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News awaited on Queenstown's Kawarau Falls Station


8/03/2010 -

The future of the last two stages of the billion dollar Kawarau Falls Station development in Queenstown is up in the air after a company called Peninsula Road Ltd was placed in receivership.

Companies Office records show that Timothy Downes and Richard Simpson of Grant Thornton New Zealand were appointed receivers on March 2. The company's sole director is Auckland property developer Nigel McKenna.

Stage One of the development has continued under a separate receivership.

Peninsula Road owns the land for the next two stages of the three-part development, the Otago Daily Times reported.

The site has employed up to 500 workers.

The Press newspaper reported that stage two and three creditors are expected to be due more than $100 million. Stage two second mortgagee Allied Farmers, which bought Hanover Finance and its loans late last year, wrote down Hanover's finance assets this week.

Kawarau Falls Station is marketed as a resort village on the shores of Lake Wakatipu. It covers 6.4 hectares with half a kilometre of lakefront access and is a five minute drive from the Queenstown Airport.

Source: AAP NewsWire

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