Land which previously housed Napier Hospital on a hilltop overlooking the city is on the market for sale, with preliminary ground work already in place to convert the property into a residential subdivision.

The elevated site is just a short walk to the Napier CBD on one side and Ahuriri, with its village atmosphere, on the other.

The 2.6ha site has had its designation changed over the years, in line with the council's vision to increase housing density.

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Resource consent was granted in December 2014, allowing for the subdivision and creation of:

The freehold land at 11 Hospital Tce is being marketed for sale through Bayleys Napier, with the tenders closing on February 21. Salespeople Kerry Geange and Daniel Moffitt said the property encompassed two adjoining land titles and was zoned Napier Hill Character (Residential) under the Napier City Council Plan.

"The Hospital Hill property represents 15 per cent of the ‘greenfields' land identified for future residential development in Napier," said Geange.

"That's a substantial portion to be contained in just one site, let alone the very location of the site with its spectacular vistas." The largely rectangular and predominantly flat hilltop section straddles Napier's central business district some 1.6km away on the seaward side, and the city's hospitality hub at Ahuriri some 1.2km downhill on the opposite tack.

Geange said the land was being sold as ‘vacant possession', with all of the former hospital buildings removed from the site and some initial excavation work undertaken in preparation for building foundations to be laid.

Last year Napier City Council upgraded stormwater services in the location to ensure infrastructure capacity. Gas, electricity and telecommunications utilities are already in place on the property boundary.

"The land is being sold with significant documentation available to any new owner, including feasibility studies, geotechnical information, survey data and civil engineering assessments," Geange said.