Resort battle over 'selling family silver'

Tony Hopper is one of the original developers of Pauanui. He doesn't want the tennis courts sold for development. Photo / Christine Cornege.

With all the amenities of a luxury beach resort, Pauanui has attracted holidayers from among Auckland's rich and famous.

But the premier Coromandel resort town is now up in arms as a club overseeing its recreational parks tries to "sell off the family silver".

Pauanui, on the east coast of the peninsula, is known for its posh holiday homes, including houses built along canals that let holidayers hop on boats from their back porches.

It was developed 40 years ago complete with golf courses, tennis courts, walkways and parks, entrusted to the Pauanui Sports and Recreation Club.

But the club has posted two consecutive operating deficits of about $100,000 in 2008 and 2009 and is looking to sell one of its tennis courts to fund renovations on its main building.

The move has sparked strong opposition, including a petition with as many signatories as long-term residents, 800. In the summer the population swells to more than 10,000.

The campaign last week won a High Court injunction against the sale, putting it on hold for six weeks until an annual general meeting in January.

One of Pauanui's original developers, Tony Hopper, has left the club, saying recent changes destroyed the town's concept.

"We had a plan to take a different approach to development and provide all the amenities we possibly could, with services finished and ready to use," Mr Hopper said.

Two per cent from the sale of every section in Pauanui had been gifted to the sports club to help it pay for the community parks.

Every property owner had a membership, which they had been reluctant to let go because of their value. Two per cent would be about $10,000 today.

But the club entrance fee had been lowered, people gave up their memberships, and now the club was selling property that he had "virtually given them" so they could "stay alive".

Sue Peploe, a leader of the campaign against selling the tennis courts, said mismanagement by the club during the past decade had put the community's assets at risk.

"Legally, they can sell these things, but morally, they're custodians for the whole community," she said.

The parks and amenities made the town attractive for families, whereas the sports club's main premises was like an RSA, only appealing to a few regulars and outmoded in a cafe culture, she said.

"They're selling off the family silver for that," Ms Peploe said.

Club financial director Ken Iles said in a statement on the club's website that there were other tennis courts and green spaces that people could use.

The club was financially sound with a "satisfactory cash surplus", he said.

Mr Iles told the Herald that the club's principal obligations were to its members.

"We would prefer to get on with the job," he said, in reference to the court injunction halting the sale.