Media Statement

18 April 2007

Draft signs and billboard by-laws are illegal

Auckland City Council’s draft signs and billboards by-laws are illegal. That is the message presented to Auckland City Council’s signs and billboards hearings panel by the Property Council of New Zealand.

Connal Townsend, the Chief Executive of the Property Council of New Zealand, presented legal arguments, which contend that the proposed by-laws, if implemented without amendment, would be exposed to legal challenge.

“A legal challenge would be successful. The Local Government Act 2002 does not give Auckland City Council to power to override existing use rights. Both existing use rights and property rights are protected under common law”, Connal Townsend said.

For many years Auckland City Council has granted property owners and advertisers the right to erect and maintain billboard and signs. These rights have been confirmed either by dispensation, resource consent or by status as a permitted activity.

“The draft by-laws effectively deny property owners and advertisers the right to use property for the purpose of advertising. This attempt to confiscate existing use rights is illegal.

“Internal Auckland City Council documents reveal that the City proceeded with the by-laws in the mistaken belief that they could clamp down on signs and billboards without having to provide for existing use rights” Connal Townsend said. “Most other cities in New Zealand use the Resource Management Act (RMA) to govern signs and billboards – but Auckland City officials didn’t favour that approach as the RMA explicitly protects existing rights. However legal advice obtained by the Property Council reveals that existing signs and billboards, if already approved, are already protected by decades of well established case law.”

Connal Townsend noted that “Parliament has never given Auckland City approval to make by-laws that confiscate existing rights, and in the absence of such a provision, no such power exists”.

“Practically, the City could only proceed with the existing by-laws if it agreed to financially reimburse the owners of the signs, billboards, and the buildings on which they are fixed; and that would be a hugely expensive option.”

The Property Council represents members who have a major stake in commercial property throughout Auckland City. Our members stand to lose out to the tune of $120 million (the estimated loss of equity if the by-laws are implemented without amendment) if the Auckland City Council continues to try and implement its illegal by-laws.

“As an organisation that is strongly committed to good urban design, the Property Council supports improving the visual amenity of Auckland City. However, good urban design should be achieved through legal and constitutional means, not the confiscation of existing use rights,” Connal Townsend said.

ENDS

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