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That's not correct.

>New Zealand’s overseas investment legislation only affects transactions that include sensitive New Zealand assets, including land that is considered sensitive.

https://www.linz.govt.nz/regulatory/overseas-investment/find...




Sensitive includes half the country, eg. anything naturalesque with "covenants", government proximity, foreshores, historical sites, etc. Source: Real estate expedition to NZ, 2015.



Doesn't particularly include urban residential.




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