13 September, 2012
Christchurch, New Zealand- Earlier today the Canterbury Earthquake Recovery Minister, Gerry Brownlee, notified the basis upon which government purchase offers will now to be made to four categories of red zone property owners. Owners have been waiting many months for this advice but the Minister stated that the government will only offer, 50% of the 2007 RV value of the land.
Such an "offer" ignores:
the true value of the land,
the homes and improvements that owners have on that land.
Collectively owners stand to lose millions of dollars but have received legal advice that the government’s position on this matter is misconceived and discriminatory.
The government is not purchasing red zone land with EQC money and so the suggestion that red zone owners have not complied ‘with the Crown’s insurance requirements’ is both irrelevant and misleading.
The government will be asked to urgently reconsider otherwise the matter will be resolved before the courts.
EQC is a New Zealand government-owned insurance company.