Scoop has an Ethical Paywall
License needed for work use Register

Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


People With Contaminated Properties Need Certainty

Aucklanders who own properties that may potentially be contaminated need certainty the Property Institute said today.

This follows reports that the Councils and the Government have yet to work out a solution to the problem in West Auckland, where 3000 properties are tagged on their LIM report because of contamination fears.

Property Institute CEO, Conor English said today, "Uncertainty always has an negative impact on property values. Buyers will be reluctant to take a risk on purchasing a property unless they can get it at a discount to cover any possible problems later on. If they perceive the problems to be potentially great, then what they will be prepared to offer will simply be much reduced

"It will be difficult to complete property sales in such an environment.

"We have seen a similar problem with "leaky buildings" as new owners have been stung for sometimes very expensive previously unknown remedial works.

"There appear to remain a few unanswered questions regarding the level of contamination and who is responsible for causing it and cleaning it up.

"The market needs to know the level of contamination on each property, if any, who is responsible for any testing or remedial action, the timeframes involved and who pays for this.

"And it still appears unclear what if any responsibility and costs may be put on property owners by either the Councils or the Government.

"Home owners appear to be the meat in the sandwich. It is vital for the market to operate fairly that the Government and the relevant Councils give all parties involved certainty as soon as possible, "Mr English concluded.

Advertisement - scroll to continue reading

Are you getting our free newsletter?

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.

© Scoop Media

Advertisement - scroll to continue reading
Business Headlines | Sci-Tech Headlines

FMA: MAS To Pay $2.1M Penalty For Making False Representations

Following proceedings brought by the FMA, MAS has been ordered to pay a $2.1M penalty for making false and/or misleading representations to some customers. MAS admitted failing to correctly apply multi-policy discounts and no claims bonus discounts to some customers, failing to correctly apply inflation adjustments on some customer policies, and miscalculating benefit payments.More

IAG: Call On New Government To Prioritise Flood Resilience

The economic toll of our summer of storms continues to mount, with insurance payouts now topping $1B, second only to the Christchurch earthquakes. AMI, State, & NZI have released the latest Wild Weather Tracker, which reveals 51,000 claims for the North Island floods & Cyclone Gabrielle, of which 99% (motor), 97% (contents), and 93% (home) of claims have now been settled. More


Join Our Free Newsletter

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.