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Home / New Zealand

$6.7 million price tag on diplomat's flat

Nicholas Jones
By Nicholas Jones
Investigative Reporter·NZ Herald·
8 Oct, 2015 07:02 AM3 mins to read

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The four-bedroom apartment in New York is being advertised as an exquisite Manhattan property. Photo / Supplied

The four-bedroom apartment in New York is being advertised as an exquisite Manhattan property. Photo / Supplied

Proceeds from sale of New York flat will go towards flasher $11.4m residence for New Zealand envoy.

A residence that housed a top New Zealand diplomat in New York is being sold for $6.7 million after the purchase of a flasher apartment.

It comes as the Ministry of Foreign Affairs and Trade (Mfat) plans projects including building a chancery in Suva, Fiji, and upgrading offices at several locations in China.

If the asking price is met the sale of the luxurious New York apartment will recoup some of the cost of a new apartment bought a couple of kilometres away, nearer to the United Nations.

When details of that $11.4 million purchase to house New Zealand's UN representative Gerard van Bohemen were revealed this year Labour criticised the cost, saying it was evidence of a culture of extravagance.

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Officials said the sale of the old residence on the Upper East Side would balance the cost, and this week it was put on the market for US$4.45 million ($6.7 million).

Photo / Supplied
Photo / Supplied

An advertisement in the New York Times property section said the "exquisite" corner four-bedroom, three-bathroom apartment had striking views of the East River.

The eight-room home with high ceilings featured an elegant separation of private and public wings, a six-burner range and a powder room.

"This classic home presents a rare opportunity to purchase into one of Manhattan's premier full-service white glove buildings," it said.

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Mfat this week strongly defended the processes behind its purchase of a $6.2 million mansion in Hawaii after the lobby group the Taxpayers' Union said diplomat Robert Kaiwai had been given a blank cheque to buy a home to live in.

The mansion, with four bedrooms, five bathrooms, a heated pool and waterfall, was bought last year after Mr Kaiwai was named New Zealand's first Consul-General in Honolulu.

Photo / Supplied
Photo / Supplied

Mr Kaiwai was involved in identifying properties that met the terms of reference. These were put on a short-list and the final decision was made by Mfat officials in Wellington.
The ministry owns around 90 properties and leases more than 200.

Mfat is planning on spending $51.1 million on buildings and land this financial year, dropping to $40,761,000 in 2016/17.

Discover more

Opinion

Jack Tame: Costly embassy digs a poor look

10 Oct 04:00 PM

The cost of some major projects will be balanced by the sale of existing properties, such as in New York.

New Zealand sold its previous Paris official residence and chancery last year for $35.5 million. In the same year a new Paris chancery was leased and fitted out for $3.78 million, and an official residence bought for $7.2 million.

Diplomats in China will get nicer offices with chanceries in four major cities already upgraded or approved for improvement.

Photo / Supplied
Photo / Supplied

The chanceries in Guangzhou and Shanghai have been relocated and fitted out at a total cost of $4.6 million.

Chanceries in Beijing and Chengdu are next in line, part of a 10-year plan which will also see properties in Suva, Addis Ababa, Moscow, Honiara, New Delhi, Tokyo, Washington and Canberra either upgraded or built.

Prime Minister John Key is likely to make his first official visit to Fiji early next year after getting an invitation from Fiji's Prime Minister Frank Bainimarama when they met at the UN in New York last month.

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Bricks and mortar

Major property projects Mfat plans to start in the next four years:
• Beijing: rebuild chancery and official residence on leased land.
• Canberra: refurbish chancery.
• Moscow: relocate and fit out chancery and residence.
• Addis Ababa: build chancery and residence.
• Chengdu: relocate and fit out chancery.
• Suva: build chancery.
• Honiara: build chancery.
• New Delhi: refurbish chancery.
• Tokyo: upgrade chancery infrastructure.
• Washington: restore official residence.

Source: Mfat strategic intentions 2015-2019 report

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