KEY POINTS:
Troubled property developer Andrew Krukziener and his wife are selling waterfront land worth more than $24 million as he tries to stave off bankruptcy.
The 5500sq m section at Karaka Bay in Auckland's swanky Glendowie is on the market as Krukziener faces legal action over a $4m loan from Hanover Finance.
The loan was consolidated in 2002, soon after Krukziener defaulted on $21m of bond payments for his landmark Metropolis tower in central Auckland.
More than 1700 small investors lost most of their money after poor sales in the luxury apartment and hotel complex.
Since then, a string of Krukziener-managed companies connected to the $180m project have gone into liquidation. Creditors, including Krukziener, have received less than 20c for every dollar owed.
Krukziener did not return Herald on Sunday calls, but he and socialite wife Gitta are understood to be planning to move to Fiji, then China, with their son Louis.
Neighbours of the couple's Glendowie landbank include Rich Listers Graeme Hart and Barry Colman, who each own clifftop mansions.
But the Krukzieners' Peacock St property is considered more desirable because it slopes down to a private beach.
With sweeping views across the Hauraki Gulf, the giant property consists of five sections with separate freehold titles. Four contain modest houses and the fifth is vacant.
Title records show the individual properties were bought between 1994 and 2003 by a company called Andrew Krukziener No 6 Ltd, with Krukziener the sole director and shareholder.
The company was re-registered as the Peacock Street Trust in 2004 and Krukziener transferred his shares to his wife last year, who also replaced him as director.
A concept design for a 2400sq m, multistorey mansion has been created but zoning rules allow up to nine buildings to be built on the site, meaning potential interest from developers.
David Rainbow, the Bayleys agent handling the sale, said there had been no offers since the property was put on the market just before Christmas.
He did not want to put a dollar value on the site.
But mortgages on various parts of the property totalled $24.3m.
"It's a high-end buy, a unique site which has taken a while for the vendor to acquire," Rainbow said.
"I think whoever buys this property will build one, perhaps two, lovely homes on it. It could be a family compound."
The Ministry of Economic Development investigated Krukziener last year after a string of business collapses linked to the Metropolis development.
The ministry decided not to ban Krukziener as a company director but he has resigned as the director of more than 60 businesses.
He could still be banned if declared bankrupt in the High Court of Auckland.
Hanover's bankruptcy proceedings against Krukziener were put on hold at a hearing before Associate Judge David Abbott in December.
The move was delayed pending the outcome of Krukziener's appeal against the High Court decision to award Hanover $4m plus interest.
Laura O'Gorman, a solicitor for Buddle Findlay, the firm representing Hanover, said she was aware of the Karaka Bay property.
But she declined to comment on whether Hanover would seek an injunction on the sale to prevent Krukziener leaving the country.
"His name is not on the title so clearly that raises a few hurdles. I can't speak about our litigation strategy."
The Insolvency Office said it could not take steps to prevent the sale of the property unless Hanover was successful in having Krukziener declared bankrupt.
Krukziener is no stranger to the limelight.
When he married Iranian beauty Gitta, guests were greeted by two young lions and their handlers and a swimming pool filled with white swans.
His sister-in-law Gilda is married to fellow developer James Kirkpatrick, worth an estimated $80m.
With a penchant for fast cars - he's owned a Lambourghini and a Bentley - 42-year-old Krukziener lost his licence last year for speeding.
