Construction is underway on an innovative new residential development for Hobsonville Point that includes a number of long term rentals and is funded by NZ Super Fund, Ngāi Tahu Property and New Ground Capital.
The 208 home development, which was announced in December 2015, was the initial step for Ngāi Tahu Property into the Auckland market and is the first direct property investment for the NZ Super Fund. First homes in the development will come on the market in a few months’ time.
Kerepeti, as the development is now known, is located across two one-hectare super lot sites called Kerewhenua (111 homes) and Uku (97 homes) in the well-established master planned Hobsonville Point community 20 minutes north west of the Auckland CBD.
NZ Super Fund and Ngāi Tahu Property are each investing 48% of the capital required for the development, with New Ground Capital contributing the remaining 4%.
Each super lot will consist of a mix of apartments, terrace homes and walk up apartments based on a masterplan by Context architects. It will be built by four local building companies - Classic Builders and Naylor Love (Kerewhenua site) and Jalcon Homes and Haydn & Rollet (Uku site).
Around 50% of the 1 to 4 bedroom properties will be priced under the Auckland median house price and 30% will be priced in keeping with the Hobsonville Point affordable homes Axis programme.
Around three-quarters of the homes will be available for sale as they are developed, with 47 of the homes to be retained and made available as long-term rental properties to be managed by New Ground Capital.
Anyone can apply to rent one of these homes once completed, with lease terms of up to seven years to provide security of tenure, whilst still allowing leaseholders to shorten their lease should their circumstances change.
David Kennedy, Ngāi Tahu Property Chief Executive, says it is exciting to see physical works now underway on what will be a significant residential development for the area.
“The shared vision for this development was to ensure public and iwi funds are reinvested into infrastructure for the long-term benefit of New Zealanders – those who live there and the investors themselves.
“With building of terrace homes and early foundation works for the apartments now starting on both of the superlot sites we are on the way to ensuring a broader section of the market, be they renter or homeowner, can have a quality place to live and enjoy access to all the amenities and lifestyle on offer at Hobsonville Point.
“We expect the new long term rental properties to be listed on newgroundliving.co.nz in the 3rd quarter of this year”.
Mr Kennedy thanks the development partners involved who bring significant expertise and financial strength to the table. The construction programme is expected to progress relatively quickly, with the first homes due for completion by early next year. The development as a whole is due to be completed by the end of 2018.
The first homes are expected to be available for sale off-plan from September this year and will be sold through Colliers International.