Companies behind Harcourts agency fold, new company formed to continue

One of the businesses in the national real estate chain of Harcourts was put into liquidation by its owners.

Two companies which operated a real estate sales and property management agency under the Harcourts banner have been put into liquidation, with the owner forming a new business to carry on and saying nothing has changed.

Mohammad Jan of Liquidation Management has issued his first report on the businesses.

Pinnacle Real Estate and Pinnacle Real Estate Rentals, trading as Harcourts Pinnacle, are both in liquidation. They are owned by Rasheed Muhammed and traded from the agency’s offices on Pavilion Drive, Māngere.

Muhammed told the Herald today that Harcourts Pinnacle continued but under an entirely new company formed last September. That is Pinnacle Realty and he is the sole director.

All the activities of the previous two companies were now being performed by that new company so business was proceeding as normal, he stressed.

“The liquidator was appointed by me, as part of the restructuring process after I embarked upon a separation which saw my former partner leaving the business. This decision was critical to ensure a clean transition, mitigating any ongoing issues from the past - it has indeed helped me put the past behind and concentrate on the new propensity,” Muhammed said.

“With the new company, I’m glad to report that we are operating smoothly and effectively. We are indeed carrying on with everything, upholding the business ethos and continuing to serve our clientele efficiently,” he said.

Companies Office records show that Muhammed owns that new business with 5th Avenue Trust which has the same address as the Harcourts’ agency offices.

“Everything is carrying on as normal,” Muhammed said today of his South Auckland real estate operations, continuing under the Harcourts banner.

Both liquidated companies were incorporated in March 2018.

Jan said Muhammed on December 20 brought him on, citing a “relationship breakdown” as the reason for the liquidations.

Muhammed today said a previous director of those two companies was a family member, which is why he had formed the new company.

Jan’s report said he was liaising with Inland Revenue and Accident Compensation Corporation. He got valuations on four vehicles and is conducting an investigation of the business. The motor vehicles are estimated to be worth $180,000 in total and cash in an ASB bank account is $7000.

UDC Finance is listed as being owed $26,000, Nissan Financial Services $62,000, and Heartland $107,000.

Muhammed said all liabilities of the previous two companies were transferred to the new business.

Unsecured creditors are yet to be confirmed but appear in a statement of affairs at $3700.

IRD is yet to file a proof of debt.

Harcourts Pinnacle said it provided full services for selling or renting properties.

It is advertising 28 residential properties for sale including at Pukekohe, Morningside, Takanini, Karaka, Mt Roskill, Tuakau, Glenfield, Wattle Downs, Papatoetoe and Clarks Beach.

Its rental division is advertising places in Manukau, Henderson, Takanini, Papakura and elsewhere.

Muhammed is the business owner and principal officer for Harcourts Pinnacle.

Harcourts is New Zealand’s largest real estate agency, with offices from Kerikeri to Invercargill.

It has 206 New Zealand offices, 2570 sales consultants, sells around $16 billion worth of properties annually and conducts more than 7000 auctions.

“Every 51 minutes, a tenant moves into a Harcourts-managed property,” it said.

Its agents have an average rating out 4.8 out of five, it says.

Anne Gibson has been the Herald’s property editor for 23 years, has won many awards, written books and covered property extensively here and overseas.