July 2005 decisionsMacquarie buys Eldercare New Zealand Limited, retirement home chain… … and Macquarie Goodman buys two commercial properties Two retrospective approvals given in relation to controversial Otahuna Lodge Linvest of Germany buys “certain securities” in Pacific Funding from Westpac Sanwa Investment buys land at Airpark Business Centre from Trans Tasman Strata buys land at Jacks Point, Queenstown U.K./Hong Kong investors buy Glenora Estate and adjoining Waiheke I. land … … and Waiheke Island lifestyle block goes to US couple Three retrospective approvals among four Hawkes B, Coromandel properties Ministerial intervention in Martinborough land purchase? Nicks Head Station owner buys further 550 hectare property Further land bought by mining company at Waihi due to township subsidence Erdmans acquire remaining 5% of Coleridge Downs Turkish purchase of Kerikeri land
Macquarie buys Eldercare New Zealand Limited, retirement home chain…Retirement Care (NZ) Limited, owned by Macquarie Global Infrastructure Fund II of Australia has approval to acquire Eldercare New Zealand Limited for $70,000,000 from Abano Healthcare Group Limited owned 98.7% in Aotearoa and 1.3% by “various overseas persons”.
According to the OIC,
The Eldercare group of companies currently own and operate 13 retirement care and accommodation facilities throughout New Zealand. The facilities have different combinations of hospital, dementia and rest home residential care services, as well as retirement village operations at two facilities.
This includes 6.5 hectares of land comprising · 1.3 hectares at 1 Cargill Street, Invercargill, Southland; · 2.0 hectares at 100 Valley Road, Paraparaumu, Wellington; · 0.4 hectares at 199 Nayland Road, Stoke, Nelson; · 0.6 hectares at 361 Mangorei Road, New Plymouth, Taranaki; · 0.6 hectares at 499 Don Buck Road, Massey, Auckland; and · 1.5 hectares at 6 Halligan Road, Whitianga, Coromandel.
The OIC also states:
The Applicant, Macquarie Global Infrastructure Fund II (GIF II) is a Macquarie Group managed infrastructure investment fund. The Applicant proposes to acquire 100% of the issued capital in Eldercare Limited (Eldercare).
The Macquarie Group has recently announced acquisitions in the retirement and accommodation sector including 100% of Leisureworld, Canada’s largest provider of long-term care homes, and a 95% investment in a portfolio of 14 retirement care and accommodation facilities in Australia. The Macquarie Group is currently focusing on this sector as an area of international expansion and proposes to bring the benefits of international best practice and substantial capital backing to this industry in New Zealand.
The proposal is likely to result in added market competition and efficiencies in the aged care and retirement village industries in New Zealand. This is likely to result in enhanced domestic services for persons requiring aged care and retirement village services.
According to Abano, ElderCare New Zealand Limited was established in 1997, employs “over 638 staff”, operates rest homes, hospitals and dementia care for older people requiring higher levels of care, and owns and manages two retirement villages. It has 740 beds, 69 independent retirement villas and 35 services apartments, holding approximately 2.4% of the aged care residential market (Scoop, “Abano Announces Conditional Sale Of Eldercare”, Press Release: Albano Aged Care, 24/5/05, http://www.scoop.co.nz/stories/BU0505/S00363.htm).
It gave the need for new capital in this rapidly expanding area as its reason for selling. This fits Macquarie well, as does the rapidly expanding, government subsidised, low risk nature of the “business”. But its claimed expertise in looking after vulnerable and frail elderly people is more open to question. Macquarie is known as a ruthless operator. For such an operator, the sector can be seen as an opportunity for lucrative property dealing. The sector’s forms of business include selling licences to occupy units, monopolistic profit being available on their maintenance and repurchase. Almost all operations involve substantial land and building assets.
Meanwhile, non-profit operators of these facilities are selling – Macquarie’s subsidiary Retirement Care bought all 11 of the New Zealand Salvation Army’s residential aged care centres in September 2005. Others selling include the Methodist Mission Northern and Presbyterian Support in Auckland and the northern South Island. Another large and growing chain undergoing change in ownership is Guardian Healthcare – see our commentary for June 2005. (Ref: “The Salvation Army announces sale of Aged Care Centres”, http://www.eldercarenz.co.nz/rel_sopsaleannouncement.html, accessed 29/1/06; New Zealand Herald, “Parties offer more for aged care but bills huge”, by Simon Collins, 8/9/05, http://www.nzherald.co.nz/organisation/story.cfm?o_id=500505&ObjectID=10344576.)
Part of the pressure is that their staff are underpaid, which is true of the whole aged care sector. Nurses in particular can get much higher pay in public hospitals due to government recognition of their pay equity case.
[Decision number 200520008.] … and Macquarie Goodman buys two commercial propertiesMacquarie Goodman Nominee (NZ) Limited has approval to acquire 16, 18B and 18C Normanby Road and 30 Enfield Street, Mt Eden, Auckland for $61,671,745 from Eden Commercial Limited of Aotearoa. No area is given for the land involved. [Decision number 200520002.]
And Macquarie Goodman Nominee (NZ) No 2 Limited has approval to acquire 0.069 hectares at 33-43 Hugo Johnston Drive, Penrose, Auckland for $137,200 from Carter Holt Harvey Limited. It is acquiring the land, which adjoins land it already owns, “as part of a boundary adjustment” with Carter Holt Harvey Limited, providing it with “increased efficiencies to The Gate Industry Park commercial/industrial warehousing development that is being developed by the Applicant.” [Decision number 200520014.]
Both Macquarie companies are acting as nominee for the Macquarie Goodman Property Trust and/or the Macquarie Goodman Industrial Trust. In both cases, “the nominated purchaser and ultimate owner of the land is likely to be the trustees of the Macquarie Goodman Property Trust (MGP) and/or the Macquarie Goodman Industrial Trust (MGI)”. The companies are owned as follows: · 5.06% – Goodman Family of Aotearoa · 4.25% – Macquarie Bank Limited of Australia · 55.55% – minority shareholders in Australia · 0.025% – various “overseas persons” · 35.115% – minority shareholders in Aotearoa
According to the OIC, MGP is a New Zealand listed unit trust which has various property investments in New Zealand. MGP is managed by Macquarie Goodman NZ Limited (MGNZ), which is a subsidiary of MGM.
MGI is an Australian listed unit trust which invests in industrial properties in Australia and New Zealand. MGI is managed by Macquarie Goodman Funds Management Limited (MGFM), which is a subsidiary of Macquarie Goodman Management Limited (MGM). The securities in MGI and MGM have been stapled and trade as a single security referred to as the Macquarie Goodman Group (MGQ).
Carter Holt Harvey was then owned
· 50.5% – International Paper Company Limited of the U.S.A. · 18.1% – various “overseas persons” · 5.7% – minority shareholders in Australia · 5% – Franklin Resources Inc of the U.S.A. · 20.7% – minority shareholders in Aotearoa Two retrospective approvals given in relation to controversial Otahuna LodgeRetrospective approval has been given to two creditors of the failed Otahuna Lodge near Christchurch to hold mortgages over the property. The operation is now in receivership and its owners separated with one no longer in Aotearoa. The failure received front page treatment by the Christchurch Press, and revealed ministerial involvement in the original approval. (See our commentary on the March 2003 OIC decisions. For more details see Foreign Control Watchdog 109, “Otahuna: all that glitters is not gold”, by Murray Horton, August 2005, http://www.converge.org.nz/watchdog/09/07.htm.)
Hans Christopher Andrew Smith of the U.S.A. has approval to acquire a mortgage over 12.13 hectares at Otahuna, Rhodes Road, Tai Tapu, Christchurch, Canterbury for $985,960 from Otahuna Property Limited, owned by Gregory John Leniston and Julie Evelyn Leniston of the U.K.
In this case the OIC states, forlornly:
The Applicant has applied to the Commission for retrospective consent to the Applicant’s acquisition of an estate or interest in the land on 27 September 2004 under an all obligations mortgage given by Otahuna Property Limited (Otahuna).
The advances and taking of security by the Applicant has resulted in Otahuna continuing to operate. The advance made by the Applicant and secured by the 27 September 2004 mortgage enabled the Lenistons to acquire the land. The development of the historic home on the property into a lodge business enabled the Lenistons to develop a business plan that formed the basis of a successful application by the Lenistons to the New Zealand Immigration Service for Long Term Business Visas. The advances made by the Applicant therefore indirectly assisted the Lenistons to meet the “national interest” criterion under section 14E(b) – the intention to reside in New Zealand permanently – and the condition imposed on the Lenistons’ consent to acquire the land. The grant of the Visas would enable the Lenistons to take up immediate residence in New Zealand, and would enable the Lenistons, in the long term, to be granted permanent residency, provided that New Zealand Immigration Service guidelines were met.
The conversion of the historic home on the land by the Lenistons into a lodge business, which was acquired with the assistance of the Applicant’s funding, has led to the following benefits being realised that are in the national interest, notwithstanding Otahuna’s liquidation and receivership and the Lenistons’ bankruptcy: (a) the acquisition by the Christchurch region of a world class lodge that attracts tourist dollars; and (b) the creation of new job opportunities in the lodge business. [Decision number 200520004.]
Charwill Limited, owned 98% by John Andrew Smith, Jane Hazel Smith and Desmond John Trigg as trustees of the Hazan Family Trust, and 2% by John Andrew Smith and Jane Hazel Smith, all of the U.K., has approval to acquire a mortgage over the same property for $175,000 from Otahuna Property Limited, as above.
Here, the OIC states:
The Applicant has applied to the Commission for retrospective consent to the Applicant’s acquisition of an estate or interest in the land on 14 September 2004 under an all obligations mortgage and general security agreement given by Otahuna Property Limited to the Applicant. The Applicant made advances of $175,000 to Otahuna under these securities. The Applicant states that the funding provided by the Applicant enabled Otahuna to meet its interest payments under the first mortgage in favour of Contributory Mortgage Nominees Limited, and pay debts to urgent trade creditors. The Applicant advises that initial loan was part of what was intended to be a major investment of $7-8 million to be made by the Applicant to refinance Otahuna’s secured debts and to expand Otahuna’s business. It was intended that the Applicant’s directors would take over operational control of the Otahuna’s Lodge business.
The Applicant’s overall proposal was likely to have resulted in the expansion of the Otahuna Lodge business which would have likely resulted in the creation of new job opportunities, and the introduction of additional investment for development purposes. [Decision number 200520005.] Linvest of Germany buys “certain securities” in Pacific Funding from WestpacLinvest LP of Germany has approval to acquire “certain specified securities” in Pacific Funding for an amount that has been suppressed from Westpac Banking Corporation of Australia.
According to the OIC,
Linvest LP will provide finance to Pacific Funding, by entering into a transaction to acquire certain securities in Pacific Funding.
Entities associated with the Applicant undertake, nationally and internationally, the business of financing and investment banking. The financing of Pacific Funding is a continuation of those activities.
However the approval appears to be for more than simply a financing transaction: it allows Linvest “the right to exercise or control the exercise of the voting power of and/or appoint or control the appointment of the board of directors of Pacific Funding” – or in other words, take it over.
See our commentary on an associated transaction in the August 2005 decisions for more information.
[Decision number 200520015.] Sanwa Investment buys land at Airpark Business Centre from Trans TasmanSanwa Investment Limited, owned by Chang Hoon Park of Japan, has approval to acquire 1.7 hectares at Montgomerie Road, Mangere Auckland for $3,944,171 from Trans Tasman Properties Limited which is owned 61.31% by SEA Holdings Limited of Hong Kong, 4.1205% by “Unknown Overseas Persons”, and 34.5695% by minority shareholders in Aotearoa.
According to the OIC,
The Applicant proposes to acquire three lots at the Airpark Business Centre, a commercial property development being undertaken by Trans Tasman Properties Limited. The Applicant intends to develop the land in stages involving the identification or assignment of suitable tenants followed by the construction of quality commercial facilities in close proximity to Auckland International Airport for lease to commercial tenants.
[Decision number 200520016.] Strata buys land at Jacks Point, QueenstownStrata Development Group (NZ) Limited, owned 50% each by Andy Jay Funk of the U.S.A., and Jason Michael Neal of Aotearoa, has approval to acquire 0.9 hectares at State Highway 6, Jacks Point, Queenstown, Otago for $3,375,000 from Jacks Point Limited, owned 60% by SEA Holdings Limited of Hong Kong, 30% by Pacific Resort Holdings Limited of Aotearoa, and 10% by Donald Fletcher of Aotearoa.
According to the OIC,
The Applicant (Strata) was established to undertake and finance real estate developments worldwide, with emphasis on luxury residential apartment and hotel projects. Strata proposes to acquire the subject land to conduct a comprehensive residential development consisting of 12 apartment homes.
The vendor is completing the necessary infrastructure for the residential subdivision. The subdivision is part of a development that is being undertaken by the vendor that includes a golf course, accommodation lodge, and residential and commercial developments.
The development is described as a “plush $1 billion golf resort village” by Queenstown Property Limited (“Jacks Point to release first sections in spring 2006”, December 2005, http://www.queenstownproperty.com/news/news_page.cfm?item_id=603). Fletcher residential bought 16 hectares there (see our commentary for November 2004 for further details). [Decision number 200520003.] U.K./Hong Kong investors buy Glenora Estate and adjoining Waiheke I. land …Home International Limited, owned 80% by Solina Holly Chau Hoi Shuen of the U.K. and 20% by “Hong Kong Investor”, has approval to acquire two adjoining properties on Waiheke Island, Auckland:
· 3.2 hectares at 160 Nick Johnstone Drive for $5,160,000 from Derek Arthur Holland and Sallyanne Holland of Aotearoa [Decision number 200520006]; and · 1.7 hectares at 14 Te Miro Lane for $2,050,000 from Stuart Bingley Hodder and Brenda Anne Hodder of Aotearoa [Decision number 200520007].
According to the OIC, in the first case,
The Applicant proposes to acquire the subject property which is currently used as boutique luxury accommodation and as a wedding venue known as Glenora Estate. The property also contains land planted in olive trees and grape vines and produces boutique red wine and olive oils.
The Applicant proposes to refurbish and upgrade the existing accommodation to provide up-market facilities primarily for wealthy international business persons and wine aficionados. The Applicant proposes to expand production of wine and olive products on the land and begin exporting wine products through a major international speciality wine retailer and distributor – Watson’s Wine Cellar. The Applicant proposes to utilise the adjoining land for additional facilities to be used in conjunction with the existing accommodation facilities.
And in the second case, which is vacant land,
The Applicant proposes to build additional facilities on the subject property for use in conjunction with the accommodation. These additional facilities are intended to be established for the enjoyment of guests at the adjoining Glenora Estate property and not as a public facility. The proposed facilities include golf-related facilities being putting greens, a short par 3 hole of golf, a pavilion, landscaping, and housing for golf carts and associated implements. … and Waiheke Island lifestyle block goes to US couplePeter Linfield Dessart and Barbara Epp Dessart of the U.S.A. have approval to acquire 9.3 hectares at 150C Trig Road, Onetangi, Waiheke Island, Auckland for $1,580,000 from Dennis Lloyd Moorman and Christine Elaine Moorman of Aotearoa.
The OIC states:
The Applicants are applying for New Zealand permanent residency under the Business Investor category. The Applicants are proposing to relocate to New Zealand and acquire the subject property for a permanent residence.
The Applicants are demonstrating a commitment to New Zealand through applying for and taking up New Zealand permanent residency. [Decision number 200520009.] Three retrospective approvals among four Hawkes B, Coromandel propertiesGregory Mark Sandler and Karen Creel Sandler, Kevin Allan Rainey and Strat Peters, as trustees of the GM & KC Sandler Family Trust of Hong Kong, have approval to acquire four properties. All but the first appear to be retrospective approvals dating back to 2000, although the OIC does not state so explicitly.
Different combinations of the four trustees appear in the approvals, but Karen Creel Sandler is the common element, and in each case the OIC states, inconsistently with the list of approved applicants: “The trustee and beneficiary of the Applicant is demonstrating her commitment to New Zealand through applying for and taking up New Zealand permanent residency.”
· Karen Creel Sandler and Kevin Allan Rainey have approval to acquire 6.3 hectares at 199 Meeanee Road, Napier, Hawkes Bay for $1,575,000 from West Quay Holdings Limited owned 40% by Neville Rohan Smith and Diane Leslie Smith, 30% by Brian Joseph Martin and 30% by Kevin Henry Atkinson, all of Aotearoa. According to the OIC, “The land contains an area of 4.75 hectares planted in Sauvignon Blanc vines during 2002 to 2004. The vendor currently leases the vineyard to a local vineyard contractor who supplies grapes to Mills Reef Winery Limited situated at Tauranga. The land also contains the Old St Mary’s Church which has a Category II listing on the Historic Places Register. The Applicant proposes to further develop the property as a vineyard, boutique restaurant and a bed and breakfast accommodation as part of a food and wine tourism and wine export business, in conjunction with other properties owned by the Applicant in New Zealand.” [Decision number 200520017.] · Gregory Mark Sandler and Karen Creel Sandler, and Strat Peters have approval to acquire 54 hectares at 284 Lees Road, Hahei, Coromandel for $1,800,000 from Samuel Leighton Bonnar of Aotearoa. According to the OIC, “The subject property, which was acquired by the Applicant on 3 July 2000, is currently leased to a New Zealand citizen as a dairy farm. The trustees of the Applicant intended to establish a 30 room luxury accommodation and resort on the property in conjunction with Aman Resorts. Proposed services for the resort include a gift shop, library, restaurant, salon, spa facilities, facial and massage treatments, gymnasium and fitness instruction.” [Decision number 200520018.] · Gregory Mark Sandler and Karen Creel Sandler, and Strat Peters have approval to acquire 6.7 hectares at 214 Clifton Road, Te Awanga, Hawkes Bay for $506,250 from Bret William Harte of Aotearoa. The OIC states: “The subject property is currently bare land which the Applicant proposes to plant in Chardonnay vines in September 2005. The Applicant also plans to situate an authentic “General Store and Grocer” on site and boutique tourist accommodation in the form of six cottages on the property.” [Decision number 200520019.] · Gregory Mark Sandler and Karen Creel Sandler, and Strat Peters have approval to acquire 0.08 hectares at 221 Clifton Road, Te Awanga, Hawkes Bay for $655,000 from Gavin Carl Yortt of Aotearoa. According to the OIC: “The subject property contains a residential dwelling which Ms Sandler, a trustee of the Applicant, intends to use as a permanent residence when she relocates to New Zealand to reside permanently.” [Decision number 200520020.] Ministerial intervention in Martinborough land purchase?The Nelson Family Trust 2002 of the U.S.A. has approval to acquire 14 hectares at Kelly’s Stream Road, Martinborough, Wairarapa for $790,000 from Andrew Sutherland and Elaine Sutherland of Aotearoa.
Unusually, the OIC concludes its “rationale” for the approval with the statement:
Ministers were satisfied that the proposal was in the national interest having had regard to the matters set out in section 14E of the Overseas Investment Act 1973.
Does this hint that the OIC was overruled by the Ministers?
The OIC states:
The subject property, which is unsuitable for viticultural or other farming use, has been subdivided off a larger parcel of land by the vendors, who are developing the balance of the land into a vineyard.
Mr Peter Nelson and his wife, Carolyn Nelson, are trustees of the Applicant. The Applicant proposes to acquire the subject property to establish a business base in New Zealand and to develop a self-catering homestay lodge. It is anticipated that the existing dwelling on the property will be adapted, landscaped and fitted out for homestay use. It is possible, depending on economic and other factors subsisting at that time, that an additional homestay lodge will be constructed and completed by April 2008.
[Decision number 200520021.] Nicks Head Station owner buys further 550 hectare propertyJagre Holdings LLC, owned by J A Griffin of the U.S.A., has approval to acquire the 552 hectare Mapiri Station, 2349 Wharerata Road, RD2, Gisborne for $6,000,000 from Sally Vena Trafford, Hugh Maxwell Trafford, and Timothy Selwyn Trafford of Aotearoa. Griffin was at the centre of a national controversy during the 2002 General Election over his purchase of the historic Nicks Head Station – see our commentary for August 2002 for further details.
According to the OIC, regarding the present acquisition,
The property is currently used as a sheep and cattle farming unit. In addition, the land contains a small (5 hectare) citrus orchard and 28 hectares of forestry. The Applicant proposes to implement a farming development programme to increase farm productivity on the property, and a conservation plan. The amount of land available for farming activities will reduce by approximately 36 hectares to accommodate the conservation activities proposed. The land will be leased back to the vendors for a term of two years. The Applicant’s conservation and farming programmes will commence upon the termination of the lease.
… The property, the subject of this application is situated south of Nicks Head Station and is separated from Nicks Head Station (on its coastal boundary) by a 50 hectare block of land which is in separate ownership.
Mr Griffin is an avid conservationist and has established habitat protection, pest control and re-vegetation programmes at the Nicks Head Station property, including the protection of mature remnant forests, the creation of habitat for wildlife, the reduction of the effects of wind and water erosion on the coastal faces of Young Nicks Head, and protection of endangered East Coast species.
The Applicant views the acquisition of the subject property as an opportunity to utilise the experience gained on Nicks Head Station to create another series of unique environments for native wildlife and plant species.
The land includes or adjoins the foreshore, a heritage or historic area, and land provided as a reserve, public park for recreation purposes or a private open space.
Without giving further details, the OIC asserts that there will be “guaranteed walking access (subject to certain restrictions) over a designated path on the property to the foreshore from the end of the two year vendor lease; and the continuation of the existing practice of allowing all reasonable requests for public/iwi access to the coast and iwi access to sites of cultural significance (subject to certain restrictions)”.
[Decision number 200520012.] Further land bought by mining company at Waihi due to township subsidenceWaihi Gold Company Limited, owned by Newmont Mining Corporation of the U.S.A., has approval to acquire 0.2 hectares at 14 Roycroft Street, Waihi, Coromandel for $181,000 from Karen Marie Everitt of Aotearoa.
The OIC notes,
In December 2001, a substantial ground subsidence occurred at Barry Road in Waihi which resulted in the destruction of two properties and placed another eleven properties at risk. The subsidence was associated with historic mine workings undertaken by companies no longer existing. An agreement was reached between the Applicant, the Hauraki District Council and the Earthquake Commission to enable compensation and/or relocation for the affected property owners. As part of the agreement the affected properties were transferred to the Applicant. Subsequently, a further 25 properties were identified as being subject to a risk of ground collapse as a result of the historic mine workings. These properties are in the process of being transferred to the Applicant.
The Applicant has now been approached by a number of property owners in the immediate vicinity who consider that the market value of their properties has been adversely affected. The Applicant has developed a “Property Sales Assistance Programme” under which, where it can be shown that the property’s market value has been adversely affected, the Applicant will acquire the property at market value. The property the subject of this application is part of the programme. The proposed acquisition will also consolidate the buffer between the Applicant’s mine and other surrounding residential areas.
The last purchase by Waihi Gold was in March 2005, which was for its proposed Favona Underground Mine, and the last purchase as compensation for subsidence was in February 2004. See our commentaries for those months for further details.
[Decision number 200520013.] Erdmans acquire remaining 5% of Coleridge DownsChristian Pardee Erdman and Sumner Pardee Erdman of the U.S.A. each have approval to acquire acquire up to 26.25% of Coleridge Downs Limited, which owns 1,929 hectares at Coleridge Downs, Canterbury, for $200,000 from Barry Hopkinson of Aotearoa.
They are taking over the remaining 5% of the company that the family did not already own, buying it from their departed farm manager.
According to the OIC,
Consent was granted in 1994 for Calvin Pardee Erdman, Sumner Pardee Erdman, and Christian Pardee Erdman to acquire 95% of Catterick Holdings Limited (Catterick). Catterick changed its name to Coleridge Downs Limited (Coleridge) on 12 August 1994. Coleridge owns and farms the Coleridge Downs property which is utilised for sheep, cattle, deer and crop farming.
Since 1994 the Coleridge Downs property has been transformed from a generally underdeveloped high country run into an intensive finishing property. It has undergone extensive development which has included the establishment of a deer farming unit, the development and regrassing of undeveloped areas, installation of a new water reticulation system, and an increase in stock numbers and farm productivity.
Barry Hopkinson has been the farm manager and a 5% shareholder in Coleridge since 1994. In November 2004 a new farm manager was appointed to operate Coleridge. It is now proposed that Sumner Pardee Erdman and Christian Pardee Erdman who each previously held 23.75% of the shares in Coleridge, will acquire the 5% shareholding from Barry Hopkinson (ie 2.5% each). Consent is required as the Applicant’s shareholdings in Coleridge will as a result of the acquisition, exceed 25%.
See our commentary for October 2002 for the previous approval for the Erdmans, when they bought further property. [Decisions 200520010, 200520011.] Turkish purchase of Kerikeri landCuneyt Guleray and Seda Polat Guleray of Turkey have approval to acquire 25 hectares at 2470 SH 10, Waipapa, Kerikeri, Northland for $900,000 from Wairua Farms Limited owned by Haydn Kerwin Bonham and Joanne Margaret Bonham of Aotearoa. All the OIC tells us is that “The Applicants are applying for New Zealand permanent residency under the Business Investor category and propose to acquire the subject lifestyle property as a permanent residence. The Applicants are demonstrating a commitment to New Zealand through applying for and taking up New Zealand permanent residency.” [Decision number 200520001.] Summary statisticsAll investments Because of the number of suppressed values this month, a comparison of the value of investment with last year is not possible. The number of approvals is similar, but the number of refusals is down from 8 to 1. There were no refusals this month. There were however an unusually large number of retrospective approvals (that is, given after the acquisition had been completed) – five in all.
*There were also five retrospective approvals involving a gross consideration of $4,122,210 ($2,961,250 net – i.e. disregarding sales from one overseas investor to another, and discounting part New Zealand ownership of the assets).
Investment involving land Gross sales of land approved by the OIC during the years to July have decreased substantially in area, but net sales have risen from negative to a positive 5,800 hectares.
*There were also three retrospective approvals for freehold land purchases with a gross (and net) land area of 61 hectares and consideration of $2,961,250; and two retrospective approvals for “other interests” in land – in this case, mortgages – affecting a gross land area of 24 hectares (net 0 hectares) and consideration of $1,160,960 ($0 net).
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Compiled by: Campaign Against Foreign Control of Aotearoa, P. O. Box 2258 Christchurch. |
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