Published tribunal order
Tenancy Tribunal case 4861781 — Property damage at 152E Rimariki Lane, Takou Bay, Kerikeri, Far North 0295
Decided 6 Jun 2024 · Published 6 Jun 2024 · Application 4861781
- Property damage
- Rent arrears
Order
- [The tenant/s] must pay Mid North Real Estate Limited (as agent for the Takou 438 Ahu Whenua Trust) $11,596.44 immediately, calculated as shown in table below.
Reasons
- Mid North Real Estate took over management of the tenancy in February 2015 with Ms Taiapo as a sitting tenant.
- The tenancy ended by consent on 20 February 2024.
- The landlord’s application seeks rent arrears and compensation for damage.
- The hearing took place on 6 June 2024 in Kaikohe. Ms Robinson represented the landlord at the hearing. There was no appearance by the tenant.
- The landlord’s rent record establishes rent arrears of $2,496.00 to the end of the tenancy.
- The claim seeks compensation for damage - $10,000.00 for general repairs, cleaning, and lock replacement, and $500.00 for glazing (glass pane missing in door).
- Ms Robinson provided a copy of the final inspection report with photographs.
- There is extensive intentional damage throughout the house. Only one wall has no holes in it. The walls have been kicked, punched, cut, and graffitied. Every door is damaged. The keys were not returned, and it seems that the tenant and her family did not have keys – they simply broke into the house to access it.
- The property is owned by a Trust. Ms Robinson explained that the Trust intends to repair the property and also upgrade it, in particular to bring it up to the healthy homes standards. The work will take a long time. The property is remote. The administrative requirements of the Trust are not conducive to the rapid completion of projects.
- The claim seeks non specified compensation, essentially a contribution to the repair cost.
- Tenants are liable for damage that occurs during the tenancy and that is beyond fair wear and tear.
- The tenant is liable to “reinstate” the landlord – to put them back in the position they were before the damage happened. That is usually quantified in terms of an actual repair cost, or the cost of replacing the damaged item (if repair is not possible) and then deducting an appropriate amount for depreciation.
- The Tribunal routinely awards compensation for damage on the basis of estimates or quotes.
- The Tribunal also routinely awards compensation for damage where the landlord does not intend to repair or replace because the cost is disproportionate to the damage. An example would be a burn mark on a kitchen bench. If the damage cannot be repaired, reinstatement would require replacement of the entire bench, which is very costly. The Tribunal may instead make an award of general compensation.
- I am satisfied that it is appropriate to take a similar approach in this instance. It would be unjust to refuse to make an award of compensation to the landlord. The landlord has proven that the tenants caused very significant damage to the premises and the landlord’s loss will be substantial.
- I am satisfied that the cost of repairs, excluding the cost of improvements that the landlord wishes to make, and taking into account depreciation where it applies (for instance, to the cost of painting) will exceed the $10,000.00 claimed by a large margin. Almost every wall in the house needs to be re-lined and painted. The doors need to be replaced. The locks need to be replaced.
- I will not make a separate additional award for re-glazing costs. I am satisfied that $10,000.00 is an appropriately conservative award for the repair of tenant damage.
- The bond has been released to the landlord.
- The landlord has been successful in this application, and I will also award the landlord the filing fee of $20.44.