A Rotorua real estate agent has closed its doors after low sales and listings forced it to go into liquidation.
The company 7 Limited, trading as Ray White, was put into liquidation on Tuesday last week.
One of the liquidators, Kenneth Brown of Tauranga-based RHB Chartered Accountants, said the shareholders of the
company approached them to act as liquidators.
"There just wasn't sufficient money to cover expenses. They elected to put themselves into liquidation."
The company terminated the Ray White franchise deed which had been in place since 2007 and the business was no longer operating.
The liquidation was the result of few listings and properties not selling.
Mr Brown said the Amohia St business employed one full-time staff member and one part-timer, as well as three agents who were paid by commission.
Mr Brown said the liquidators would work out what assets the company had to sell and that money would be used to pay wages and holiday pay followed by IRD and other creditors.
"It's unlikely they will all be paid in full."
The director of the company, Colville Barbour, could not be reached for comment.
Rotorua Real Estate Institute spokesman Ian McDowell said he was disappointed to hear the company had closed.
He said at least six real estate companies in Rotorua had closed or had been bought out over the past three years.
"It's not easy. Sales are well down on what we are used to and everyone is struggling a bit," Mr McDowell said.
