The Bay's biggest residential development, The Lakes on the south west outskirts of Tauranga, has gone into receivership after the Bank of Scotland International called up its multimillion-dollar first mortgage loan.
Four receivers from Auckland-based KordaMentha visited the 250 hectare site near the Route K roundabout yesterday. One of the receivers
Grant Graham told the Bay of Plenty Times that The Lakes was a massive development that was strategically important to the Bay, not just in size but in location.
"What we are trying to do now is get to the bottom of the issues, and then the options will be evaluated along with the associated costs. We want to see it developed to its full potential," Mr Graham said.
The Lakes at Pyes Pa west, started by Grasshopper Farms in 2005, comprised 2100 sections and would eventually house about 6000 people. Stage one of 370 sections was sold and Grasshopper were selling stage two of 250 sections, with prices ranging from $155,000 to $390,000 depending on size and location in the community. More than 100 homes had been built.
