More red zoners accept government shilling
More than 6000 of 7860 red-zoned Christchurch homeowners owners have signed agreements to sell their properties to the Crown.
The government offer is based on 2007 rateable values.
Homeowners have a choice of accepting the rateable value for the land and house. Or they may choose only the land value from the government and negotiate with private insurers over the house value.
But in numerous cases, insurers have reassessed houses and classified them as repairs rather than rebuilds after they have been red zoned, meaning a smaller payout.
Earthquake Recovery Minister Gerry Brownlee says in a statement the acceptance rate is an endorsement of the government offer.
Of the 6090 property owners who have received an offer, 4775 have settled their sale with the Crown at a cost of approximately $947 million.
Of the 7860 residential red-zone properties – including bare, uninsured and commercial land – 7244 owners have submitted consent forms, enabling the Crown to make an offer to purchase their properties.
Around 50 offers are being accepted each week.
A minority of red zoners are challenging their zoning, many of them on the Port Hills.
A review of some of them is under way to determine “areas where life risk is assessed as above or below acceptable levels”, the Earthquake Recovery Authority says.
Many red-zone residents are still in their homes but neighbourhoods are looking increasingly bare as more demolitions take place.