The landlords of a Porirua home described as “not fit for human occupation” have been ordered to compensate their former tenants.
The Cannons Creek house, occupied by tenants for 12 years, was described as leaky, with multiple holes and gaps in the walls, “significant” mould on the ceiling, rotting gutters, and windows that could not open or close.
The conditions contributed to one child developing rheumatic fever.
Poh-Khean Tan, trading as PK Property Services, signed an agreement with the two tenants in 2012 and managed the property until January 2024. Patikiriachchige Aruna Ranjana Perera, the sole director and shareholder of Tapro Limited, the registered property owner, took over management of the tenancy after Tan.
Parera, his company, and Tan were were found jointly responsible for any breaches at the Tenancy Tribunal.
An investigation into the property was launched in September 2023 by the Ministry of Business, Innovation, and Employment’s Tenancy Compliance Investigations Team after it received a complaint from a Healthy Homes Initiative Provider who assessed the property following a medical referral.
Investigators discovered several issues with the property, which included gaps and holes causing draughts, “significant” mould on the ceiling, and rotting spouting and guttering.
Multiple windows could not be opened or closed, and the stairs were slippery because water was leaking in through the windows.
There was also a lack of suitable heating in the living room.
According to the ministry, a weathertight assessor considered the house “not fit for human occupation” after visiting in October 2023.
The family frequently got sick with respiratory problems over the 12 years, with one child developing rheumatic fever.
Despite its poor condition, the tenants said they had no choice but to accept the home as they were in dire need of housing at the time.
They said they raised concerns about the property with the landlord, but little work was done until investigators became involved.
According to the tribunal adjudicator, Tan had told Perera the stairway window was leaking as far back as 2014.
“This home was in a poor state when [the investigations team] commenced its investigation, as it had not been adequately maintained for a number of years,” investigations team national manager Brett Wilson said.
Perera was given a work order to fix the windows at the property, but failed to do so. Instead, he removed the windows from one of the bedrooms, replaced them with cardboard and cling wrap and left the country for an “extended period”. The windows have since been reinstated following the investigations team intervention.
Perera had claimed he could not undertake the necessary maintenance due to a lack of funds. However, the tribunal adjudicator did not accept this as an excuse.
“Operating a tenancy is a business; if a business is unaffordable, it cannot, or should not, continue. Obligations under the Act are not contingent upon available funds,” the adjudicator said.
“There were options available to both respondents when the maintenance got out of hand, none of which were taken, to the detriment of the tenants.”
Brett Wilson said the landlords should have been well aware of their obligations and should have addressed the tenants’ concerns.
“The family living at this address were particularly vulnerable as they did not have alternate housing options and had all suffered health issues likely as a result of the condition of the property.
“[The investigations team] will not hesitate to take tribunal action if necessary to ensure a fair outcome for tenants and to hold landlords to account if they do not meet their obligations under the Act.”
On Perera’s failure to fulfil the work order, Wilson said: “It is unacceptable for any landlord to treat tenants in this manner, particularly when there is also non-compliance with a Tenancy Tribunal order.”
He said the investigators would take further action to ensure Tapro Limited complied with its basic responsibilities as a landlord.
The landlords, including the property owner, were ordered to pay $5000 in exemplary damages to the tenants and costs of $1687.70.
Compensation of $5000 has been paid to the tenants, but $5000 remained outstanding.
Perera was issued a restraining order, prohibiting him, or any company he was a director of, from renting out properties he owned that are poorly maintained or do not meet all building, health, and safety requirements.
A landlord who broke such an order could be tried at a district court and ordered to pay a maximum fine of $3600.
