|Date||13 June 2006|
|Offeror/applicant||Longstreth (Michael William and Patricia Ann) of United States of America|
|Ultimate applicant beneficial ownership||100 percent - United States of America|
|Beneficial overseas ownership|
|- Asset current||0 percent|
|- Asset proposed||100 percent|
|- Share current||N/A|
|- Share proposed||N/A|
|Offeree(s)/seller(s)||Smith (Glen Bruce and Susan Mary) of New Zealand|
|Business activities||Agriculture - Horticulture & Fruit - Viticulture|
Agriculture - Horticulture & Fruit - Floriculture/Nursery
|Details of land involved||7.2534 hectares of freehold situated at 211 Rochfort Road, RD14, Havelock North being CT HBV2/150 (Hawkes Bay Registry).|
|Regions involved||Gisborne/Hawkes Bay|
|Consent sought||To acquire 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.|
The application for consent has been refused as it was not considered to be in the national interest.
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 Applicants propose to acquire the subject property and expand the current area of the land planted in grape vines and lavender. The existing vineyard comprises 0.5 hectares, planted 5-6 years ago, containing Merlot, Cabernet Sauvignon, and Sangiovasi vines which are either blended for processing by the vendor or sold to other wine makers. The Applicants propose to initially double the current production of the property by increasing the planted area of the vineyard from 0.5 hectares to 1 hectare and the lavender grove from 0.75 hectares to 1.5 hectares and in the medium term increase the production by more than double by utilising any other area of land that could be economically planted in grapes.
The Overseas Investment Office is not satisfied that the proposed benefits resulting from the proposed investment are likely to be substantial and identifiable.
PO Box 148