Housing developer in liquidation

Accountant and Tribeca Homes director Mark Richards. Photo / Nick Reed

A house investment company that failed to build nearly $10 million worth of new homes for dozens of investors has finally succumbed to creditors' pressure and entered liquidation.

Tribeca Homes was last week placed into liquidation at the High Court in Auckland at the request of subcontractor F&M Construction, joining associated companies Tribeca Homes Holdings and Personal Retirement Planning Franchising that had respectively entered liquidation in March and April.

The Herald has previously reported Tribeca Homes, directed by accountant Mark Richards, had advertised and sold land and building packages but in January conceded it was unable to fulfil 44 contracts worth $10 million.

Clients had complained of long delays, more than two years in some cases, with only vacant sections with rotting building materials and rubbish to show for their pains and the funds they had paid.

Financial adviser Daniel Carney of Goodlife Financial Advice was responsible for referring the majority of Tribeca's clients, and is understood to have received commissions totaling around $280,000.

Carney said he was also a victim of Tribeca's collapse.

"I've lost a lot of money, and probably health as well," he said.

Tribeca Homes liquidator Gregory Sheriff of Grant Thornton said while he was still totaling the amount owed to creditors, he had sympathy for clients who had been left in the lurch.

"In many cases they've been hoping beyond hope that something will come through, and that clearly hasn't happened," Sheriff said.

Richards did not return calls, but had earlier blamed Tribeca's problems on substandard subcontractors.