Developers face costly ultimatum

Settlement dates have been missed for more than $30 million worth of prime Waikato farmland being pitched to New Zealand and overseas investors.

The developers behind the lifestyle subdivision projects face notices to pay up or walk away from million-dollar deposits.

Hamilton couple Murray and Margaret Hardy, who set up the national franchise Hardy's Healthy Living, are behind the Bridgefield Quality Farms developments, which have been advertised on television offering a free Mercedes with every lifestyle block purchased.

The couple are also the owners of the $12 million Matakauri Lodge in Queenstown, with a sale deal before the Overseas Investment Office, as American billionaire Julian Robertson and his wife Josie attempt to buy it.

The Waikato Times understands the Hardys started working on the Bridgefield development in October last year, signing up three farms with settlement dates of June 30, 2009.

The three farms, Strathmore at Ngahinapouri, and Meadowbank and Chandon at Matamata, make up some of the Waikato's premium farmland. The deals have gone over their settlement dates, the owners selling off stock and finishing with sharemilkers, believing their farms were sold.

When contacted by the Waikato Times Mr Hardy said: "Everything is hugely confidential. If I talk about this now then the other parties could sue me or you.

"This is no different to any other commercial transaction. There is big sums involved," he said.

"When we have settled on these, and as I have said to you, I will contact you [the Times] and discuss with you what our plans are for Bridgefield."

Despite having yet to settle on farms advertised as part of Bridgefield, the Times understands Mr Hardy is negotiating on at least three other farms with settlement dates for October.

When asked if and how he intended to settle on the Bridgefield properties and the others totalling nearly $60 million, he said: "It's tall poppy syndrome, I wouldn't be buying them otherwise."

The Times understands in the case of Strathmore the owners have withdrawn the contract and are considering legal action. Property records show Bridgefield Ltd has registered a caveat against the title.

Sources say the Finlayson family moved from their Ngahinepouri farm into a motel for three weeks to give the Hardys possession, issuing a 12-day notice to settle. It is understood the Finlaysons, who have been farming the Livingstone Rd property since 1915, have sold their cows.

It is understood the Hardys were served last week with a 12-day notice to settle on the Meadowbank purchase as well.

Sources have told the Waikato Times that vendors in that case, Robin and Gordon Burr, had already extended the settlement date by one month and let their sharemilker go.

Neither the Finlayson nor the Burr families would comment.

Although the Hardys have yet to settle on the farms being advertised as part of Bridgefield, they have signed further sale and purchase agreements for up to another three farms, worth a further $30 million, due for settlement in October.

In at least two cases it is understood the GST on the total purchase price of the properties has been claimed despite the properties not having settled.

- © Fairfax NZ News