A british businessman plans to spend about $12 million over the next three years creating a luxury lodge near Wanaka.
Owner of New Zermatt Properties Ltd Richard Anthony Magides was granted Overseas Investment Act approval in December to buy the 2944ha Mt Isthmus Station from the Burdon family, which owns Glen Dene Station.
The land is between Lakes Wanaka and Hawea.
Documents provided to the Otago Daily Times by the Overseas Investment Commission under an Official Information Act request show New Zermatt's intention was to buy the property for $7 million plus GST, if any, and then spend $5 million, including GST, constructing a ''luxury farm and wilderness lodge and ancillary tourism activities''.
The lodge would cater for eight guests.
The commission, in its report, was satisfied the investment was likely to result in the creation of new jobs and increased export receipts.
The lodge was expected to create 30 fulltime-equivalent temporary jobs and seven FTE permanent jobs.
Budgeted export receipts would be $58,024 in 2017, rising to $185,673 in 2019.
Occupancy was conservatively estimated to rise from 12.5%, or 46 nights, in 2017 to 20%, or 73 nights, in 2019.
It was estimated 75% of accommodation receipts would be from overseas guests.
The commission noted Mr Magides had already spent ''tens of millions of dollars'' on luxury accommodation ventures in New Zealand, including the $6.5 million purchase of Ben Avon Station in the Ahuriri Valley and land in Queenstown.
Mr Magides must complete settlement of the Mt Isthmus land within 12 months; use ''all reasonable endeavours'' to obtain consents for the lodge within a further 18 months; and complete construction of the lodge within two years of gaining consent.
If the conditions were not met, Mr Magides would have to dispose of the land.
The application shows the land has been farmed by the Burdon family since 1929.
In 1979 it was split into Mt Burke Station and Glen Dene, which were then farmed independently.
The Mt Isthmus land had been part of Glen Dene, a Crown-owned pastoral lease property which went through tenure review in 2007.
Mr Magides' application to the commission said the vendors, the Burdon family, would use proceeds from the sale to pay for tertiary education for their children, invest in the family's Lake Hawea Holiday Park business and develop Glen Dene.
The property had been on the market since 2009.
The fee for making the application to the commission was $22,488.89.
Consent for the sale was signed by Associate Finance Minister Paula Bennett and Land Information Minister Louise Upston.
