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Media Release

27 July 2012

Leasehold land sell down brings in $27.4 million

Hawke’s Bay Regional Council is pleased with the number of Napier property owners who have taken up substantial discounts to freehold their leasehold sections.

During the last 12 months HBRC has been offering discounts of 10 and 17.5% to Napier leaseholders wanting to freehold their properties, with extra assistance offered to cross lessees.

The aim is for HBRC to sell down the leasehold land portfolio, with plans to reinvest the money in regional infrastructure projects that will deliver long-term economic and environmental benefits to the entire region, such as the Port of Napier and potential water storage projects.

Leaseholders had until 30 June 2012 to begin the freeholding process. When all the settlements under the discount option are completed it is estimated 378 lessees on 285 properties would have freeholded their land under the discount scheme, netting a total of $27.4 million dollars. The total includes 231 single lessees and 147 cross-lessees.

Hawke’s Bay Regional Council Chairman Fenton Wilson says this is an outstanding result for both HBRC and the 378 lessees who will soon own freehold properties.

“It has been great to be able to give residents the opportunity to freehold their properties,” says Councillor Wilson.

“The total equates to around 40% of HBRC’s leasehold land portfolio, freeing up that capital for regional infrastructure projects that will benefit the whole region.”

If anyone has questions about Napier Leasehold Land they can contact their Regional Councillors for the Napier constituency - Cr Neil Kirton, Cr Christine Scott and Cr Alan Dick.

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