1 Feb 2011

German groups invest $110m in South Island farms

3:36 pm on 1 February 2011

German investors have been given clearance to buy 12 farms in Canterbury and Southland.

The four investment groups will take between 50% and 80% ownership in the properties, paying a total of more than $110 million.

The farms amount to more than 3000 hectares of land and will be managed by Feilding-based company MyFarm.

MyFarm director Grant Rowan says the properties will be run as eight dairy farm businesses for the seperate investment groups - five in Southland and three in Canterbury.

Mr Rowan says the groups will spend more than $12 million to redevelop the farms, boost productivity and create up to 30 full-time jobs.

New Zealanders are also investing in the farms, he says.

The Overseas Investment Office has approved the sale.