Types of Investment that are acceptable to Immigration New Zealand
Before you apply, let’s work together to ensure that the opportunities you pursue meet Immigration New Zealand’s ‘acceptable investment’ criteria. NZ Visa Connections will help you determine the eligibility of your particular investment interest.
Broadly speaking, acceptable investments can be as follows (other criteria can apply):
- Equity in NZ firms, public or private. An equity investment can be active or passive and be made direct or via managed funds (only the proportion of the Fund that is invested in NZ is counted as acceptable).
- Bonds, issued by the NZ Government, NZ local authorities or approved NZ banks, finance companies or firms.
- New residential property development that is not for the investor’s personal use and designed to make a commercial return on the open market.
- Up to 15% of the investment total can be philanthropic investment.
- Generally, to be considered acceptable, an investment must:
- Be capable of a commercial return under normal circumstances.
- Be invested in New Zealand in New Zealand currency.
- Have the potential to contribute to New Zealand’s economy.
- Not be for the personal use of the investor.
There are also specific rules around Investment Funds and additional rules applicable to Property Investment. These are detailed with an Investor Visa Options overview.
Rules around Investment Funds
Immigration New Zealand follows these rules closely when processing your Investor Visa application:
- You can nominate a mix of funds and/or assets to invest. They must be equivalent to at least NZ$3 million for Investor 2 or NZ$10 million for Investor 1, though you may nominate more.
- You will need to provide evidence showing that your investment and/or assets are owned by you or jointly by you and your partner and/or dependent children if they are included in the application.
- You will also need to provide evidence showing that your intended investment funds:
- are unencumbered, i.e. not subject to any mortgage, lien, charge and/or encumbrance (whether equitable or otherwise) or any other creditor claims
- have been earned or acquired legally
- are transferable through the banking system or through a foreign exchange company that uses the banking system (Immigration New Zealand will not be able to approve your application if you are unable to transfer funds to New Zealand through the banking system)
Rules regarding Property Investments
NZ Visa Connections can refer you to our investment partner which provides a range of commercial, residential, and fund investment opportunities.
If the investment opportunity that you choose to pursue is in residential property, Immigration New Zealand sets additional rules relevant to these investments. These are:
- the residential property must be in the form of new developments on either new or existing sites; and
- the residential property cannot include renovation or extension to existing developments; and
- the new developments must have been approved and gained any required consents by any relevant regulatory authorities (including local authorities); and
- the purpose of the residential property investments must be to make a commercial return on the open market; and
- neither the family, relatives, nor anyone associated with the principal investor, may reside in the development.
If the investment opportunity is in commercial property, these conditions from Immigration New Zealand apply:
- the property is not residential or for domestic use; and
- the property is used for business purposes, in that it is:
- capable of a commercial return; and
- not used for land banking; and
- the purpose of the commercial property investments must be to make a commercial return on the open market; and
- neither the family, relatives, nor anyone associated with the main applicant may reside in the development; and
- if a new development, the property must have been approved and gained any required consents by any relevant regulatory authorities (including local authorities).
There are further criteria relevant to an investment in finance companies, managed funds, venture capital funds, and philanthropic investment. NZ Visa Connections can advise on these as required. Contact Us to discuss further.
Reward for Growth Investments
If you invest at least 25% of your investment funds into assets other than Bonds and Philanthropic Investment, Investor visa holders will be able to meet their time in New Zealand requirement flexibly, with Investor 2 visa holders required to spend 438 days over the 4 year investment period and Investor Plus visa holders needing to spend 88 days over the 3 year investment period.
Investor 2 visa holders who invest at least 50% of your investment funds into assets other than Bonds and Philanthropic Investment will qualify for a reduction of $0.5m of the investment amount. For example, if you nominate $3m of investment funds and invest $1.5m outside of Bonds and Philanthropic Investment, you will only be required to invest a further $1m to meet the visa requirements.
There is no cap on the Investor 1 Category. A cap of a maximum of 400 applications does limit the Investor 2 Category.
Please also note that Investor 2 applications operate via a points system. If Immigration New Zealand do receive more than 400 applications per year then the points available for higher levels of investment may be revised. This would then increase the points total and, therefore, the strength of those applications where more than $3million was being invested.