Two Japanese-owned forestry blocks in Southland will change hands for NZ$5.1 million after consent was granted under the New Zealand Overseas Investment Act for the sales. Source: Otago Daily Times
Southland Plantation Forest Company of New Zealand received consent to acquire 420ha in Taringatura, and 474ha in Lillburn Valley Rd, Lillburn, under the special test relating to forestry activities.
The vendor was Japanese company Kodansha Treefarm New Zealand Ltd.
Southland Plantation Forestry Company of New Zealand was a repeat forestry investor and had existing forests based mainly in the South Otago/Southland region.
It intended to continue using the land for production forestry and replant following harvest.
The Overseas Investment (Forestry) Amendment Act 2022 recently came into force, changing the assessment criteria for overseas investments that result in the conversion of farmland to production forestry.
