A local buyer has bought the remainder of the Queenstown development known as Five Mile from Allied Farmers in a conditional deal worth more than $23.2 million.The large section of land was to be developed into a mixed-use upmarket town centre project by
A local buyer has bought the remainder of the Queenstown development known as Five Mile from Allied Farmers in a conditional deal worth more than $23.2 million.
The large section of land was to be developed into a mixed-use upmarket town centre project by Christchurch-based David Henderson but its owner went into receivership when it defaulted on repayment to Hanover, which had security over it.
Late last year Auckland developer Anthony Gapes bought a 7.7ha part of the site for more than $11 million with supermarket chain Progressive Enterprises from Hanover, before Allied Farmers acquired Hanover’s loan book.
The 23.4ha of vacant land was worth about $1 million a hectare when it was valued in the period ending December 31 and Allied Farmers said its sale was above that value.
Allied Farmers managing director Rob Alloway wouldn’t say who bought it because it was still conditional. Nor would he say how much it went for.
“All I can say is it does not require Overseas Investment Office approval and the carrying value at our last valuation was $23.2 million,” Mr Alloway said.
Negotiations to sell the site had been under way for some time with a number of interested parties.
"We always knew this site had strong strategic value, and the sale price achieved, which is in excess of the value attributed to the property in the half year accounts, reflects that,” Mr Alloway said.
"Whilst conditional, we are pleased with the timing of this sale, as it is near our financial year end and coincides with the negotiation of our banking arrangements for the next financial year.”
