DecisionConsent granted retrospectively
Section 12(a) Overseas Investment Act 2005
Decision date3 September 2014
Investment

An overseas investment in sensitive land, being the Applicant's acquisition of:

  • a leasehold interest in approximately 12 hectares of land at Puketutu Island, 600 Island Rd, Mangere, Auckland; and
  • a leasehold interest in approximately 7.1067 hectares of land at Metro Place, Bromley, Christchurch.
Consideration$60,637,984
ApplicantLiving Earth Limited
New Zealand Public (42.0141%)
Australian Public (39.1827%)
North American Public (9.835%)
United Kingdom Public (5.456%)
Various overseas persons (3.5123%)
Lessor of land at Puketutu IslandTe Motu a Hiaroa Charitable Trust
New Zealand (100%)
Lessor of land at Metro PlaceChristchurch City Council
New Zealand (100%)
Background

Living Earth Limited is a greenwaste and foodwaste processing and composting company. It acquired a leasehold interest in land at Puketutu Island and built a composting facility at a cost of approximately $4.2 million.

The Applicant also acquired a leasehold interest in land at Metro Place, Bromley, Christchurch, as a result of a tender by the Christchurch City Council to design, procure the building of, and operate an organics processing plant.

The Applicant annually receives approximately 100,000 tonnes of greenwaste and foodwaste, which is processed and converted into high quality compost and other gardening mix products.

The overseas investment transaction has satisfied the criteria in section 16 of the Overseas Investment Act 2005. The 'substantial and identifiable benefit to New Zealand' criteria were satisfied by particular reference to the following factors:

Overseas Investment Act 2005
17(2)(a)(iv) – Added efficiency or productivity

Overseas Investment Regulations 2005
28(a) – Consequential Benefits
28(j) – Oversight and participation by New Zealanders

More informationJohn Brown
Brown Partners Lawyers
PO Box 1496
Shortland Street
Auckland 1140
Retrospective penalty$7,000