The 176,000 hectares of Central North Island forests land was transferred from Crown to Iwi ownership with the CNI Iwi Collective Settlement.
Most of this land is Kaingaroa Forest and is subject to Crown Forest Licences (CFLs).
Under the CFLs the Licensor (land owner) is Kaingaroa Timberlands and their forestry management company is Timberlands Ltd.
CNI Iwi Holdings Ltd has outsourced the management of any land that is no longer under the Crown Forest Licences (CFLs) to CNI Iwi Land Management Ltd. This company will be responsible for performing the important land management function for the settlement land, as per a Land Management Agreement (LMA) with CNIIHL. This is to provide a separation between asset guardianship and commercial management, to ensure that the land is never put at risk.
The purpose of the Land Management Agreement is to record CNI Iwi Land Management Ltd's appointment to manage the CNI Forest Land, on behalf of CNIIHL, by performing a set of prescribed services including (quoted directly from the LMA):
- managing the CNI Forest Land;
- managing the licensor's interest under the CNI Agreements (on behalf of the Owner in its capacity as licensor) and obtain, for the benefit of the Owner, the highest level of Rent that can reasonably be expected having regard to prevailing market conditions;
- managing the Return Area Process;
advising, developing and recommending appropriate land uses for any part of the CNI Forests Land that is or may become Vacant Land and, negotiating, finalising and managing the Owners' interest in all Commercial Agreements;
- collecting all Rent and negotiating all rent/fee and other income review mechanisms under the CNI Agreements;
- using the Manager's best endeavours to ensure that the Owner complies with all legislation, laws, rules and regulations relating to the Owner's interest:
- otherwise performing the Services professionally and diligently and in accordance with generally accepted best land management practices (having regard to the land use of the CNI Forests Land from time to time during the Term).
- as licensor of the CNI Forests Land, under the CNI Crown Forestry Licences;
in all Vacant Land; or
under any Commercial Agreement; and