March 30, 2020

NZ Urban Development News - 26 February

*|MC:SUBJECT|*

Hi *|FNAME|*, Please find below Urban Development News from the media from the week of 25 February 2019.

Provided by Rockhopper

Mike Greer commits to building 104 homes in Christchurch and West Auckland

Residential developer Mike Greer has partnered with KiwiBuild to build 104 homes in West Auckland and Christchurch.

The agreement includes the cheapest KiwiBuild homes announced to date – 11 two-bedroom standalone homes in Kaiapoi being sold for $360,000.

Other homes will be built in Huapai, Whenuapai, Pukekohe, Kaiapoi, Rolleston, Pegasus, Woodend, Rangiora, Halswell, Marshland, and Spreydon.

https://www.interest.co.nz/property/98236/cheapest-kiwibuild-homes-announced-mike-greer-commits-building-104-homes-christchurch

https://www.beehive.govt.nz/release/mike-greer-build-over-100-kiwibuild-homes

Precinct Properties withholds $15.4m of payments to Fletcher Construction

Precinct Properties has withheld $15.4 million of payments to Fletcher Construction and is likely to withhold more for delays to the construction of its Commercial Bay office and retail development on Auckland's waterfront.

Precinct revealed the payment delay in its half-year result for the six months to December 31, 2018.

Precinct chief executive Scott Pritchard said the $15.4m of liquidated damages was related to delays in the construction programme from July to the end of December 2018.

https://www.stuff.co.nz/business/110674633/inner-city-landlord-and-developer-precinct-properties-tapping-shareholders-for-150-million-to-cut-debt

Tauranga City Council demolishes Bella Vista Homes

The 21 Bella Vista Homes that tainted Tauranga are now being dismantled and sold off.

Demolition work at the failed development has begun with the top floors being prepared for removal and sale to a third party to recover costs.

Council said the bottom floors, which include the block walls and foundations, are likely to be demolished.

https://www.stuff.co.nz/business/property/110822703/tauranga-city-council-demolishes-bella-vista-homes

Auckland Council property swap plan

An Auckland Council plan to transfer up to $800 million worth of assets back to itself as part of a property title swap with a Council Controlled Organisation (CCO) is a recipe for disaster according to councillor Mike Lee.

The former Auckland Regional Council (ARC) chairman says the council can’t be trusted with the city’s assets in the face of a self-imposed debt limit and burgeoning costs.

Panuku Development Auckland (Panuku) is a Council Controlled Organisation (CCO) and is responsible for urban redevelopment projects and managing property on behalf of the council. It owns and manages large sections of the city’s waterfront real estate, including land, buildings, development sites and marinas. These properties are currently valued at around $800 million.

https://www.interest.co.nz/news/98223/auckland-council-property-swap-plan-puts-waterfront-assets-risk-according-councillor%C2%A0

The first stage of Botany Town Centre's $78 million makeover is to open in May

The first stage of the $78 million redevelopment of Auckland's second largest shopping centre - the Botany Town Centre - is to open in early May.

Centre development manager Paul Hudson said 19 retailers would open in the extended Fashion Pavilions part of the centre.

Among those are two international fashion stores, giant Swedish fashion retailer H&M and Australian beauty retailer Mecca Maxima.

https://www.stuff.co.nz/business/110734640/the-first-stage-of-botany-town-centres-78-million-makeover-is-to-open-in-may

Hotel nights drive accommodation growth in 2018

Guests spent over half a million more nights in hotels in 2018 than the year before, driving overall growth for short-term commercial accommodation, Stats NZ said today.

In the year ended December 2018, guests spent 40.4 million nights in hotels, motels, backpackers, and holiday parks, up 2.3 percent from 39.5 million in 2017. Over half of that growth was from nights spent in hotels, which numbered 14.5 million.

The growth in hotel guest nights was supported by increased capacity. Nearly 1,600 more hotel rooms were available by December 2018 than in December 2017. Even with more rooms available, the occupancy rate for hotels remained relatively high (falling slightly from 69.8 percent in 2017, to 69.2 percent in 2018), reflecting more nights spent in hotels.

https://www.stats.govt.nz/news/hotel-nights-drive-accommodation-growth-in-2018