The government is seeking clarification from the High Court on the Land Valuation Tribunal’s decision on the Minaret Station rent case.
Minaret Station took a test case to the tribunal after the previous government decreed amenity values be included in the value when rent was set on pastoral lease properties.
The Tribunal ruled in Minaret’s favour.
A media release from Minister of Land Information, Maurice Williamson and Agriculture Minister David Carter is quite clear they are seeking clarification of the ruling on a technicality not amenity values.
The Government remains supportive of the decision and is committed to implementing pastoral lease rents based on the earnings capacity of a property,” say Agriculture Minister David Carter and Land Information Minister Maurice Williamson.
“However, the Solicitor General has advised the judgment leaves an unclear definition of “capital value” which presents some complexities around valuing pastoral leases in the future.
“For this reason, further clarification is needed,” say Mr Carter and Mr Williamson.
“This is not about amenity values. This Government has no intention of revisiting Labour’s policy of including amenity values in the rent setting process,” says Mr Carter.
“It is a case of defining a narrow technical aspect of the ruling.”
“We want to bring certainty to the application of our previously stated policy on pastoral lease rents. Clarifying the decision will benefit both the Crown and leaseholders,” the Ministers say.
Any suggestion that the government was planning to relitigate the issue of amenity values would have been very disappointing for pastoral lessees. The Ministers have made it quite clear they aren’t going to go there so I don’t think this announcement will cause any concern.
But the issue has been financially and emotionally expensive for lessees so I hope the technical issue is settled quickly.