– More than $12m worth of Hamilton properties, including motels, are being sold by liquidators.
– Hamilton Accommodation Ltd owed $92,198 in unpaid tax, leading to its liquidation in May.
– The motels are being sold by tender, and the residential properties will be sold by auction in August.
Ten Hamilton properties, including a motel that was once used for emergency accommodation, have hit the market at once after the owners failed to pay tens of thousands of dollars in tax.
The liquidators of Hamilton Accommodation Limited have appointed Bayleys Waikato to sell the properties, which have a combined RV of just over $12 million.
Up for grabs are Abbey Motel, Hamilton Motel, and Sunrise Motel, as well as two blocks comprising seven residential properties in Melville and Beerescourt.
Sunrise Motel on Ulster Street, which is Hamilton’s motel alley, is being sold by tender. Photo / Supplied
The properties came to market after Hamilton Accommodation Ltd was put into liquidation in May, after owing $92,198 in unpaid tax to the IRD.
According to KPMG’s first liquidator’s report, using some of the motels as emergency accommodation had contributed to the financial troubles. This resulted in “significant wear and tear, tenant-related damage, and reputational issues”, which made it difficult to attract customers once the tenants left.
One of the directors told the liquidators this was made worse because they had been unable to sell the motels to help ease the cashflow pressures. They had accepted an offer on Te Rapa Motor Inn, which comprises a further five properties, before the liquidator was appointed. The sale is expected to settle next month.
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Liquidators Leon Bowker and Kristal Pihama said the assets were being sold to meet creditor claims.
Bayleys listing agent Steve Pett, who is selling some of the properties with colleague David Cashmore, said he expected interest from motel operators, investors and developers.
None of the motels are currently in operation, he said.
Abbey Motel, which had been used as emergency accommodation, is described in the listing as being in “tidy condition”, while the marketing for Sunrise Motel highlights a recent refurbishment.
One of the three two-bedroom units on Te Rapa Road, in Beerescourt, heading to auction in August. Photo / Supplied
A 1930s villa is in a row of four properties on Ohaupo Road, in Melville. Photo / Supplied
The Hamilton Motel is being marketed as “high-end” accommodation, with the listing saying its position directly across from Waikato FMG Stadium contributed to high occupancy levels.
The three motels have a combined RV of $8.37m and are being sold by tender, closing August 13.
Bayleys listing agent Aaron Paterson is selling, with colleague Troy Smith, three units on Te Rapa Road, in Beerescourt, and a row of four houses on Ohaupo Road, in Melville. The properties have a combined RV of $3.91m.
The owner had run them as rental properties, but they were now all vacant, Paterson told OneRoof.
Paterson is pitching the homes to first-time buyers, investors, and developers.
He told OneRoof that he had enquiries from investors looking to buy all three units on Te Rapa Road and all four on Ohaupo Road. The properties required some minor work, such as installing extractor fans in the bathrooms, to make them compliant with Healthy Homes legislation.
The houses are being sold at auction on August 14. “The liquidators have made it clear – these are to sell,” the agent said in his listings on OneRoof.