| Decision | Consent declined Section 12(1)(a) Overseas Investment Act 2005 |
|---|---|
| Decision maker | The Minister for Land Information and the Associate Minister of Finance |
| Decision date | 9 October 2023 |
| Pathway(s) | Sensitive land – Benefit test |
| Investment | Acquisition of a freehold interest in approximately 1100 hectares of Land in Hawke’s Bay. |
| Consideration | Withheld under s 9(2)(b)(ii) of the Official Information Act 1982 |
| Applicant | Salm-Salm Timber Luxembourg S.à.r.l. Germany 88% Luxembourg 12% |
| Vendor | Withheld under s 9(2)(a) of the Official Information Act 1982 New Zealand 100% |
| Background | The Applicant is a forestry investor ultimately owned by German investment fund, Salm Global Timber GmBH. The Land is currently used for sheep and beef farming and includes a small area of forestry. The Land is easy rolling hill country containing approximately 15% LUC 4 land, 62% LUC 6 land, and 23% LUC 7 land. The Applicant intended to convert the Land to production forestry by planting approximately 622 hectares of radiate pine trees. The Applicant claimed the investment would benefit New Zealand through reduction in carbon emissions, increased job opportunities, increased export receipts, advancing significant government policy, protection of environmental features including waterways, and increased public access. Consent was declined as Ministers were ultimately not satisfied that the likely benefit was proportionate to the sensitivity of the land and the nature of the overseas investment. |
| More information | Catherine Reid, Barrister catherine@catherinereid.co.nz |
See the attached Assessment report linked below, which was published in response to an Official Information Act request: