Development dream site on the market

Development dream site on the market

A parcel of prime commercial land tagged for development as New Zealand’s Northland Cultural Trade Centre has just gone on the market.

Agent Allan Inglis, of First National Whangarei, is marketing the 4.21ha property near Kerikeri , New Zealand, which will go to tender on May 27.

Strategically placed on State Highway 10 between tourist magnets Paihia and Kerikeri, the site was tagged for a $30million development by Orange Centre Ltd owners Mike Perkins and Jonathan Hiscock and billed as KeriKeri’s biggest commercial investment in decades.

Perkins and Hiscock have spent the past six years and more than $1million getting an array of commercial consents to build a 30-bed hotel, a 152-seat function centre, a retail trade centre with a 42-seat AV theatre, a detached health spa, a petrol station with full facilities for fast food and amenities and a café.

Inglis said the sale represented a significant opportunity for a savvy developer.

“There are many potential uses for that land. It has been difficult to place an exact value on the land due to the uniqueness of the site. We have had several expressions of interest already so are expecting some real competition between buyers by the end of May.”

Perkins, an experienced international developer in the leisure and tourism industries, said the uniqueness of the site was what had first attracted him nearly seven years ago.

“New Zealand has a massive future worldwide for tourists to come and see how nice the place is. There are just not enough high quality stop-over facilities being provided on state highways.

“The Orange Centre site is probably the most important little strip of highway you could find in Northland. It’s next to the airport for people wanting to fly in for a meeting or hold a conference and it’s on the State Highway with virtually all road traffic going north and south passing the door.

“I’ve always thought, ‘wow what a position’. Considering New Zealand’s modest population this site will capture all the seasonal trade. As well as local interest, it should be a major stop-off point for tourist and business commuters alike.”

However, given the time it has taken to reach agreement with the various stakeholders in the Resource Management Act consent process and with Perkins having recently reached retirement, he said he was unable to see the development that has always been his brainchild through to completion.

“Unfortunately the battle for consents has exhausted us. That doesn’t mean I am not personally interested in participation if that eventuates but it’s time for some fresh legs to run with the baton.”

The site is for sale with the benefit of the land fully consented and with full detailed drawings of the proposed development.

Inglis says commercial property in Northland is sought after. Returns offering up to 8% to 9% per annum were attracting considerable investor interest in the region.

“In Whangarei, companies are looking to redevelop and expand their business operations which has seen this current trend throughout Northland towns. In Kaitaia the Pak’n’Save supermarket is relocating from the centre of town to the northern end of the town boundary and has doubled in size. Kerikeri township is following this trend with a new Countdown supermarket of considerable size. Those developments are based on expectations of continuing growth so we know the Orange Centre site with its many advantages will attract considerable attention.

“The Orange Centre site with its unique location and new resource consent in place creates multiple business opportunities on State Highway 10

“The tender process will ultimately allow the marketplace to establish value. Our vendor is realistic and ready to meet the marketplace and that will see this property sell.”

Tenders close on May 27. See the site at http://bit.ly/hG3yEk
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