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Foreign investment in Aotearoa/New Zealand
Overseas Investment Office - September 2019 Decisions
This month's crop of 19 applications includes nine forestry consents, two rubber stamps, one retrospective consent and one declined.
Pan Pac Gets Rubber Stamp For Forestry
The Minister for Land Information and the Associate Minister of Finance have granted a standing consent (special forestry test) under s.12 and s.23A of the Act for Pan Pac Forest Products Ltd (Japanese Public 74.6%; US Public 11.7%; UK Public 6.4%; various overseas 6.1%; Belgium Public 1.3%).
The OIO states that Pan Pac is a fully integrated forest products company, whose business includes growing, processing and marketing timber. It produces lumber at its' Whirinaki and Milburn processing plants. This standing consent under Schedule 4(3) of the Act has been granted in accordance with the special forestry test set out in s.16A(4) of the Act. This standing consent will permit the Applicant:
- to acquire up to 20,000 ha. of yet to be identified sensitive land;
- a maximum of 25 transactions by 1 October 2022 (the duration of the standing consent). This standing consent will act as a form of pre-approval whereby the Applicant must notify the Overseas Investment Office each time it settles a transaction in relation to this standing consent.
A RNZ report on the "Green Rush" (24/10/19) says Minister Sage defended the consent, as Pan Pac exports quality timbers not just logs, and "has been in NZ since the 1970s".
Pan Pac is owned by Oji Green Resources Co. Ltd, Tokyo. Begun as a joint venture with Sanyo Kokusaku Pan Pacific Ltd, Oji took its share of Pan Pac to 100% in August 2007, then acquired Carter Holt Harvey pulp and paper mills from Graeme Hart in 2014. In 2012 Tokyo-listed Oji Holdings Corporation was the third largest company in the global forest, paper and packaging industry. See Pan Pac consents to acquire forestry land in February and March 2019, October 2018, December 2014, April 2011, January 2006, February and August 2005, November 2004, July and August 2001.
Back to TopMatariki Forests In Joint Venture With Hapü Owners Of Esk Forest, Hawkes Bay
Kaiwaka Joint Venture (Maungaharuru-Tangitū Trust, NZ 50%; US Public 37.7%; UK Public 4.5%; Luxembourg Public 3.1%; various overseas 2.8%; Germany Public 1.1%; Switzerland Public 0.8%) has consent to acquire forestry rights in up to 3,298.6 ha. known as Esk Forest in Hawkes Bay, from Maungaharuru-Tangitū Trust (NZ 100%). The value of forestry rights is not determinable until the harvest of the trees.
The OIO states that Kaiwaka Joint Venture is an unincorporated joint venture between Matariki Forests (an overseas-owned company) and a subsidiary of the Maungaharuru-Tangitū2 Trust. The Maungaharuru-Tangitü Trust is a post-settlement governance entity and representative body for its hapū. The Kaiwaka Joint Venture has applied for consent under the special test relating to forestry activities set out in section 16A(4). The grantor of the forestry rights is Maungaharuru-Tangitū Trust, which will hold freehold title to Esk Forest pursuant to the Maungaharuru-Tangitū Hapū Claims Settlement Act.
The hapū will retain ownership and control over Esk Forest and Matariki will introduce required capital and expertise to help manage portions of the commercial forest. Much of Esk Forest is currently subject to Crown Forestry Licences held by another forest operator, so these being ended, forestry rights over various portions of the land will be granted to the Kaiwaka Joint Venture gradually over the next 30+ years as portions of Esk Forest are harvested by the current licence holder.
Back to TopMatariki Forests Buys Two Southland Forests
Matariki Forests (US 75.4%; UK 9.1%; Luxembourg 6.2%; Germany 2.1%; Switzerland 1.7%; various 5.6%) has consent to acquire approximately 1,663 ha. at Braid and Fox Roads, Wyndham, Southland ( Hillfort Forest) and 625 Cumming Road near Lumsden, Southland ( Wether Hills Forest), from QIC Strategy Timber No. 1 Ltd (Australia 100%). Price withheld under s.9(2((b)(ii) of the Official Information Act.
The OIO states that Matariki Forests has applied for consent under the special test relating to forestry activities in s.16A(4). The land is already almost all (1,377 hectares) mature commercial forestry. The remainder is unplantable due to indigenous vegetation, streams and riparian strips, reserves and infrastructure (roads and tracks). Matariki Forests is purchasing the land to secure on-going timber supply. It intends to harvest the existing crop, and replant and maintain a replacement crop. It will maintain public access over the land and take steps to protect native scrubland, native forested areas and waterways within each forest.
Matariki Forests is already the fourth largest land owner in NZ with 73,509 ha. (RNZ, 17/10/19). It is three-quarters owned by US logging company Rayonier, which partners with OneFortyOne in Australia - see commentary of January 2019. The owner of the other quarter is Waimarie Forests Pty Ltd, Australia.
Back to TopChina Forestry Group Buys Forests In Rotorua, Whanganui And Northland
China Forestry Group NZ Co. Ltd (China 100%) has consent to acquire 926.4 ha. at Highfield, Kai Iwi and Kirikopuni Forests, from Utaraya Finance Inc. (UK 100%) for $27,818,838. The OIO states that China Forestry Group has applied under the special test for forestry in s.16A(4). It is acquiring land and forestry rights over existing trees in three forests: Highfield Forest, Rotorua (314 ha.), Kai Iwi Forest, Whanganui (158 ha.) and Kirikopuni Forest, Northland (454 ha.).
The land is currently in commercial forest, predominantly pinus radiata, with collectively a total stocked area of 708.5 ha. China Forestry intends harvesting the forests over the next few years, beginning in 2020, and will replant the land, maintaining the same proportions of stocked area. The land does not contain any residential land and will not be used for any residential purposes, and does not contain any special land or farmland. There are no existing arrangements relating to the land and there are no log supply contracts to honour.
RNZ (17/10/19) listed China Forestry Group as NZ's 19th largest land owner with 17,087 ha. It is owned by the Chinese government's State Forestry Administration, and has forests throughout the North Island. See commentary of March 2013, when it bought 14,000 ha of State forests from the NZ Superfund.
Back to TopKauri Forestry(Craigmore) Buys Whangarei Farmland For Conversion
Kauri Forestry LP (Switzerland 93%; Germany 7%) has consent to acquire 309.6 ha. at 471 Moore Road, Pipiwai, Whangarei, from Trustees of the Kauri Trust (NZ 100%). Price withheld under s.9(2)(b)(ii) of the Official Information Act. Kauri Forestry has applied under the special test for forestry activities in s.16A(4).
The OIO states that this 309.61 hectares is part of 375.9 ha. which is being subdivided by the vendor. Approximately 249 ha. are currently used for farming. Kauri Forestry intends to plant 223 ha. and retain 42 ha. in native bush. The balance of 44 ha. is not suitable for forestry (ridges, gullies and setbacks, roading and tracks, and non-productive scrub areas).
Some land will be leased to the vendor for grazing in the lead-up to afforestation. The land does not contain residential land, will not be used for residential purposes, and does not contain any special land. Kauri Forestry Limited Partnership is a forestry business built, managed and governed by Craigmore Sustainables with offshore money. See more in our commentary of July 2019, also June 2019 and next month.
Back to TopNZ Forest Industries/Issoria (Virgin Islands) Buys Third Forest
NZ Forest Industries Ltd (UK 100%) has consent to acquire 170.9200 ha. at Whataroa Forest, West Coast, from NZ Forestland Ltd (NZ 100%). Price withheld under s.9(2)9b((ii) of the Official Information Act. The OIO states the NZ Forest Industries has applied under the special test for forestry activities set in s.16A(4). It intends to continue the existing land use as commercial forestry.
The land currently has 140 ha. of forest which will reduce by five ha. for use as roading and setbacks as part of harvesting. The remainder contains approximately 26.7 ha. of non-productive area, 1.2 ha. of steep coastal area and 2.8 ha. road and skid. The land will not be used for residential purposes. There is a cottage which will only be used for accommodation for forestry activities carried out on the land.
The land contains special land, foreshore and seabed, which has been offered back to the Crown. NZ Forest Industries was registered in 18 March 2016, listing its ultimate owner as Issoria Offshore Ltd, registered in the Virgin Islands, a British-owned tax haven and secrecy regime. See more in our July 2019 commentary, when Issoria bought two forests in Marlborough.
Back to TopAustrian Count Buys Two More Farms For Forestry Conversion
DI (FH) Johannes Trauttmansdorff-Weinsberg (Austria (100%) has consent to acquire a freehold and a leasehold interest in approximately 1055.3 ha. at 130 Riverina Road, Ruakituri, Wairoa, from VP & M Read Ltd (NZ 100%) for $7.2 million. The OIO states that Trauttmansdorff-Weinsberg has been granted consent under the special test for forestry activities in s.16A(4).
The freehold interest is in Mangaaruhe Station (approximately 961 ha.) and the lease is for Mangaaruhe West No.2 Block (approximately 94.5 ha.). The lease, which is over Māori freehold land, expires in 2025, with consent to enter a further lease term. Together, the land is currently used as a sheep and beef farm.
The applicant will subdivide and sell two dwellings that are not required for forestry activities, and plant approximately 706 ha. as a commercial forest on Mangaaruhe Station, and will plant an additional approximately 51 ha. on Mangaaruhe West No.2 Block if a further leasehold term is secured. The remainder of the land includes existing bush and scrub or land unsuitable for planting. The commercial forest will be due for harvest in around 2046 and replanted.
DI (FH) Johannes Trauttmansdorff-Weinsberg (Austria 100%) has consent to acquire 373.4 ha. at 2133 Wharekopae Road, Ngatapa, Gisborne, from Roger Dickie Waihua Ltd (NZ 100%) for $3.5 million. The OIO states that Trauttmansdorff-Weinsberg has applied for consent under the special test for forestry activities in s.16A(4). The land is known as Karaka Station; 341 ha. are currently being grazed by sheep and cattle. Trauttmansdorff-Weinsberg will subdivide and sell approximately 22.46 ha. which contain two dwellings not required for forestry activities.
He will plant approximately 290 ha. as commercial forest. The remainder includes existing bush and scrub or land unsuitable for planting. The commercial forest is due for harvest in around 2046 and replanted. See commentary of August 2019 for Trauttmansdorff-Weinsberg's consent to buy land in Masterton. Roger Dickie is the agent who got the rules wrong when buying forestry conversion land in Masterton for Austrian countess Veronika Leeb-Goess-Saurau, see April 2019 commentary.
Back to TopAustrian Billionaire Buys Land For Forestry Conversion
Wolfgang Leitner (Austria 100%) has consent to acquire 489.7 ha. at 633 Waimaha Road, Tahunga, Gisborne, from Christene Anne Waddell and Ngapuke Stn Trustee Co Ltd (NZ 100%) for $4,565,000. The OIO states that Leitner has applied under the special test for forestry activities in s.16A(4). The land is known as at Ngapuke Station, 453.5 ha. of which is currently grazed by sheep and beef stock.
Leitner will subdivide and sell approximately nine ha. which contains a residential dwelling that is not required for forestry activities. He will plant approximately 390 hectares as a commercial forest; the remainder includes existing native trees or land unsuitable for planting. The commercial forest is due to be harvested around 2045 and replanted.
Wikipedia describes Wolfgang Leitner as an Austrian billionaire and Chief Executive Officer of Vienna-listed engineering company Andritz AG. Andritz's Website describes it as a global supplier of plant, equipment and services for hydropower stations, the pulp and paper industry, the metalworking and steel industries, and for solid/liquid separation in the municipal and industrial sectors as well as for animal feed and biomass pelleting.
Back to TopMalaysian Tiong Family Gets Rubber Stamp For Neil Homes
The Neil Group Ltd (Malaysia 80%; Singapore 20%) has been granted a standing consent (Increased Housing and Non-Residential Use tests) under s.12(a) and s.23A of the Act to acquire residential (but not otherwise sensitive) land. This Standing Consent for a maximum of ten transactions by 1 September 2022 will permit Neil Group to acquire up to a total of 400 ha.
The OIO states that the Neil Group is a well-established national property developer, which acquires residential land to develop into completed lots in residential subdivisions, and for construction of residential dwellings. The OIO is satisfied that Neil Group has demonstrated that residential land acquired under this standing consent is likely to be used for an increase in the number of residential dwellings. This standing consent has been granted in accordance with the Increased Housing and Non-Residential Use tests in Schedule 2 of the Act.
Neil Homes began in the 1960s as a constructor of standard plan residential houses. The Neil Group is now owned by the Tiong Family of Malaysia who bought NZ Crown forests (Ernslaw One), King Salmon and other interests, with Neil as their local construction arm using timber. The Tiong family is now the second largest landowner in NZ, with 77,686 hectares of forestry ( RNZ, 17/10/19).
The family's fortunes began in 1975 with a logging corporation Rimbunan Hijau, controversial for the destruction of tropical forests, which now has operations in Indonesia, Papua New Guinea, Equatorial Guinea, Gabon, Vanuatu, and Russia as well as New Zealand and Malaysia. Its Media Chinese International Ltd is a holding company for Chinese language media in Malaysia, Hong Kong, USA, Canada, and the family is prominent in Sarawak politics ( Wikipedia).
Neil Construction Ltd (Malaysia 80%; Singapore 20%) has consent to acquire approximately 2.7168 ha. located at 455 Whangaparaoa Road, Stanmore Bay, Whangaparaoa, Auckland, from Penelope Anne Fraser and Deanne Carol Taylor (NZ 100%) for $6,100,000. The OIO states that this consent is granted under the increased housing test in Schedule.2 (11) of the Act.
Neil Construction is part of Neil Group, a well-established national property developer. Neil Group acquires residential land to develop into completed lots in residential subdivisions, and for construction of residential dwellings. The land is residential, but not otherwise sensitive, and will be subdivided into a minimum of 25 new residential sections. As this is dated later in the month than Neil Homes' rubber stamp, can we presume it is one of the ten? See other consents in May 2003.
Back to TopUniversal Homes Buys Housing NZ Land In Northcote For Redevelopment
Universal Homes Ltd (China 100%) has consent to acquire 0.3709 ha. at 81-85 Tonar Street, and 43 Cadness Street, Northcote, Auckland from HLC (2017) Ltd as agent for Housing NZ Ltd (NZ 100%) for $4,079,910. The OIO states that Universal Homes is an NZ registered property developer, in the market since 1959.
Its development of this land is part of the Northcote Development project to replace old Housing NZ houses with warm modern homes. Three dwellings previously on the land have been removed. Universal Homes proposes to construct 24 new residential dwellings. The OIO considers the investment is likely to meet the increased housing requirement, the on-sale requirement, and the restrictions on non-NZ-resident owners in regard to residential housing.
From 1996 Universal Homes was registered in Singapore, with then about 27% Chinese shareholding. Its registered ultimate owner is now China Merchants Group, Beijing, a Chinese State-owned conglomerate (think Belt & Road Initiative). See other Universal Homes consents for land in March and July 1996, April and October 1997, June and November 1999, June, September and October 2002, May 2003, February and June 2004, December 2017, January and October 2019.
Back to TopCoxco Farming Can Lease Residential Accommodation For Seasonal Workers
Coxco Farming & Horticulture Ltd (Netherlands 40%; UK 30.8%; Switzerland 12%; New Zealand 9.19%; Germany 6%; Singapore 0.9%; Hong Kong 0.8%; Australia 0.2%) has consent to acquire a leasehold interest in 0.6070 ha. at 720 Matawai Road and 645 Tucker Road, Gisborne until 7 April 2055, from Andrew James Teesdale (NZ 100%) for $300,000.
The OIO states that Coxco is a horticulture and labour solutions business based in Gisborne, registered in NZ since 1996. The lease is of the land and the two and three-bedroom dwellings on it. Coxco is acquiring the lease to provide worker accommodation, primarily for seasonal workers it hires under the Recognised Seasonal Employer Scheme.
The OIO considers this is likely to meet the incidental residential use test as used for residential purposes only in support of, and in the ordinary course of Coxco's business, which is not in the business of using land for residential purposes. This is an interesting approach, in that a couple of recent forest purchasers have elected to remove a house on their land to comply with the new prohibition on overseas ownership of residential housing - reducing our rural housing stock.
Three NZ Payments Systems Change Private Equity Owners
AI Sky UK Bidco Ltd (Advent International GPE IX funds and Advent Global Technology Funds, managed by Advent International Corporation) has consent to acquire 100% of the shares in Transaction Services Group Ltd, from Bolton Equities Ltd (Calera XVIII, LP, Calera Capital Partners V SBS (Cayman) AIV, LP, Calera Capital Partners V (Cayman) AIV I, LP, Management Sellers (NZ Public 50.8%; USA Public 48.3%; various overseas 0.8%) for $192,108,000.
The OIO states that AI Sky UK Bidco is a special purpose holding company ultimately owned and controlled by funds managed by Advent International Corporation, a Boston-based global private equity firm. Transaction Services and its subsidiaries provide customised business management software solutions, and integrated payments and services across a range of sectors. It has three NZ subsidiaries: DebitSuccess Ltd, Paysmart NZ Ltd, and Clubware Ltd.
Advent International Corp has prior experience investing in sectors including payment services, business management software, resource planning software and digital identity solutions, and has identified Transaction Services Group as an attractive commercial opportunity. The OIO is satisfied that the individuals who will control the investment have the relevant business experience and acumen, and are of good character, and demonstrated financial commitment to the investment.
DebitSuccess provides payment and credit control services that allow its 3,000+ customers to offer their customers payments over time rather than a one-off charge. It takes a small clip of the ticket on a turnover of $1 billion in 2013. It began in Auckland in 1994, expanding into Australia and Asia Pacific (Stuff, 30/6/13).
It was owned by companies associated with Murray Bolton, also an investor in the Auckland Blues rugby franchise. Paysmart is NZ's largest eftpos provider, and one of Australia's largest and longest-standing direct debit billing companies. Clubware is an industry-specific gym fee software system. Transaction Services Group, based in Auckland, has over 10,000 clients, serving more than five million customers in 13 countries across Australasia, the UK, the US, Europe and Asia.
Advent International's Website says it focuses on financial service providers and business-to-business players that tend to have technology at their core. Wikipedia describes it as a US private equity firm focused on buyouts of companies, growth and strategic restructuring. It operates from 12 countries with affiliates in others. Since 1984, it has invested $US40 billion of private equity capital and, through its buyout programmes, completed more than 335 transactions, like this one, in 41 countries. So, this is who now "clips" your automatic gym and other direct debit payments.
Back to TopGoodman Industrial Development In Mangere
Goodman Nominee (NZ) Ltd (NZ 65.6%; Australia 26.3%; US 5.6%; various 2.5%) has consent to acquire approximately seven ha. at 42-70 Favona Road, Auckland, from Favona Road LP (NZ 100%) for $29 million. The OIO states that Goodman Nominee is ultimately owned by Goodman Property Trust, an NZX-listed property trust that owns, develops and leases property, specialising in developing industrial estates.
Goodman intends to develop a high-quality industrial estate comprising industrial warehouses, each with its own office, canopy and yard areas and on-site parking. The development is expected to create over 30,000m2 of rentable industrial space. The benefits to New Zealand include creation of new jobs in construction, added market competition with the creation of the industrial estate, NZ ownership and participation in Goodman Property Trust, and previous investments in predominantly industrial developments.
Goodman's media release says the site and buildings are currently mainly leased to T&G Global, the Apollo apple people, and has potential for 30,000m2 of new warehouse space, close to SH20, CBD, port and airport (3/12/19).
Back to TopEnviroWaste Buys Pokeno Quarry Land For Recycling Centre
EnviroWaste Services Ltd (Hong Kong Public 70.8%; Victor Li Tzar Kuoi, Hong Kong SAR 10.9%; Li Ka-Shing, Hong Kong 10.8%; various 7.5) has consent to acquire approximately 275.4 ha. at 587 Ridge Road and Beaver Road, Pokeno, from Holcim (NZ) Ltd (Swiss Public 23%; various overseas 21%; Capital Group Ltd, USA 21%; Thomas Schmidheiny, Switzerland 18%; US Public 10%; Eurocement Holding AG, Switzerland 7%) for $25 million.
The OIO states that EnviroWaste is a nationally integrated waste management business which offers waste-related services to industry, councils and the public via collection services, one long-life landfill and transfer stations throughout NZ. The land has been used as a quarry and cleanfill business; however, the quarry pits are now retired. EnviroWaste intends to remediate the quarry and operate a cleanfill and recycling operation. The stated benefits to NZ include:
- at least 12 new fulltime equivalent job opportunities;
- advancement of NZ's Waste Strategy by development of an Infrastructure Disposal and Recovery Park, Dewatering Facility and Vermiculture Operation;
- public walking access over part of the land;
- preservation of indigenous flora and fauna through pest control and trapping to protect native wildlife, planting riparian areas in indigenous vegetation, fencing, a weed control plan and removal of exotic plants species using a sustainable logging plan;
- enhancing Auckland's cleanfill capacity; and
- solar panels and a lithium ion battery bank to power activities on the land.
On 2/12/19 EnviroWaste and Hamilton City Council announced a different recycling centre at Te Rapa, Hamilton, just down the road (www.stuff.co.nz/waikato-times/news/117867923/envirowaste-building-new-10m-waste-processing-facility-in-hamilton). EnviroWaste, along with Chinese government-owned Waste Management, dominates NZ rubbish collection and landfill services, contracted out by local governments.
See commentary of April 2003 when EnviroWaste's then Australian private equity owners sold it to Cheung Kong Infrastructure, whose ultimate owner was Hongkong billionaire Li Ka-shing, 30th richest person in the world according to Wikipedia. The NZ Companies Register currently lists EnviroWaste's ultimate owner as CK Hutchison Holdings Ltd, registered in the Cayman Islands tax haven but, Wikipedia says, still based in Hong Kong. CK Hutchison is a 2015 merger of Cheung Kong Holdings and its main associate company Hutchison Whampoa. Same rubbish, same billionaires, different money route.
Back to TopMalaysian Conglomerate Sime Darby Berhad Buys Up Gough Heavy Machinery
Sime Darby Berhad (Malaysia 82.4%; various 15.6%; Singapore 2%) has consent to acquire 100% of the shares in Gough Group Ltd (NZ 100%) for $211,000,000 (subject to adjustment in accordance with a share sale agreement). The OIO states that Sime Darby Berhad is a company with global interests that operates across the Asia-Pacific region, its core business being industrial equipment, motors, logistics, healthcare, insurance, and retail.
Gough Group Ltd and its subsidiaries supply heavy machinery and provide transport, materials-handling and related services to the infrastructure, mining, forestry, transport, and power systems industries in New Zealand and Australia. Sime Darby Berhad has satisfied the OIO that the individuals who will control the investment have the relevant business experience and acumen and are of good character, and has demonstrated financial commitment to the investment. Central to this deal is Gough's 50-year old NZ dealership for Caterpillar, as well as distribution of other global brands such as SAF, Palfinger and WABCO in NZ and Australia.
Sime Darby Motors' Chief Executive Officer says Gough's transport and material handling portfolio will complement its commercial truck business, and give it exposure to NZ's construction and forestry sectors (MarketScreener 13/8/19, ). Gough employs around 950 people in 50+ locations in NZ and Australia. Sime Darby Motors has been in NZ for some time; see April 1998 for its OIO consent to buy Continental Car Services, Auckland.
Wikipedia describes Sime Darby Berhad as a trading conglomerate resulting from a 2007 merger of three companies originally founded by British businessmen: Sime and Darby (est.1910, Malaysia) began as a rubber, then palm oil and cocoa business; Guthrie (established 1821, Singapore) was the first British trading company in South East Asia, introducing rubber then palm oil to Malaysia (KLSX- listed from 1989); and Golden Hope (established1905), a tea and coffee company, then rubber and other tropical agriculture, in which the Government-linked Pemodalan Nasional Berhad took a majority share in 1990.
2011 the three largest shareholders of Sime Darby Berhad were Government-linked entities. In November 2017, Sime Darby Berhad hived off and separately listed Sime Darby Plantation Berhad and Sime Darby Property Berhad. Industrial and motor divisions are the main revenue generators for Sime Darby Berhad, which has 20,000 employees and a net income in 2018 of around $NZ251.5 million.
Back to TopRetrospective Consent For Zhang Zhou Family, Karaka
Zhang Zhou Trustees Ltd as Trustee for the Zhang Zhou Family Trust (Jiankang Zhang, China 50%; Jianming Zhou, NZ 50%) has consent to acquire 4.6257 ha. at 45A Arana Drive, Karaka, South Auckland, from Van Tiel Poultry Ltd (Maureen Ann van Tiel, NZ 50%, Robert John van Tiel, NZ 50%) for $4,080,000.
The OIO states that this is a retrospective consent. Zhang Zhou Trustees acquired the land in 2014. The property came to the attention of the OIO when ZZTL contracted to sell the land to another overseas person, resulting in an application for OIO consent although that sale did not proceed. The OIO investigated and confirmed that ZZTL had acquired the land without consent.
All the individuals with control of ZZTL had residency in New Zealand; only one was not yet ordinarily resident in New Zealand at that date. The OIO is satisfied that all intend to reside in New Zealand indefinitely. Overseas persons intending to reside in New Zealand indefinitely are not required to show that their investment in sensitive land is likely to benefit New Zealand.
Back to TopMinisters Decline US Consent For Hawkes Bay Luxury Lodge
The Minister for Land Information and the Associate Minister of Finance have declined consent for a NZ Limited Partnership owned by an unnamed American couple to acquire sensitive land at an undisclosed location in Hawkes Bay from an undisclosed vendor for an undisclosed price. The OIO states that the American couple, with interests in the American wine industry, intended to continuing operating the luxury lodge, under the existing lodge manager with an increased number of staff. Their plans to extend the lodge would increase export revenue and competition in the luxury lodge industry. The Ministers' overall assessment was that the transaction was likely to benefit New Zealand but that benefit was not "substantial and identifiable" in the context of approximately 30 ha. of land.
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Campaign Against Foreign Control of Aotearoa,
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