A 5,253sqm development site at the corner of Dominion and Valley Roads, Mount Eden is back on the market seeking interest from well-capitalised developer entities who could deliver the identified outcomes required by its owner, Eke Panuku Development Auckland.
Auckland Council-controlled Eke Panuku Development Auckland, the organisation responsible for urban regeneration and managing around $2.4 billion worth of land and buildings owned by the council, has placed the strategic site on the market for sale with an option for a buyer to use the current approved resource consent for a mixed-use development or to devise an alternative and agreed plan.
The existing consent allows for 92 apartments along with circa-900sqm of retail space fronting Dominion Road, across four multi-level buildings and with provision for basement car parking.
This plan has been reviewed and approved by Auckland Council’s Urban Design Panel and the Environment Court.
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The land has three road frontages and is held in eight freehold titles. It currently supports multiple commercial buildings including factories, warehouses, shops and dwellings with tenants on short term leases, with many having demolition termination clauses, and returning indicative annual income of $405,275 per annum plus GST, as at 15th August 2023.
There are two zoning overlays across the site being Business-Local Centre, and Residential – Terrace Housing and Apartment Buildings, the latter being the highest density development overlay for a suburban town centre.
Offers for the project site are being called for via a deadline private treaty campaign closing 4pm Tuesday 3rd October through Gerald Rundle, Mike Adams and Alan Haydock of Bayleys Auckland Central.
This process will identify a shortlist of preferred parties to engage with Eke Panuku Development Auckland and to unlock the mixed-use potential of the site as Auckland continues to experience a housing shortage.
Bayleys took the landholding, with resource consent in place for a high-density mixed-use development, to market two years ago and a developer buyer was identified to deliver the consented project in line with Eke Panuku’s vision for the site.
However, that arrangement did not proceed, hence the property is now offered for sale again with some revisions to the original scope of the project which Rundle says should broaden the appeal of the site and its future potential.
“The successful purchaser will be required to work collaboratively with Eke Panuku to ensure that the essential outcomes, design guidelines and design review processes for this strategic development site are achieved and adhered to,” explains Rundle.
“While there is an option to use the current approved resource consent, redevelopment could take other forms. However, any redevelopment of the landholding will need to meet prescribed thresholds in place for the site which includes housing and commercial functions.
“There will be an agreed timeline for any project, and it is important to note that the this is not a landbanking opportunity, although there is significant holding income providing optional pre-development cashflow while plans are confirmed.”
Rundle says there is a clear expectation that housing will be delivered in a timely manner, along with commercial activation of the site to busy Dominion Road and part of the Valley Road frontage.
“The intended outcome is a quality, high-density, mixed-use development that respects the character and heritage of Dominion Road, with Mount Eden being one of Auckland’s oldest city-fringe suburbs.
“The landholding is in-zone for Epsom Girls Grammar and Auckland Grammar schools, is just 4km from the CBD, has strong amenity and good arterial roading and frequent public transport connections.
“With migration-fuelled demand and organic requirements for housing in Auckland showing no sign of letting up and putting significant pressure on existing residential accommodation options, it is clear that projects delivering optimal housing solutions are required for the city.”
Eke Panuku has previously been instrumental in partnership development projects at Ormiston Town Centre, Hobsonville Point and the Wynyard Quarter precinct.
- Article supplied by Bayleys
