Worried investors in residential property specialist Blue Chip have been updated about rent payments which are weeks overdue and the company has apologised for the problems.
Kathy Faulkner, of Mt Maunganui, said that on Friday she got a letter from the company apologising for late rent payments and outlining a new schedule of payments.
Rent payments due from November would be made this week, the letter said. December rental payments, which were also late, would be made either at the end of this week or next.
After that, payments would be back on track, the letter said. All January rental payments would be made on time, the letter said.
All properties had full insurance coverage but other payment problems were yet to be resolved, the letter said.
"All other property related queries like rates are currently being worked through with the appropriate parties," Faulkner said the letter told her.
Kathy and Martin Faulkner are owed more than two months' rent and complained last week that they were so desperate they may be forced to sell their family home.
They said rent payments from Blue Chip associate Bribanc Property Group dried up in late October.
The Faulkners are part of a group of investors who have complained about payment problems in the last few weeks.
Greta Norman of Epsom said she had emails from about 80 investors complaining about a wide range of issues and she has considered organising a meeting for people to discuss their problems.
Investors have complained about long delays in getting properties after paying deposits, rental arrears, interest payment arrears on money paid for properties not yet settled, weathertightness issues in apartments and townhouses and lack of code compliance certificates with some properties.
Norman has also got a letter from Blue Chip outlining the rent payments and said many investors were reassured by the latest information.
Another investor, Annette Rowson, said she was concerned about demands for payment from another property management firm over a property she owned at the Gulf Harbour Lodge north of Auckland. Blue Chip was responsible for paying the body corporate fees on that property but these were in arrears, she said. An amount of $4786.88 was owed, she said.
Jonathan Knox of Blue Chip has defended the company, saying rent payment issues were being sorted out after the company changed its business structure to a new franchise system. He estimated that only about 0.2 per cent of people were affected by this problem.
"At the end of the day, actions speak louder than words and I remain hopeful that as the positive effects of our transition become apparent throughout 2008, that you will have something more meaningful to write about," Knox said last week.