Rich-lister snaps up Kinloch course

John Sax says the Kinloch golf course provides some big opportunities. Photo / Supplied

Multi-millionaire Auckland investor John Sax yesterday revealed he had swooped on the troubled Kinloch golf course west of Taupo, where he will develop a new tourist lodge and a luxury housing estate.

Sax, who two years ago picked up Orewa's partially developed $500 million Kensington Park from Patrick Fontein's Kensington Properties, said the golf course presented big opportunities.

That follows years of trouble after Hanover loaned $24 million on Kinloch and then Allied Farmers, which bought the Hanover and United loan books, ran into difficulties recovering money from many assets.

Sax, executive director of Southpark Corporation, said he bought the land and golf course from the Van Den Brink poultry farming family who loaned money on it ahead of Hanover.

Sax said the downturn offered good buying but the deal was subject to confidentiality arrangements.

"It sounds a bit mercenary but this market gives us very good opportunities," he said in 2009 when he bought Kensington Park for what some industry insiders said was as little as $30 million.

Sax also owns Treetops Lodge and Wilderness Park near Rotorua and said the Taupo property offered an opportunity to create a unique lodge and estate in one of the country's most scenic areas.

"We have commenced an architectural design competition with a number of New Zealand's leading architects to create a contemporary lodge that will offer guests a world-class resort experience," he said.

He has bought 69 residential sections on the slopes above the golf course.

"Planning will commence on the design and marketing of these residential lots and their release will be timed around the completion of the lodge," he said.

Richard de Haast, Southpark's chief executive, said he would be working closely with the Taupo District Council on the development and he praised the authority for its attitude.

Sax founded Southpark 25 years ago and it has redeveloped former smokestack industries within Auckland such as Southdown Freezing Works, Hellaby Works, Shortland Works, Taniwha Works, Pikes Point and Roscommon Quarries.

Sax is also the founder and chairman of the For the Sake of Our Children Trust.

Sax appeared on today's NBR Rich List at $85 million, up from last year's $75 million. There, he called for New Zealand to reform its welfare sector so that we "pay people into employment and into wellness" and said there should be no such thing as an unemployed school leaver.

Relaxing employment laws would benefit the unemployed, youth and small businesses with limited capital reserves, he believes.