Developer seeks competition

Allan Dippie.
Allan Dippie.
The husband of the woman behind Wanaka's proposed 1500-lot Northlake subdivision has warned against placing control of the town's land supply ''in the hands of one man''.

Queenstown-based developer Chris Meehan is married to Michaela Ward Meehan, who original requested Plan Change 45, Northlake Special Zone.

During day two of an Environment Court appeal against PC45 in Wanaka yesterday, Mr Meehan said developer Allan Dippie controlled most of the town's land supply.

His comments came in response to claims from the appellants' planning consultants PC45 would result in adverse effects from an oversupply of residential land in Wanaka.

''It seems to me what they've failed to address ... is the extent or just how much of that supply is held by one party,'' Mr Meehan said.

''Having that much land in the ownership of one man, it enables him to somewhat control the rate of release or rate of supply of residential land and in doing so impacts both prices and basic town planning principles.''

Mr Dippie had made ''an art form'' of matching supply and demand and chose to ''limit supply'' to push up prices, Mr Meehan said.

Lawyer Phil Page, representing the appellants, said Mr Dippie's approach was a ''rational economic response'' to the property market which any developer would take.

''Particularly if you have a large element of control over that market - yes,'' Mr Meehan replied.

He considered the large number of bidders at recent Wanaka property auctions and the town's rental property shortage ''not indicative of a market suffering from oversupply''.

Northlake's own first stage of development saw about 25 people ''camped out in tents'' to ensure they were first in line to buy the sections.

''From a developer's perspective ... there is a real benefit to the community of more supply.''

Mr Page said since requesting PC45, Mr Meehan's wife had sold the land in question to Northlake Investments Ltd, for which Mr Meehan was a development strategy adviser.

''You are not clear in your evidence whether you maintain any financial interests in the success of the Northlake development yourself,'' Mr Page said.

''There is no way from Companies Office records to know who has a beneficial interest in the ownership of Northlake or any of its superior entities.''

Asked if he stood to benefit from Northlake sales, Mr Meehan replied: ''I hope so.''

The hearing continues today.

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