Golf resort deja vu

The Golf Pacifica resort has been put up for mortgagee auction.

Katikati's Golf Pacifica resort has been put up for mortgagee sale, with its lender owed a total of $11 million.

It is the second time the golf resort has gone to the wall.

Lender Guardian Asset Securities called in the receivers to owner Rocky Cribb's company Kaimai Palms Golf Resort 10 days ago, and has put the 18-hole golf course, Scottish-style clubhouse, driving range, 73 serviced residential sections and another residential development block up for sale. The auction is on May 5.

The property is being marketed by real estate firm Colliers, which says that it has "enormous potential for improvement and further development, possibly including a thermal hot water bore to develop a future spa facility".

Cribb bought the resort out of receivership in 2001 for $4 million.

The Hamilton-based developer spent several years unravelling the resort's complex multiple ownership structure so that freehold residential lots could be made available.

Golf Pacifica was developed in 1996 on a former 77ha dairy farm just off State Highway 2 south of Katikati.

Cribb reportedly had plans for a hotel and restaurant, tennis courts, bowling green, gym and swimming pool on the site.

Guardian Asset Securities became involved in funding the project in October 2006.

In December that year the New Zealand Herald reported the development was on the market.

Another Cribb company, marketing and sales entity Resort Pacifica, went into liquidation in May 2008, owing $198,000.

Receiver Stephen Lawrence of PKF Corporate Recovery and Insolvency said he did not know the history leading up to the Kaimai Palms receivership.

"I am aware Mr Cribb had been trying to at least refinance over a period of time, and it just didn't happen," he said.

"Sooner or later, a stake has to be put in the ground and something formalised, and this is what has happened." He said Guardian Asset Securities was owed $11 million.

Cribb said he would comment on the situation "when it's appropriate".

President of the Golf Pacifica club, Fred Bowman, said it was business as usual for members and the club was in the process of arranging to pay an interim subscription to the receivers.

He said members remained supportive of Cribb. "He put a lot of time and effort into it," he said."It's a sad situation as far as he's concerned but one that we could actually see was probably going to happen."

Resorts in the rough

Golf Pacifica is not the first golf resort to find itself in the rough. Recent examples include:

Kinloch Golf Resort - Troubled finance company Hanover put the Jack Nicklaus signature course to mortgagee sale in 2008. The IRD is trying to liquidate the current owner.

Lakes Resort Pauanui - went into liquidation and was sold at mortgagee sale last year.

Gulf Harbour Country Club - formerly owned by failed Blue Chip boss Mark Bryers, the club's members bought it out of receivership in 2008.