McKenna meltdown: Westin management in receivership
Receivers have been called into troubled property developer Nigel McKenna’s company responsible for paying returns to Westin hotel investors.
The developer lost control of Lighter Quay Hotel Management, formerly Melview Lighter Quay Hotel Management earlier this week.
KordaMentha receiver Michael Stiassny was appointed to the company after creditors voted on Sunday against a repayment proposal Mr McKenna had put forward.
NBR first broke the news Westin investors hadn’t been paid returns by Mr McKenna’s company in May last year, and the problem has escalated since.
Mr Stiassny said the receivership would not affect the running of the hotel, operated by international company Westin which has no involvement in Lighter Quay Hotel Management.
Mr McKenna’s Melview Group built the 172-room, $130 million hotel at Auckland’s Viaduct Harbour. It opened in June 2007.
Receivers took over his $1 billion Kawarau Falls project at Queenstown in May last year.