National Government Land Confiscations in New Zealand 2012

Locked out of undamaged factory 549 days.

Well well what a surprise.  (Tui moment I am afraid). A compulsory “Acquisition” order! The Crown’s intention is to acquire the properties in the areas that are needed for the anchor projects.”

Explain to me why they need a heritage building, at the edge of their silly Green frame?  No? you are right I can not either.

The largest transfer of wealth from the poor to the rich is happening right here in Christchurch, New Zealand in 2012.

Firstly in the Residential Red Zone- The areas of the city that have suffered the heaviest earthquake damage.  Notice that almost all residential Red Zone land confiscations are in the poorer areas of the City. Also these same areas are the closest to the city and in many cases are the prettiest, particularly those along the river. Millions of dollars have been lost as the settlements made to residents in these areas  have been based on 2007 Rating valuations not actual valuations.   From the figures that I have seen there are at least a 1000 families out there who will never own a house again in their lifetime.  Many of these people are the cities elderly and most needy.

Secondly we now have the Central City Red Zone/Green Frame – 840 land owners have been effectively disenfranchised and their property rights totally extinguished.  There is no right of appeal.

The blueprint that the CCDU/CERA have created is signaling that the future development in Christchurch will be very much institutionally driven by government, larger investors – developers. The compulsory acquisition power remains in place for as long as the CER legislation exists so at any time within the next 4-5 years an owner in the CBD could have his land/building taken, which creates a level of uncertainty for business  ( Would you remain in the central area if you knew that at any point in the next 5 years they might acquire your land and building and consider what  that uncertainty is going to do to the value of your building?) Any re sales of crownland must first be offered back to Ngai Tahu.

I think most owners have reached a point where they are resigned to the
inevitability of all this and just want out. They will not return to the central areas as the treatment that has occurred here beggars belief. The absolute incompetence of the CERA Engineers, the lack of consultation by CERA, the worts, price gouging, red tape is legendary. There is also a perception that anyone who has been too vocal has been either bought off or punished.- Mainly punished as it was the small land owners who complained the most. (They had the most to lose).

There are many building owners in the city who have worked hard for 18 months to get their buildings repaired, designed new buildings and in many cases have applied for expensive and time-consuming building consents,  who have now been told that they are to be “acquired”, or MIGHT BE in the next 5 years. This lack of consultation and planning forward by CERA makes a laughing-stock of New Zealand’s concept of fair play and a fair go for all. We have a 5 year time frame on the “acquisition process” – tell me who in their right mind would purchase our building with that hanging over their heads.

The NATIONAL Government has:

  • locked us up behind a Red Zone fence, depressing property values.
  • Demolished properties needlessly, depressing property values.
  • Refused us access and services, depressing property values.
  • Is now forcing sales to itself, depressing property values.
  • Valuing the properties, using an appointed company (shame on you, we will name you shortly)- depressing property values.
  • Buying said properties, depressing property values.
  • Developing Properties, depressing property values.
  • Selling properties.  Funny, value has just gone up.

Money, money, money! The Governement as demolisher, valuer, buyer, developer, seller!  Odd is it not.

Have a look at this link it is an excellent comment from the Institute of Valuers!   At last.

It is obvious what will happen in any other city in the country that faces a disaster in the future, the lesson learnt in Christchurch will have repercussions for years.   Most of the larger land owners that I have contact with are already looking at Australia and in some cases further afield.

Is there not some irony in the concept that the state/National Government under the guise of CERA destroyed most of the central business district, (contrary to world’s best practice) then takes over the land and in some cases buildings and now develops said land and then offers it for sale. Not back to the original owner either. If I was Ngai Tahu I would be ashamed to take it. It has shame written all over it.

Correct me if I am wrong but I thought that National was in favour of a “free market economy”.   It is patently clear to Christchurch business owners that we have been asset stripped by the National Government. What is amazing me is that the Business people have not revolted in the streets. There has been no effective leadership amongst the community, a factor that has aided Government to behave in this way. This is mainly a result of exhaustion, frustration, depression and lack of leadership skills. (The Insurance industry is responsible for much of this.)

There has been no effective representations of the people by any politicians or the Press.( I exclude Liane Dalziel) from this criticism.  The National/Local media has no interest in what is happening here and has failed to highlight the larger picture and pattern of behaviour that is occurring here.  We have no leaders and no representation. We also have dysfunctional local government.

The people of CHCH have been abandoned by the state.

Be very afraid New Zealand.



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