A large vacant site for sale overlooking Dunedin’s Steamer Basin is poised for developers to create a standout project that adds to the area’s rejuvenation.
The nearly 4,000 square metres of freehold land on Wharf Street sits prominently within the harbour basin precinct which is spawning a lively mix of industry, offices, hospitality and housing.
The site’s industrial zoning permits an array of industry and port-related activities, along with ancillary and yard-based retail, and standalone car parking.
The land was previously earmarked for a multi-storey office building with an apartment and parking, under a now-lapsed consent.
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Bayleys salesperson Muir Gold said an allowable building height of 18 metres would enable developers to capitalise on upper-level views over the basin and inner Otago Harbour.
“Around 150 metres of frontage to Wharf Street assures any future building here, and its occupiers, of eye-catching exposure. Nestled on a key arterial road in a pivotal position where the CBD meets the harbourside industrial precinct, the location is second to none.
“Freehold landholdings with this scale and development potential are an exceptional rarity in this tightly-held precinct. For those prepared to engage some lateral thinking on maximising the site’s potential, this may well be the year’s deal,” Gold said.
The freehold property at 41 Wharf Street, Dunedin Central, is being marketed for sale by Gold and colleagues Rachel Jones and Robin Hyndman of Bayleys Dunedin.
It will be sold by way of a tender closing on Wednesday 25 September, and will not be sold prior.
Jones said a key attraction of the approximately 3,961-square-metre site was its position in a key industrial hub and an area that is fast evolving and diversifying.
“The Steamer Basin's strategic zoning and logistics access via main arterial routes have made it a sought-after location for industrial businesses.
"Its concentration of logistics, manufacturing, storage, freight and general warehousing operations underpins its reputation as Dunedin's premier industrial precinct.
“Additionally, the area has flourished with a mix of hospitality, commercial office developments, and residential conversions, all leveraging the stunning surroundings and unique location.
“Developers have envisaged further regeneration of this harbourside area as a vibrant destination for hospitality, visitor accommodation, shopping and new housing,” said Jones.
Hyndman said Dunedin City Council had in 2008 promoted a plan change called Harbourside which sought to rezone the Steamer Basin area and its environs into a full residential and commercial area.
“Later, a bold and elegant architectural vision of the redevelopment of the basin captured international attention. While both of these initiatives have lain fallow, they highlight the strategic location of the basin,” said Hyndman.
Rising commercial property demand and falling vacancies spelt strong fundamentals for development activity in Dunedin, he said.
“The city’s commercial real estate market is robust, with a steady increase in demand for space. The region has seen a surge in new businesses, particularly in the tech and healthcare sectors, and established companies expanding their operations. This growth has led to a decrease in commercial vacancy rates, reflecting a strong and stable market.
“Dunedin’s strategic location and excellent infrastructure further enhance its appeal as a commercial investment destination.
“Several large-scale projects are further bolstering city infrastructure and economic activity, including a $1.4 billion new hospital, the University of Otago's $370 million campus redevelopment, KiwiRail's Hillside Workshop development, the Harbour Arterial Route and Central City/George Street upgrades,” Hyndman said.
- Supplied by Bayleys
