Nick, Anna and Mat Mowbray of Zuru. Photo / Supplied
Nick, Anna and Mat Mowbray of Zuru. Photo / Supplied
A solicitor for the billionaire Mowbray family has written to fellow owners of a Mount Maunganui apartment block, raising concerns about a decision ahead of a meeting tomorrow on how the leaky block is fixed.
Mat, Anna and Nick Mowbray own a level-nine unit in The Pacific Apartments on theMain St, Maunganui Rd, and Zuru Estates own a level-seven unit in the block estimated to cost $16 million to fix.
The Mowbrays' Bell Gully solicitor, David Friar, wrote about "ongoing division" between apartment owners.
"As owners know, some owners are still supporting a strategy that seeks to take control away from the elected body corporate committee and to pursue a reduced scope of repairs."
It was disappointing the division had arisen, Friar wrote, saying the Pacific Owners' Group (POG) had sought to challenge the approach to litigation being taken by the official body corporate by calling an emergency general meeting.
But those motions were "emphatically rejected" and that should have been an end to division, Friar wrote.
Attempts to get the body corporate to appoint a building committee to control the remediation process had bee "emphatically rejected", Friar wrote, adding that that should have been the end of the division.
The Mowbrays have a place on level nine, as well as level seven. Photo / supplied
Instead, there was continuing disunity, which Friar said was undermining the ability of the owners to effectively progress the litigation over the block.
"Worse, it is highly likely that the defendants in the litigation will take advantage of any disunity between owners to argue for a scope of work that leaves the owners without enough money to properly repair The Pacific," he wrote.
That disadvantaged all owners and was adding to the time, cost and risk in resolving matters.
"The Mowbrays will not accept an outcome where The Pacific is repaired to an inadequate standard that results in a loss in value to the apartments. If the POG or other owners want to take a different approach to that being pursued by the body corporate committee and its experts and advisers, there is a real risk that the body corporate and individual owners will end up without enough money to properly repair The Pacific.
Nick, Anna and Mat Mowbray of Zuru. Photo / supplied
"If that happens, there will be more litigation, only this time it will be against those owners who argued for the reduced scope of works. That litigation will be vigorously pursued by the Mowbrays and any other owner who wishes to join them," Friar wrote.
"That further litigation will inevitably add more time and cost for owners and will mean that it will take even longer for The Pacific to be repaired. The Mowbrays find this prospect incredibly frustrating but they are committed to litigation if necessary to hold to account those owners who want to argue for a reduced scope of works at the expense of the majority of owners," he wrote.
The family had asked Bell Gully to review the position and protect their interests, he said.
"Accordingly if any apartment owners are considering supporting a reduced scope of claim, the Mowbrays put them on notice of the risk of litigation against them personally in respect of any losses that their actions cause to the body corporate and [other] apartment owners," he wrote.
The Pacific Apartments at Mt Maunganui. Photo / Alan Gibson
The family did not want "matters to come to this" and hoped that unity over repairing the block would prevail.
Other owners contacted the Herald, expressing their concern when they got the letter.
They were shocked to get the Bell Gully letter and supported a reduced scope of works. But the letter raised issues they had not considered before - that of possible legal action against them if that reduced scope of works went ahead.
Comment has been sought from the Mowbrays and their solicitor.
Tomorrow's AGM of all owners will be held at Trustpower Baypark Arena.
