50 residents left in lurch by retirement village collapse
A CREDITORS report into the liquidation of a Tin Can Bay retirement village last month has revealed more than 50 residents have been left in the lurch by its collapse.
The report by Worrells liquidator Paul Nogueira identified the residents of Cooloola Waters Retirement Resort as shareholders until future exit fees can be established.
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The residents occupy 42 units across the complex.
The villages' parent company, Cooloola Retirement Villages Pty Ltd, moved into liquidation last month.
The company had been running for more than 30 years.
Changes to Queensland law were the cause of the company's downfall, the report said.
"The directors (Lorraine and Rodney Lohse) have advised that in light of recent legislative changes to the Retirement Village Act 1999 … and the required buy backs of both freehold and leasehold properties, the immediate solvency of the company has been called into question," Mr Nogueira said.
Housing Minister Mick de Brenni has defended the legislation as one that protects both parties.
In the meantime the village is being operated by Cooloola Waters Management, an associated company of Cooloola Retirement Villages, under Worrells' supervision.
Mr Nogueira said Cooloola Waters Management could be placed under administration "if deemed necessary".
The retirement village was being assessed"so we can development a plan for its future and those of current residents", he said.
"It is expected this plan will be available over the coming months."
The company had $302,000 in assets at the time it was liquidated, Mr Nogueira's report said.
Of this, $300,000 was cash in the bank; another $2000 was plant and equipment.
The company's liabilities were yet to be determined.