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Home / New Zealand

$10.3m to buy land city will own anyway

Bernard Orsman
By Bernard Orsman
Auckland Reporter·NZ Herald·
18 Aug, 2009 04:00 PM3 mins to read

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Auckland City ratepayers are being asked to pay $10.3 million for a slice of waterfront land they would otherwise get to own for nothing when the Super City comes into being.

The council has budgeted to buy the final piece of land it needs at the Tank Farm from the
investment arm of the Auckland Regional Council - a year before the assets of both public bodies are transferred to the Super City.

The land includes the remaining old America's Cup bases at Halsey St earmarked for roading and open space alongside a $32 million marine events centre being built by Auckland City.

The ARC's investment arm, Auckland Regional Holdings, wants the $10.3 million to help pay for its own share of developments at the Tank Farm.

The exchange of ratepayers' money will go to the agency designing the Super City for a ruling.

The Auckland Transition Agency uses criteria set out in its act, including whether it "significantly prejudices the reorganisation" or has a "significant negative impact on the assets or liabilities" being transferred to the super Auckland Council.

Auckland City has already been told by the Auckland Transition Agency that it needs permission for land purchases.

Auckland City's top planner, John Duthie, said "whether this purchase technically goes ahead or not is unclear".

ARH investments and finance manager Kellie Maitland expected the sale to go ahead.

"There is no legislation yet in place that specifies what will happen to ARH and its assets within the proposed changes to the Auckland local governance structure. In the interests of accountability and transparency, it is business as usual," she said.

Meanwhile, Labour's Auckland issues spokesman, Phil Twyford, has admitted the party proposed the questions in a UMR poll that shows Aucklanders are firmly opposed to the privatisation of council assets.

The polling company, used by Labour, issued the results a day out from the first reading in Parliament of Mr Twyford's member's bill protecting Auckland assets from privatisation.

The poll found 85 per cent of Aucklanders opposed selling water assets, 82 per cent opposed selling parks, libraries and recreation facilities and 81 per cent opposed the sale of the Auckland Port Company and airport shares.

Mr Twyford did not know if Labour proposed the questions on two previous UMR Super City polls, including a poll which had Manukau Mayor and Labour Party member Len Brown on 35 per cent support and Auckland City Mayor and National Party member John Banks on 34 per cent.

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