Development Opportunity – Missing Tooth of Shortland Street.

Mollers Commercial Tower Visualisation

Mollers Commercial Tower Visualisation

This site at 28-32 Shortland Street until recently enjoyed a Resource Consent (now expired) to build a 5 star green office tower containing some 24,000 net lettable office space. Check out this property click here. Look through Queen City Laws other Real Estate listings click here.

The tower designed by a Mollers Architects contains some 24,000 m2 net of lettable office space in the Auckland CBD. Queen City Law can provide a lot of background information if required. Shortage of quality commercial office accommodation and limited new developments are currently seen to be factors pushing up rents. Warnings have started to emerge about impending rent increases. Shortage of supply and few new developments in the pipeline look likely to continue until early 2016 when a number of new buildings will be completed. CBD office vacancy levels over the six months to December 2013 have decreased to 10.2 per cent and this trend is accelerating into the first half of 2014. Non-CBD office vacancy rates have also continued to decline from a peak in December 2010 of 13 per cent, down to 9.5 per cent at December 2013. Office rent growth has been widespread across quality grades and geographic submarkets, and we predict growth rates of 4.9 per cent average in the CBD and 3.7 per cent average outside the CBD.

The New Zealand environment stands out from the wider outlook, according to CBRE’s latest Asia Pacific Office Market Outlook 2014 Report, which says global economic recovery is under way but growth expectations in Asia-Pacific are lower.Net absorption is expected to grow after nine quarters of decline, backed by the gradual improvement in the global and regional economy and positive employment sentiment. Demand for office space is expected to improve by 10 per cent this year, as multinationals expand into Asia, encouraging further growth. Auckland looks to have the highest total return outlook of any major Asia-Pacific office market this year, at 18.5 to 20 per cent, underpinned by having the highest capital value change of 12 to 13 per cent and the highest rental change, 7.5 to 8.5 per cent.

Auckland City is a former local authority district covering the Auckland isthmus and most of the islands of the Hauraki Gulf, in the North Island of New Zealand, which was governed by the Auckland City Council. On 1 November 2010 the council was amalgamated with other councils of the wider Auckland Region into the new Auckland Council. Auckland City was the most populous city in the country, with a population of 450,300 at 30 June 2010. Auckland City was, together with its neighbouring cities, part of the Greater Auckland area. As the term ‘Auckland’ may have referred to the local authority alone, to the whole metropolitan area, or even to the broader region, this may have led to ambiguity, since people from other parts of New Zealand or from overseas often did not draw any distinction; especially now that the metropolitan area has been amalgamated.[citation needed] In 2009, Auckland was rated the fourth-best place to live in the world, in human resources consultancy Mercer‘s annual survey.[2]

In the year to March 2009, Auckland City had 353,000 jobs, of which 26.3% was held by property and business services, as well as 65,655 businesses, making up 13.1% of New Zealand’s businesses and 16.2% of New Zealand’s jobs. Over the last five years of its existence, Auckland’s economic growth averaged 1.4% each year, higher than the average of the region and the nation. As of 2003 three of the ten largest companies in New Zealand (Air New Zealand, Fletcher Building, and Foodstuffs) were headquartered in Auckland City.  Many large corporations are housed within Auckland CBD, the central part of Auckland City, making the potential Shortland Street development a very desirable project. Air New Zealand has its worldwide headquarters, called “The Hub”, off Beaumont and Fanshawe Streets.
This development property could also be an apartment tower or a hotel. Check out this property click here. Look through Queen City Laws other Real Estate listings click here. Queen City Law are experts in property development check out a flipbook of our property offerings here .We have often been able to play an extremely hands on role in terms of a lot of these projects. We are experienced at representing off shore interests. This experience has given us a much deeper understanding of property development work and places us in a rather unique position- it also enables us to add direct value to development projects with a mark of distinction. We also able to assist in terms of due diligence programmes, ascertaining finance requirements and implementing such programmes. Recent Projects include: Acquisition of the Metro Centre, Resource Consent process for the project currently known as the Elliott Tower (Auckland CBD), and legal representation for many apartment developments and body corporates including Victopia. Click here to see a gallery of some of our recent construction projects. Click here for more on our recent projects.

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