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Newstalk ZB
July 26 2006; 17:32

Mystery surrounds Lake Alice buyer

The parties involved in the sale of the former Lake Alice psychiatric hospital are keeping quiet.

The 56-hectare site includes a large number of buildings, the iconic water tower, and sealed roads.

The Crown Health Financing Agency has confirmed the sale but will not comment on the price paid.

CEO Graeme Bell says 11 tenders were received and he is satisfied the price reflected current real estate values.

He believes the new owners of the property have not yet decided what it will be used for, but would not give further details about the sale or buyers.

The property has a rateable value of almost $1.4-million. The cash surplus from the sale will be returned to Wanganui District Health Board.