BREAKING NEWS
Kayaker Scott Donaldson has abandoned his trans-Tasman crossing attempt ... Read more
Close

Property values rebound boosts coffers

ALAN WOOD
Last updated 05:00 27/09/2012

Relevant offers

Industries

Reins on cowboy builders to be tightened Truckometer traffic index suggests NZ growth peaking Referral bypass worries specialists Peters lets off salvo at sale of properties Chch jobs to go in Virgin Australia move Skyline to pay 'prudent' dividend $1 billion worth of NZ property sold Labour would axe earthquake authority Building gives momentum to Auckland Kiwi fails to deter manufacturing

Ngai Tahu Holdings Corp, bolstered by a record bottom-line result of almost $100 million, is looking for agriculture and Christchurch rebuild investment opportunities.

NTHC, responsible for investments for the South Island iwi Ngai Tahu, achieved a record bottom-line profit of $95.66 million for the year to June 30 boosted by $40.4m of one-off gains.

It was well up from $15.9m in the June 2011 year, hit by lower property revaluations resulting from earthquake damage. The 2012 result has been helped by a rebound in property values and as the company pilots a series of three dairy farms on what was forestry land.

Chairman Trevor Burt said the result reflected strong performances from the NTHC subsidiaries, which include property, seafood, tourism and capital.

The revaluation of the dairy properties had helped substantially, as had the profit on the sale of Ryman Healthcare shares for $27m.

Ngai Tahu's revenues for 2012 grew to $209.4m, up from $162.6m in 2011.

Stripping out one-off gains, the four subsidiaries reported a record operating surplus of $55.1m up from $37.28m in 2011.

A total of $26.26m of the company's profit was distributed to the iwi. This included grants of $240,000 to each of the tribe's 18 runanga in the South Island.

Outgoing chief executive Greg Campbell said that during the year the company invested $100m in what it saw as potential high-performance opportunities. This included $19m in investment property including three dairy conversions near Eyrewell. which now carried 3100 cows with the intention to grow the total herd to 4125 in the next 12 months.

Total investment in the project was $30m with milk to be supplied to Fonterra's new Darfield plant. The company had a total of 7000 hectares of land, mainly in North Canterbury, that could be converted to dairy or arable farming.

In terms of investment in the Christchurch rebuild NTHC was looking to a possible return to the city centre, with potential sites including one near the Durham St court buildings. NTHC would probably get involved in private-public-partnerships around the rebuild, but it was still early days.

The future of the central police station was still in the hands of a decision by insurers, Campbell said.

The company would like to be involved in the building of a blueprint-based justice and emergency services precinct, Burt added.

"It's a great plan, it has a good blueprint and a vision to it but it will take a long time before we actually see something."

Campbell said Ngai Tahu Property had invested $39m in property developments including its Christchurch subdivisions at Wigram Skies, Lincoln and at the Prestons Road joint venture on the east side of Christchurch.

Ad Feedback

More than 300 sections had been sold at the 1700-section Wigram development, and 85 of the 800-900 sections at Lincoln, Campbell said.

Ngai Tahu Tourism had also invested $22m in the Rotorua-based Agrodome.

- BusinessDay.co.nz

Special offers

Featured Promotions

Sponsored Content