sign up log in
Want to go ad-free? Find out how, here.

Landlord fined $60,000 for illegally converting five Auckland properties into 12 'substandard' units

Property
Landlord fined $60,000 for illegally converting five Auckland properties into 12 'substandard' units
<a href="http://www.shutterstock.com/">Image sourced from Shutterstock.com</a>

Auckland Council's claiming "a significant success" against illegally established rental housing after prosecuting a businessman who illegally turned five Auckland properties into 12 rental units.

Madhav Karmarkar was prosecuted and fined $60, 000 for turning two properties in Takapuna and three in Mt Roskill into a total of twelve smaller units without receiving the consent to do so.

Labour housing spokesperson Phil Twyford said the case was the tip of the iceberg. "In parts of West Auckland and South Auckland it can be hard to find a garage that is used for housing a car," he said.

The landlord, who had converted two properties into 12 smaller units without consent, has been fined $60,000 following a successful prosecution by Auckland Council. Two of the ‘units’ were garages.

The council said the "full extent" of the illegal conversions was discovered following a complaint from a tenant querying if it was legal to rent a garage as a flat.

Two of the converted units were former garages, one with low cramped ceilings, and the other even retaining the external garage roller door within the property. 

Auckland Council's manager of resource consents Heather Harris, said splitting properties into multiple residential units could sometime be accomplished legally depending on district plan zoning requirements, but the right consents need to be obtained first.

"Illegal conversions can place tenants at risk, often forcing people to live in substandard accommodation with common problems including overcrowding, unsanitary conditions and inadequate essential services," she said.

Environment Judge J A Smith took into consideration the "deliberate nature" of the offences in order to achieve financial gain.  Enforcement orders were issued by the court requiring the illegal units to be disestablished and the dwellings returned to their legal state by end of February next year.

The defendant was fined a total of $60,000 in his capacity as a landlord and as a director of two registered companies, Jayashree Ltd and Jayashree Corporation Ltd, listed as registered owners of the properties. Court costs and solicitor’s fees were also imposed for all the charges laid.  

Harris praised council officers for their "effective" investigation and application of the law and said that, together with the court’s sentencing, Auckland Council was sending out a "clear message" to landlords that non-compliant activity would not be tolerated.

"We support appropriate development to help meet the housing needs of Auckland residents and have implemented processes to make it easier for people to engage with council’s resource consent department," she said.

Anyone considering altering their property to a multiple occupancy dwelling should consult with the council to receive the appropriate guidance and advice before making any changes.

Twyford said that families "crammed" into sleep-outs and garages are an all too common feature of the Auckland housing "crisis".

"That some landlords are trying to take advantage of desperate tenants by illegally converting garages into flats is appalling, but hardly surprising given the shortage of decent rental properties."

We welcome your comments below. If you are not already registered, please register to comment.

Remember we welcome robust, respectful and insightful debate. We don't welcome abusive or defamatory comments and will de-register those repeatedly making such comments. Our current comment policy is here.

10 Comments

How dear he provide affordable accomodation without jumping through all of the councils hoops and paying all of the development contributions that would have made the accomodation no longer affordable.

If peole can legally risk their lives skydiving, rock climbing etc, why do they not have the option of taking up cheap accomodation that has not been approved by the council?  Make it law to disclose that the property has not be checked by the council and may not met certain standards, but leave the choice up to the tennent. 

Up
0

Unfortunately, it's reality.  The only difference between Auckland CC and the Hell Angels MC is one has letter headed stationery.

Up
0

Simon - you can't possibly be serious that people should have FREEDOM of CHOICE. NZ is a Central Bureaucracy District in the Pacific Ocean.

 

 

Up
0

Simon, I see from your comments you want to turn
Auckland into a 3rd world city ....perhaps that is all you know....???

Up
0

Fully agree C.H.

Now IF those units HAD been of legal standard, AND if THEN the required permits had not been sort, I dont think the fines would have been anywhere near as steep.

Then permit conditions are there so we dont eventually end up with Sowettos....

On the other hand the cost of permits to convert a garage or out house into a living unit is way over board....and lets not forget the on going substantual increase in the rates bill to.

Steps

Up
0

How dare anyone set up a

  • tinny house
  • P-lab
  • doss-house
  • Tree-house
  • House of Rising Sun

Without ya first has yer Forms Stamped and yer Munny Taken......

Up
0

Was Workng For Families insufficient for them to rent somewhere else rather than a garage?

 

http://www.workingforfamilies.govt.nz/accommodation-supplement/

Up
0

You could look a little further. Exploitation. Possibly. Who could be exploited?. Overstayers? Probably not WINZ customers. Look who the exploiter was/is. The location. Exploiting his kinfolk.

Up
0

Had to happen. You can bet your boots it's the tip of the iceberg. With 90,000 new arrivals into NZ, most heading for Auckland, where do you think they are hiding. They can't possibly be instant WINZ customers. Or can they?

Up
0

I'm not surprised that people would show up arguing simple supply/demand = everyone satisfied type logic. I'm betting those (above) argu in favour of more immigration?

There were  people defending Swann who stole from Otago Health board ($19M -6 recovered) and his rich friend who took him in on his release was compared to Jesus.

License they mean when they cry liberty.

......

One wonders what Unite Canterbury has up it's sleave?

Up
0