Dated at Wellington this 26th day of October 2004.
The Common Seal of the Securities Commission was affixed in the presence of:
C A N Beyer,
Statement of reasons
This notice, which comes into force on the day after the date of its notification in the Gazette and expires on 31 October 2009, exempts Grey Water Limited and Livewell Limited from sections 33, 37, 37A, 38A, and 54B(3) of the Securities Act 1978, subject to conditions, in respect of the offer of securities in Grey Water Limited.
The securities in Grey Water Limited are to be offered as part of a scheme that requires purchasers of residential properties in a development (known as Mangawhai Stage 1 and Mangawhai Stage 2 and situated at Mangawhai Heads in North Auckland) to subscribe for those securities. The purpose of the scheme is to facilitate the use, ownership, and management of communal facilities by Grey Water Limited for the benefit of the residential property owners in the development in connection with the drainage, treatment, and disposal of sewage and waste water.
The Securities Commission considers that it is appropriate to grant the exemptions because—
it is consistent with the policy of previous exemptions the Commission has granted in relation to residential property developments, including a class notice (the Securities Act (Residential Property Developments) Exemption Notice 1999); and
the securities involved in these developments are not intended for purposes of investment, but rather to confer ownership rights and rights to use the communal facilities in a residential development. The conditions of exemption require that the entity offering the securities does not have as its objects the carrying on of trading activities or a business for profit. Rather, the purpose of the Issuer is to allow the owners of residential lots to participate in the control of the communal facilities.