An Auckland development of 15 townhouses has been put up for sale in a mortgagee auction.
The TradeMe advertisement for the auction of the Sunnynook Central development in Totara Vale seeks a developer to finish the project, and existing buyers of the townhouses appeared to have been taken by surprise.
Barfoot and Thompson salesman George Fong said a financier of the development had triggered the mortgagee auction after the developer was unable to make repayments.
The developer, Sunnynook Central LP, has been approached via its lawyers.
Auckland property developer David Whitburn, former president of the Auckland Property Investors Association, said he expected more developments to face mortgagee sales because of cost increases, delays on building materials, and a tighter lending pushing down prices.
Fong said he had received a call from one buyer in the development since the listing appeared on Tuesday asking what had happened.