Landlord to pay $14k over unlawful, unsafe rental

A Christchurch landlord must pay almost $14,000 for housing vulnerable tenants in unsafe and unlawful conditions.

Trott Dairy Limited has been ordered by the Tenancy Tribunal to repay $10,000 of rent, a fine of $3400 and costs of $427.

The Ministry of Business, Innovation and Employment's (MBIE) tenancy compliance and investigations team launched an investigation into the property in the suburb of Bishopdale in July 2023 after receiving information from the Christchurch City Council.

The team identified various issues, including a detached garage unlawfully converted into a residential unit, daylight visible through gaps in the wall and ceiling, exposed insulation batts, insufficient smoke alarms, a leaking roof, and external guttering running through and overflowing into the dining room.

The yard had extensive earthworks under way and rubbish which appeared to be industrial in nature.

At a Tenancy Tribunal hearing on January 30, both parties agreed the landlord's liability for the breaches which amounted to unlawful acts, including non-compliant tenancy agreements and failing to lodge bond received from tenants.

Trott Dairy Limited also accepted the garage was an unlawful residential premises and consented to a partial rent refund.

Tenancy compliance and investigations team national manager Brett Wilson said the breaches were so severe it was in the public interest to proceed with Tenancy Tribunal action, despite the tenants choosing not to participate in the application or hearing.

"The tenants suffered a number of illnesses that they attributed to the condition of the property, which the landlord accepted was not a lawful residential premise [sic], but they were worried they would lose their tenancy if they complained," Wilson said.

"Trott Dairy Limited owns and manages approximately 40 rental properties in Christchurch and should be acutely aware of its responsibilities under the Act.

"The tenants were particularly vulnerable because they were on temporary entry visas and were reliant on the landlord. The landlord promised them a tenancy in a property they had been working on. This promise was never fulfilled and instead the landlord provided them with a property that was not fit for residential purposes."

Trott Dairy Limited was also issued with a three-year restraining order by the Tenancy Tribunal from committing the same unlawful acts.