DecisionConsent granted
Section 12(a) Overseas Investment Act 2005
Decision Date14 September 2016
InvestmentAn overseas investment in sensitive land, being the Applicant’s acquisition of a freehold interest in approximately 143.4358 hectares of land at Duffy Lane, Patearoa, Central Otago.
Consideration$1,300,000
ApplicantDF1 Limited and DF3 Limited (as partners in the partnership known as the Dairy Farms Partnership)
President and Fellows of Harvard College, United States of America (100%)
VendorMcSkimming Farm Limited
Robert Alexander Roy, Philip Anthony Tonkin, and Elizabeth Anne McSkimming as trustees of the Sam and Elizabeth McSkimming Family Trust, New Zealand (97.5%)
Elizabeth Anne McSkimming, New Zealand (1.25%)
Sam Hector McSkimming, New Zealand (1.25%)
Background

The Applicant currently leases the land from the Vendor to support the Applicant’s dairy cattle farm operations on its neighbouring farms.

The Applicant intends to acquire the freehold interest in the land to continue to operate it as supporting land for its neighbouring dairy cattle farm properties and to develop a water storage reservoir on the land resulting in greater productivity from increased water availability for the Applicant’s neighbouring farms.

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)(i) – Creation of Jobs
17(2)(a)(iv) – Greater productivity
17(2)(a)(v) – Additional investment for development purposes
17(2)(f) – Offer to gift riverbed to the Crown

Overseas Investment Regulations 2005
28(e) – Previous investments
28(g) – Enhance the viability of other investments

More informationPavanie Edirisuriya
DLA Piper
PO Box 160
AUCKLAND