The Deed of Settlement has provision for the Port Nicholson Block Settlement Trust to exercise several rights through commercial opportunities. These include Deferred Selection Purchase – which has now expired, Sale and Leaseback and Right of First Refusal.
This mechanism allows the Trust to purchase the land only of selected Crown properties but the land must be leased back to the Crown entity. The mechanism is in place for a period of 10 years from the date of settlement. The terms and conditions of the leases have been negotiated as part of the settlement. Taranaki Whānui, along with Taranaki whanaunga based in Taranaki, with the intent of building a kinship-based partnership to give effect to the Sale and Leaseback rights, formalised the Tai Hekenga Consortium in 2019.
Including Taranaki Whānui ki Te Upoko o Te Ika, those participating in Tai Hekenga:
Properties within this mechanism include:
This mechanism is for a period of 100 years from settlement date and applies to some 2,000 properties throughout the Port Nicholson Block rohe. Where a property within this portfolio is declared surplus to Crown requirements, the agency is required to offer the property to the Trust. A prescribed process is set down in the Deed of Settlement in respect of this mechanism include but are not limited to:
To ensure that risk is minimised to all assets of the Trust, Trustees will form limited liability companies to operate specific entities where they think approprite. These companies have their own constitution and directors appointed by Trustees.