 2yr 3yr
HSBC Premier 6.60 4.95 4.95 5.40
HSBC Premier LVR > 80% - - - -
HSBC Special - 5.29 5.29 5.29
ICBC 6.75 5.99 6.39 -
Kiwibank 6.40 5.39 5.49 5.69
Kiwibank - Capped - - - -
Kiwibank - Offset 6.40 - - -
Kiwibank Special - 5.09 4.99 5.39
Liberty - - - -
Napier Building Society 6.50 5.80 6.70 -
Nelson Building Society ▼6.70 ▼5.65 ▼5.95 -
Lender Flt 1yr 2yr 3yr
NZ Home Loans 6.85 5.49 5.49 6.29
Perpetual Trust 7.70 - - -
Resimac 5.84 5.60 5.65 5.79
SBS Bank 6.39 5.39 5.39 5.39
SBS Bank Special - 4.99 4.99 4.99
Sovereign 6.60 5.49 5.10 5.75
Sovereign Special - ▼4.89 5.10 5.39
The Co-operative Bank 6.45 5.15 4.99 5.35
TSB Bank 6.49 ▼5.45 ▼5.49 5.75
TSB Special - - ▼4.99 5.40
Wairarapa Building Society 6.20 5.75 5.95 -
Lender Flt 1yr 2yr 3yr
Westpac 6.40 5.49 5.49 5.59
Westpac - Capped rates - 6.74 6.99 -
Westpac - Offset 6.40 - - -
Westpac Special - - 4.99 -
Median 6.49 5.45 5.40 5.40

Last updated: 3 July 2015 8:24am

News Quiz

The Rural Bachelor of the Year competition at Fieldays this year was sponsored by whom?

Fonterra

Fidelity Life

OnePath

Sovereign

Partners Life

MORE QUIZZES »

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