The Todd Property Group has bought the financially troubled Pegasus town development for an undisclosed sum.
The development, 25km north of Christchurch, was placed into receivership last August.
In a statement this afternoon, the Todd Property Group confirmed the transaction.
Managing director Evan Davies said the group expected strong demand for new homes in Pegasus.
The land was unaffected by the recent earthquakes, and requirement for housing in the region was high with people looking to move in from red-zoned homes and other areas around Christchurch, he said.
The development stretches to Pegasus Bay and, when completed, will house 5000-7000 people in about 1700 dwellings.
More than 600 people already live there in 420 houses either completed, under construction or in the consenting phase.
The town is built around a 14-hectare lake and adjoins the 18-hole Pegasus Golf and Sports Club.
It includes 100 hectares of wetlands crossed by boardwalks, trails and waterways.
The acquisition is Todd Property Group's only current land holding in the South Island.
- The Press