3 Nov 2014

Heavy investment losses for Te Atiawa people

7:09 am on 3 November 2014

The body handling the Treaty settlement money for Te Atiawa people in Wellington has recorded a drop in its investment property value over three years, from $21.6 million to just below $16 million.

Te Atiawa runanga offices,

Te Atiawa runanga offices. Photo: RNZ / Gareth Thomas

Port Nicholson Block Settlement Trust said it would be a couple of years before it stopped losing money.

When Atiawa Maori signed with the Crown in 2009, the trust was charged with handling the $24.7 million package.

Since then, the entity's books have not looked pretty. For example, its Shelley Bay property - the former Defence Force base - has been losing $200,000 a year. It is now being leased to a private partner.

One of the reasons for the large decline in the value of investment property is a new valuation of the Petone College site.

The trust paid $3.8 million for the site and it is now worth only $330,000. Retirement village operator Ryman Healthcare is now building a new centre on that tribal land.

Looking ahead, Port Nicholson Block Settlement Trust aims to break even by March 2016.

Get the new RNZ app

for ad-free news and current affairs