An Albany City project on the north shore of Auckland has faced a huge fall in the leasehold development. After this collapse, investors will have to face a million Dollar loss.

According to the experts, Westpac Bank would stand to be the top loser. Westpac had given the mortgage-secured loan of $150M to the Company working on this.

Rick Martin, a North Shore developer had started this project. He bought the site that is spread in a large area of 44 ha from Singaporean interests in the year 2005. He bought this site for $ 250 million. He had planned to construct a new city centre on this location.

Martin had taken the ownership of the land himself and formed the individual leasehold titles for development sites. The JV, a joint venture Company had bought these titles.

He had also intended to build 2000, towering housing apartments and also the official area for 15,000 employees.

The JV had to pay the rent even in the case of vacant land, but it could not go for long, as later on, the investors did not take any interest in the leasehold developments.

At that time, this sale was marked, as the largest private sale of land. The Bank of Scotland International had given fund for the project. Project was expected to be worth $3.5 billion after its completion.