The amount owed by stage one of the Kawarau Falls Station development in Queenstown to the Bank of Scotland International has increased from $117 million to $219 million since it was placed in receivership in May last year, the latest receivers report shows.
The third receivers report by Grant Graham and Brendon Gibson, of KordaMentha, stated development is ongoing, while no property of the $1 billion Kawarau Falls Station has been sold since the developing companies Melview Investments Ltd and Melview Development Ltd, owned by Nigel McKenna, of Auckland, were placed in receivership.
The ongoing development had been funded by extended loans from the Bank of Scotland International, which had pushed the outstanding debt to the bank up to the $219 million including interest accrued since the date of the receivership.
The amount owed to unsecured creditors was reported to be about $4.9 million, but the receivers said it was "unlikely that there will be any funds available for unsecured creditors".
Between October last year and May this year, $31.8 million had been spent on construction costs.
The development includes several hotels, but while it had been planned to open the first in December, it has still not been announced which hotel chain would be operating it.
The land earmarked for stages two and three of the Kawarau Falls Station development, is owned by another of Mr McKenna's companies, Peninsula Road Ltd, which went into receivership in March this year with a debt of $134.4 million.
Mr McKenna and the KordaMentha receivers were not available for further comment.
