$21m cost to ratepayers over Cayman Apartments

Tauranga City Council spent $21 million settling with homeowners in the Cayman Apartments case. Dominico Zapata/Stuff.

Luxury apartments with alleged defects have cost Tauranga Ratepayers more than $20 million.

Information released under the Official Information Act revealed Tauranga City Council paid $21 million to settle with Cayman Apartments homeowners.

An additional $1.5 million spent by council in legal fees and expert costs.

Council had allocated $19.2 million in their annual report to cover the cost of any settlement.

The lawsuit began after 47, out of 48 luxury-apartment owners, joined a $36 million lawsuits against 16 parties after a note was added to their property file by council saying the code compliance certificate “may have been issued in error”.

Body corporate investigations revealed a wide range of alleged building defects and negligence from the builder and council inspectors.

They alleged there were roof defects, wall integrity issues, weather tightness issues, balustrade complaints as well as drainage, stormwater and fire protection defects.

Leaky homes have cost Tauranga ratepayers big money with the council allocating millions for leaky homes payments.

Since 2014 council has paid out more than $7 million settling leaky home cases and in expert fees.

Under the Weathertight Homes Resolution Service council has received 226 leaky building claims with 13 requiring settlements to date.

Records show Tauranga City Council has paid out $7 million in settlements and costs since 2014 and $6.1 million paid out as Department of Building and Housing Financial Assistance Payments.




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11 Comments

Creating the homeless

Posted on 11-08-2020 20:06 | By sobeit

This is the tip of the iceberg .Ratepayers only have completely disfunctional elected members to handle complex issues. Expect the worst for future rates bills. We’ve just got ours and it makes me spit chips to think some of that goes to pay numtys like most of those. We will be the next homeless as we will have to sell up ,like Larry Baldock said. If you can’t afford it move out. While he draws circa $100k to terrorise homeowners ,some of whom probably voted for hm. The only sensible solution is for the whole lot to resign and new elections. Fat chance,most of them are unemployable

Cayman

Posted on 09-08-2020 19:23 | By surfsup

While this may be a problem from years ago, a large number of the councilors were around back then. The appalling costs that the ratepayers are having to pay out for this and Bella Vista needs a detailed explanation from the Major or CEO of the council.

Previous councils

Posted on 09-08-2020 10:28 | By Kancho

Nice to jump on a bandwagon and blame the current council but this is years back. Certainly if the same staff inspectors are still there and practices are the same then we do have a problem .I suspect a purge has happened especially after Bella Vista. If not then that is negligence

Takers

Posted on 08-08-2020 09:37 | By Menace

The construction responsibility seems to be laughable! These guys still operate locally. Tga council is a shambolic mess ... take, take blame blame

Really sad....

Posted on 07-08-2020 19:41 | By groutby

....by the number of comments (nil) that it would seem that it could easily, it not, become the ’norm’ to see such big numbers us ratepayers have had to pay for screw ups.....TCC..are you happy with this???..how can we progress as a city with so much money and not let’s forget resource being used up...can you at least see there is a serious problem to address?...anyone?..

Action

Posted on 07-08-2020 15:52 | By Tardis

Which heads are going to go over this gross misconduct of council duties.

Bodgit & Scarper

Posted on 07-08-2020 15:18 | By Slim Shady

I expect an announcement soon from Colonel Limpd**k on this. Show some spine man.

Criminal

Posted on 07-08-2020 14:34 | By Slim Shady

Will anyone see Court over this? I suspect not. The incompetence goes on and the builders and trades cream it in while Ratepayers pick up the tab.

negligence and defects

Posted on 07-08-2020 13:38 | By jim

I guess the council is recovering costs from the builder due to the wide range of alleged building defects and negligence from the builder?

Bella Vista #2

Posted on 07-08-2020 12:08 | By The Caveman

How many more such "problems" are been hidden from ratepayers??

costs

Posted on 07-08-2020 12:02 | By dumbkof2

don’t worry. rates will cover it. just add it to the list

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