Latest round of overseas investment

Overseas businesses are increasing their investment in property, retail, car parts, wine-making, cement, the horse business and small-scale air transport.

In decisions made by the Overseas Investment Office in November and just publicly released, Lend Lease Group entities (77% owned by the Australian public) was given permission acquire 3.36 ha of land in Tawa, Wellington.

Effectively a transfer of assets from Lend Lease Investments to other Lend Lease entities, the $197 million consideration allows Lend Lease to continue its involvement in four shopping centres – Dress Smart Tawa, Median Mall, Dress Smart Hornby and Dress Smart Onehunga.

The OIO says the acquisition will allow Lend Lease to “maximise returns and provide greater access to capital in order to better operate and develop” the assets.

It says benefits to New Zealand include added market competition and productivity.

Foreign-owned parts change hands
United States company Genuine Parts was given approval to acquire Dutch and Australian-owned Exego Group – giving it a significant stake in what was described as New Zealand’s leading automotive aftermarket parts distributor.

With an asset value of $183 million, Genuine Parts can acquire an initial 30% of Exego and exercise a call option on the 70% balance.

Otago vineyard’s new owners
Vela Wines – owned equally by Arie Dahan, of France, and Maksim Risman, of the US – has approval to buy 36ha at Locharburn, on the Luggate-Cromwell highway in Central Otago from US citizen Stephen Herbert Sawatske.

The $1.625 million deal - which involves creation and retention of jobs, increased export receipts and satisfies government economic policy - enables Vela Wines to make its own premium pinot noir for export to North America, Europe and Asia.

Horsey couple’s stud plan
In a $1.1 million consideration, British couple Malcolm (an ex-farrier) and Lisa (an ex-jumps jockey) Beck, intending to settle in New Zealand, were granted consent to buy 6ha of land at Mangaroa Rd, Hastings, for a new equestrian venture, Golden Oaks Stud.

Previously Terry Coffey’s Paki Paki Lodge, Golden Oaks Stud has already established purpose built crush and horse box facilities in conjunction with Vet Services (HB).

Golden Oaks Stud has agistment services, full training and lessons and stands two sport horse stallions.

Boost for progressive Timaru
In a move expected to boost provincial South Island economy, cement company Holcim was given approval to lease 2.2 ha of land at the port of Timaru as part of its potential development of a new cement plant at Weston, near Oamaru.

Holcim, owned by Swiss and United States interests, did the deal – the value of which was kept confidential - with PrimePort Timaru, owned by Timaru district council and Port Industry Holdings.

Holcim’s lease investment in the port includes wharf and associated storage facility development, described as a critical part of the company’s Weston development, and will result in job creation and retention, added market competition and productivity, and increased processing of primary products.

Waiheke airfield to take off
On Waiheke Island, British businessman Neil Greer was given approval to buy Waiheke’s only commercial and private – and sometimes locally controversial - airfield for a consideration of $2.643 million from long-time owner Denis Musson.

The 8.9 ha airfield land is used by emergency services to service the greater Hauraki Gulf and also provides recreational tourism facilities.

According to the OIO, Mr Greer plans to seal the runway and build hangars, 26 visitor units and other airfield facilities.