Overseas investment decision for case 200620044 - CDL Land New Zealand Limited

1. an interest in land which, either alone or together with any associated land of that type, is or includes non-urban land and exceeds 5 hectares in area; and
2. an interest in land which, either alone or together with any associated land, exceeds 0.4 hectares and adjoins land that is listed, or in a class listed, as a reserve, a public park, or other sensitive area by the regulator under section 37.

The application has been approved as it met the criteria.

The Overseas Investment Office is satisfied that the individuals with control of the Applicant collectively have business experience and acumen relevant to the overseas investment, and that the Applicant has demonstrated financial commitment towards the overseas investment. The Overseas Investment Office is further satisfied that each individual that exercises control over the Applicant is of good character and is not an individual of the kind referred to in section 7(1) of the Immigration Act 1987.

The Applicant's core business is the acquisition of land for residential subdivision and development. The proposed acquisition will further strengthen and grow the Applicant's land bank and development portfolio. The subject property which is currently used by the vendors for grazing cattle and cropping is situated near land undergoing residential development. It is proposed that the land will be subdivided into 145 residential sections to be made available for sale to the open market. The subdivision development is likely to commence in 2010/2011.

The proposal is likely to result in the following benefits:

1. the creation of employment opportunities; and
2. the introduction of additional investment for development purposes.