Issues with student accommodation are continuing around the country, with confused communication about rent and cancellation fees adding to stress for students.
AUT says it was up to students whether they left or stayed before Alert Level 4, so it has continued to charge for unoccupied rooms during the lockdown, at a rate of about $300 a week.
The university said this week it would be back-paying a $60-a-week utilities rebate to students who chose to leave, but students 1 NEWS has spoken to say they haven’t seen that money yet.
In an email sent to students yesterday, the University said AUT doesn’t own its accommodation.
“Whether students are there or not we have ongoing costs including our regular rent payments to the owners – who so far have rejected any request for consideration in recognition of the impact of Covid-19.”
The email also stated that the university would allow students who had left, “the opportunity for them to cancel their contract without financial loss if they didn’t want to return.”
But one student 1 NEWS spoke to says that’s “blatantly incorrect”. He says on top of the roughly $300-a-week he’s paid for his empty room, he had to pay 3 weeks’ worth of rent to cancel his contract, a total of nearly $3000 since the lockdown started.
The student said he needed to cancel his contract for financial reasons, so the charge was an extra strain.
“I lost my job just before lockdown and I had no income after that, I cancelled because I thought it would be best to save some money for future course costs.”
“I live in Auckland and my parents are OK with me staying at home, but most other students can’t really cancel their accommodation contracts. Some other students have been put in a far worse place,” he said.
AUT says the cancellation charges were a mistake.
“In normal circumstances there is a three-week rental charge when an accommodation contract is cancelled. This has been applied in error and will be refunded,” an AUT spokesperson said.
“We are not in a position to refund students for the time they chose to leave accommodation, but will pass on any savings the landlords of the properties are able to offer. Conversations with the landlords continue.”
AUT students have told 1 NEWS they left their accommodation at the Wellesley Student Apartments and Akoranga Student Village when Level 4 was announced because they were worried about their safety and mental wellbeing if they stayed on.
Daishah Morgan said she returned home to support her sick mother out of fears for her health, and another student, who wished to remain anonymous said he didn’t want to be alone for 4 weeks.
“The entire floor was basically empty when I left, I would have been in isolation for four weeks by myself which wouldn’t have been a good situation.”
AUT’s student accommodation buildings are run by property manager Campus Living Villages (CLV). AUT told 1 NEWS it will not be renewing its contract with CLV, saying it will be bringing accommodation management in-house in the coming months to be “more directly involved”.
The university declined to comment about whether this was because of issues with student accommodation management during Covid-19.
Campus Living Villages, which owns and manages a number of university accommodation buildings across the country, came under fire for receiving more than $900,000 in the Government’s wage subsidy when students at its managed properties were paying varying fees for unoccupied rooms.
The company declined three requests for comment before issuing a statement this week saying it’s only receiving the wage subsidy for its owned properties.
“The halls at Victoria University, AUT, and Otago Polytechnic Student Village are managed by CLV, on behalf of the of the accommodation owners and/or tertiary providers. In those locations, CLV doesn’t control the setting of rents nor the Covid-19 relief packages,” group managing director John Schroder said.
CLV owns the facilities at Massey Albany, Massey Manawatu and three University of Canterbury halls.
It says the residential accommodation fees have been “significantly reduced” for students who chose to leave those residences.
“We are very grateful for the Government’s assistance, which means we have been able to retain all our people so they will be ready to return to work as soon as restrictions are lifted.”
Greens tertiary education spokesperson Chlöe Swarbrick says “the messy web” of contractual relationships and authority have made things difficult for students.
“When the Uni is pointing fingers at the commercial provider, and the commercial provider at the uni, its students who are left holding an exorbitant bill,” she said.
“It’s become really clear that these inconsistencies have arisen in a highly unregulated area, where students have no recourse to the Tenancy Tribunal or other consumer protections. The very pastoral care legislation created to protect domestic students just six months ago is now being pushed to the limit and found wanting.”
Students at other tertiary institutions say they’ve been experiencing similar issues, with confused communication meaning some students have been paying double rent during Alert Level 4 and 3.
EIT student Stacey Otter-Hodgetts says she’s cancelling her contract at EIT’s Student Village in Hawke’s Bay after being told she had to pay her full fees while away from her accommodation, and then being told that information wasn’t correct.
“On the day the announcement was made we were moving to Level 3 and then Level 4 we received no communication whatsoever. We didn’t know whether we were allowed to stay or go until the day Level 4 was happening.”
“A lot of the students here are under 18 and their families wanted them to come home while they still could, so that’s what a lot of people did,” she said.
She says by the time students were told they were able to stay at the Student Village, it was too late as many of them had left.
Ms Otter-Hodgetts says she was told by the village manager she had to keep paying her full accommodation fees of $190 a week while she was away.
But she says when a student approached a different EIT staff member about the rent situation, they were told they shouldn’t have to pay for their empty rooms.
“The finance team asked me to let you know they are not currently expecting payment from you,” the email said.
“I am sorry for the frustration this situation is causing you.”
EIT says the communication between the students and staff appeared to have “slipped through the cracks”.
“We are sorting that out,” the Institute said.
But in an email sent to Ms Otter-Hodgetts, it appears that students have to apply for student hardship in order to recover accommodation funds, rather than getting a refund.
“With respect to your accommodation charges, if your continued payment has created a hardship for you ... you need to provide the reason, the hardship you suffered and what level of relief you are seeking,” the email said.
“Any applications for hardship relief will be considered by a small group on a case by case basis.”
In the meantime, Ms Otter-Hodgetts says she and several of her fellow students have been paying for two lots of accommodation, one for their rent at the student village, and one lot for where they went to stay during lockdown.
“We haven’t been able to move back during Level 3. We haven’t been able to step foot on the property. Obviously we had to go somewhere else. I’ve been paying between $120-$180 a week for separate accommodation where I’ve been locking down,” she says.
She says when the country moves to Level 2, she’ll be leaving the student accommodation for good, but she’s worried that will mean she won’t see any money back at all.
“I’ve spent $950 of rent on a room I haven’t been in for five weeks. My concern is they’ll say ‘we’re not going to refund you, we’re just going to let you out of your contract’.
“I’m moving out because of this situation. I have no faith we would be supported in the future.”
SHARE ME