Horowhenua’s community housing all but gifted to the new ‘front’ company ‘Compassion Horowhenua’ (leaked)

The pensioner housing for the elderly in the Horowhenua has sold for the song of $5.5 million. “Information leaked to Stuff reveals the council is selling the pensioner units to a new company called Compassion Horowhenua for $5.5 million – a price some sources have labelled a bargain”. (Stuff) That will be the company we recently noted was formed ONE WEEK before the sale, fronting (?) for Willis & Bond, large property developers who surely wouldn’t need a bargain & will likely be laughing all the way to the bank right now. Stuff doesn’t say too much about the front company. This was a fire sale price indeed. Mayor Feyen was right about that. Still think they shouldn’t be opening the books at HDC?

I’ve heard estimates that the housing was actually worth around $25 million. There were 115 houses/units which equates to around a measly $47K per unit according to my rough calculations. Quite a bargain isn’t it?

So, councils have economic development committees (Cr Campbell was slammed last year for criticizing Horowhenua’s EDC ) … presumably they would have been involved in the sale, or at least consulted, managing the economic development of Horowhenua as they do & surely having their fingers on the pulse of property values? If it was them, then IMO they need to be sacked. All of them. Eight prominent businessmen, we were proudly told the day Cr Campbell was ousted as DM. Where are their skills, or the skills of whomever did sell them? (and of course we may never know since it was all behind closed doors). Not only that, we were promised they would sell to a community housing provider not a property developer. As we know they’ve gotten around that by signing the Sisters of Compassion up via their new company (‘Compassion Horowhenua’) to add the promised wrap-around service that’s yet to be defined (and surely, where are their ethics?) & I’m not holding my breath on that one. I suspect the Horowhenua Ratepayers Assn’s concerns about land banking could likely be correct.  In Tamaki (article soon to come on that), land banking has been occurring with many state homes sitting empty since 2012 … and we have 41K homeless in our country. Our government/corporation has NO SHAME. And as for this debacle. ‘Compassion Horowhenua’? They think we all came down in the last shower. And if this is true, they will get away with it because they can.

By the way, the article says they consulted vigorously. They consulted vigorously with the tenants over a free dinner, hardly ethical. And pensioners who opposed the idea were smartly shut down. At least that is what two pensioners have told me. (For further info from whistle blowers on HDC’s questionable goings on see our Horowhenua page under Local Govt Watch at the main menu).
EnvirowatchRangitikei

 

Council-owned pensioner housing sells for $5.5 million

The controversial sale of council-owned pensioner housing in Horowhenua includes measures to protect tenants, but not enough to satisfy opponents of the move.

Grey Power Horowhenua is worried the 115 pensioner units in Levin, Foxton and Shannon could soon be offered to other social housing users, instead of just pensioners, when ownership changes hands.

The sale has attracted widespread opposition because much of the wheeling and dealing has taken place behind closed council doors, although the Horowhenua District Council says it consulted rigorously.

Information leaked to Stuff reveals the council is selling the pensioner units to a new company called Compassion Horowhenua for $5.5 million – a price some sources have labelled a bargain.

The sale will be settled by September 30.

READ MORE

http://www.stuff.co.nz/manawatu-standard/news/93457559/councilowned-pensioner-housing-sells-for-55-million

 

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6 thoughts on “Horowhenua’s community housing all but gifted to the new ‘front’ company ‘Compassion Horowhenua’ (leaked)”

  1. There’s definitely a bit of skull duggery done here. This should definitely be investigated. By whom? Questions need to be asked. Why did it go so cheap? Who stand’s to gain? . . . .

    Liked by 1 person

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