Release document, says court

OPPONENT: Wally Yovich, a Whangarei businessman, is among a group taking the Whangarei District Council to court over deciding to change planning rules to allow a big-box development at Okara. PHOTO/FILE

A court has ordered the Whangarei District Council to provide a businessman with a copy of the sale and purchase agreement for vacant land earmarked for commercial development.

The council has received an offer, believed to be of $10.5 million, to sell the Old Boys Rugby Club clubrooms and grounds at Okara, conditional upon designating the site a special zone to enable retail stores to open.

Last December, council-appointed commissioners Les Simmons and John Childs approved Plan Change 130 allowing "big-box" or bulk retail outlets at the site, saying it would provide opportunities for economic growth and jobs in Whangarei. But a group of businessmen is challenging in the Environment Court a decision to rezone the land, saying it will affect business in town.

The move is headed by former district councillor Wally Yovich, with support from the Chamber of Commerce and Industry Northland and local businessmen Tony Davies-Colley, Des Quinn, Ralph Calvert and Vince Cocurullo.

After the application in court against the rezoning, Mr Yovich requested a copy of the sale and purchase agreement entered into by the council and an unnamed buyer. With it, he wants to show the big-box plan has nothing to do with economic growth, rather that the council aims to get the best value for the land. Judge Jeff Smith ordered the council to release the document but remove the name or references to the buyer, price or financial conditions.

Mr Yovich and his supporters argue the council failed to adequately address the plan change's negative economic effects on CBD businesses. They say the decision is inconsistent with stated policy to maintain and strengthen the city centre as the primary centre in the district for shopping and employment. Mr Yovich said a hotel or a conference centre might better suit the site, with its elevated topography, rather than retail stores.

Mr Yovich's lawyer, Wayne McKean, argued the decision to dispose of the land was made in 2009 when the council undertook public consultation in accordance with the Local Government Act. He said that decision, in part, drove the need for a plan change.

Judge Smith said the sale and purchase agreement might at best be marginally relevant to the determination of the appeal, but the court's general preference was for councils to provide information they held.

The appeal will be heard on October 12.