Wrecked farms get a $23 million makeover
When state farmer Landcorp took over the dilapidated ex-Crafar farms in the North Island four years ago, it had little idea of the challenges lying ahead.
In a statement, the company says it is considering its options.
Shanghai Pengxin, which bought the Crafar Farms, two years ago, says the improvements it made to existing assets are well known.
“Pengxin has spent more than $18 million, since settlement, to improve the productivity and environment of the former Crafar farms to new historical levels. “
The application to buy Lochinver Station has been declined because the benefits to New Zealand are not substantial and identifiable, Ministers Paula Bennett and Louise Upston say.
Pure 100 Farm Ltd, a subsidiary of China-based Shanghai Pengxin, applied to the Overseas Investment Office (OIO) last year to buy the 13,800ha farm near Taupo for NZ$88 million.
“While we recognise and support the importance of overseas investment, the Overseas Investment Act states it is a privilege for overseas people to own sensitive New Zealand assets and therefore requires such investments to meet statutory criteria for consent,” says Bennett.
