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Public Works Act Compensation NZ

What Are You Entitled To?

 

If your land or business is being acquired under the Public Works Act 1981, you are legally entitled to full and fair compensation.

Many landowners are not aware of the full extent of their Public Works Act NZ compensation and land acquisition rights in New Zealand. Initial offers made by acquiring authorities often understate what landowners are entitled to receive under the law.


At Landowner Rights Advocacy, we specialise exclusively in Public Works Act compensation in New Zealand, acting for landowners and businesses to ensure they receive every dollar they are entitled to.

Under the Public Works Act, You May Be Entitled to Compensation For

 • Market value of land
• Severance and injurious affection
• Business loss and loss of goodwill
• Relocation and disturbance costs
• Legal and professional fees 

How Public Works Act Compensation Works

 

When land is acquired for public infrastructure such as roads, rail, water, schools or utilities, the acquiring authority must compensate you for the full financial impact of the acquisition.


The purpose of compensation is to put you, as far as money can, in the same position you would have been in if your land had not been taken.


This includes much more than the value of the land itself.

What Compensation Can You Claim?

Every claim is different, but compensation under the Public Works Act commonly includes the following. 

Market Value of the Land

You are entitled to be paid the open market value of the land being acquired.

This is not simply the council or agency valuation. Market value must reflect:

• Highest and best use
• Development potential
• Zoning and planning controls
• Location and access
• Comparable sales


Authority valuations are often conservative and may not reflect the true market value.

Severance and Injurious Affection

 If only part of your land is taken, you may be entitled to compensation for loss of value to the remaining land.

This can include:

• Reduced development potential
• Loss of access or parking
• Reduced productivity
• Loss of privacy or amenity


This is one of the most commonly underestimated parts of a Public Works Act claim.

Disturbance and Relocation Costs

 Disturbance compensation covers the real-world costs and disruption caused by the acquisition, including:

• Relocation and re-establishment costs
• Removal and reinstatement of plant and equipment
• Mortgage break fees
• Temporary loss of income
• Professional and advisory fees


These costs must be properly documented and negotiated.

Business Loss Compensation

 If you operate a business from the affected property, you may be entitled to compensation for:

• Loss of profits
• Loss of goodwill
• Loss of customers
• Increased operating costs
• Relocation impacts


Business loss claims are complex and require specialist expertise.

Special Value

 Where land has special value to your business or operations that would not be reflected in a normal market sale, additional compensation may apply.

Partial Land Acquisition - High Risk, High Impact

 Partial land acquisitions are among the most complex and high-risk Public Works Act compensation claims.


We regularly act for:

• Farms and rural operations
• Lifestyle blocks
• Commercial property owners
• Industrial sites
• Developers


Common impacts include:

• Reduced land utility
• Biosecurity separation issues
• Future development constraints
• Ongoing operational and management costs 

Public Works Act Acquisition Process

 

The Public Works Act gives government and council authorities the power to acquire private land for public infrastructure.


The process typically includes:
 

  1. Project announcement or designation
  2. Initial contact from the acquiring authority
  3. Valuation and offer
  4. Negotiation phase
  5. Notice of Intention to Take Land
  6. Compulsory acquisition (if agreement is not reached)

Early advice can significantly improve your outcome. 

Can You Object to a Public Works Act Acquisition?

Yes. Landowners have the legal right to object after receiving a Notice of Intention to Take Land.


Objections may relate to:


• Whether the land is genuinely required


• Whether alternative land could be used


• Whether impacts have been properly considered 

Negotiating Public Works Act Compensation

 

Public Works Act acquisitions are commercial negotiations.

Initial offers often:

 • Undervalue land


• Exclude severance and business loss


• Understate disturbance costs 

 You are not required to accept the first offer. 

Who Pays Your Legal and Professional Fees?

In most cases, landowners are entitled to have reasonable professional costs paid as part of their compensation, including:


• Legal fees


• Valuation fees


• Planning, engineering and accounting advice

Speak to a Public Works Act Specialist

Speak to a Public Works Act Specialist

If your land or business is affected by a Public Works Act acquisition, early advice can significantly improve your outcome.

We offer an initial consultation to:

• Explain your rights
• Review your situation
• Identify potential compensation
• Outline a negotiation strategy


There is no obligation; just clear, practical advice.

Landowner Rights Advocacy

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