The Highlands Motorsport Park in Cromwell will have almost $11,000 a year more in its coffers for the next three years after the Central Otago District Council agreed to give it a rates remission.
With a land value of $1.38 million and capital improvements worth $14.08 million, the park was due to pay almost $21,500 in rates from this financial year onwards.
However, it applied under the council's rating policy for a remission for business development. Councillors yesterday signed off on a 50% remission, meaning those behind the park will pay only $10,723.65.
''We're not Father Christmas; we don't give stuff away, but they do comply and we're going to get a lot out of them [economically],'' Mayor Tony Lepper said.
Council corporate services manager Susan Finlay said it was difficult for business to be eligible for this kind of remission.
Criteria included that the investment in capital improvements be more than $1 million and there must be no competing business.
Because the business complied with the criteria, council could not really turn it down, she said.
The remission will apply for the course of development, up to three years.
It does not apply to The Nose restaurant.
