Homeowners along the North Carolina coast, who entrusted Stellar Beach Realty and Rentals with managing their vacation properties, are now facing financial hardship after the company, owned by Holly Springs resident John Kozak, allegedly failed to pay them for rental income.
The homeowners claim they are owed thousands of dollars for bookings made in August and September 2024, with some individuals, such as Lyndsey Gibson, waiting on over $28,000 in payments.
Gibson, who had been using Stellar for three years to manage her beach home, noticed the lack of payments in late September and found herself facing mounting financial stress as she depended on this income during the off-season.
Danielle Boukedes, another property owner, says she is owed about $31,000 for her Holden Beach home. Both homeowners reported that they were given vague responses by Kozak when they asked about the missing funds, with Kozak claiming he didn’t have answers regarding why the money wasn’t in escrow.
The North Carolina Attorney General’s Office has received 20 complaints from other victims and is investigating the matter, along with the North Carolina Real Estate Commission NCREC. The NCREC confirmed that Stellar was under investigation and had agreed to surrender its broker license, though Kozak himself is not licensed.
Authorities suspect that there may be numerous victims, and efforts are underway to direct them to the NCREC’s recovery fund.
Meanwhile, Kozak’s attorney has stated that he intends to cooperate with investigations but refrained from commenting further.
As the investigation continues, affected homeowners are looking for criminal accountability, with some filing police reports and contacting the State Bureau of Investigation SBI. However, as of now, they are left with uncertainty regarding both restitution and justice.
