A new housing development in the heart of Avondale is set to offer more affordable homes in the area and add significantly to the ongoing regeneration of the Western Auckland suburb.
The 3498 square metre site in Racecourse Parade is on land previously occupied by the Suburbs Rugby Club overlooking Avondale Race Course, and was included in the fourth batch of Special Housing Areas designated by the council last year.
Architects plans have already been drawn up for the level vacant site – showing the development of 25 new two and three-bedroom homes in a terraced format. The property is part of the Racecourse Parade masterplan which has a vision to create a diverse range of terraced and apartment dwellings and community facilities supporting the growth and regeneration of the Avondale Town Centre.
Auckland Council Property Ltd (ACPL) CEO David Rankin says this is an example where ACPL has worked closely with other council departments to release land for housing in an area identified as a priority area for regeneration.
The site, previously home to the suburbs rugby club, is an approved Special Housing Area. It will be developed to provide quality housing with a number meeting the affordable criteria.
“We hope the development will help give other land owners in and around the town centre the confidence to develop their own land and continue the regeneration process for the benefit of the local community”, Mr Rankin says.
“There is a requirement that a portion of the homes to be built within the Racecourse Parade subdivision will be ‘affordable’ – that is costing within 75 percent of median property values for the surrounding area.”
Latest Real Estate Institute of New Zealand sales data shows that the median sale price for properties in the former Auckland City catchment area, which includes Avondale, was $850,000.
Mr Rankin said the council had been meticulous in getting the Racecourse Parade site to its current ‘brownfield’ state. Suburbs Rugby Club moved its clubrooms to Shadbolt Park in New Lynn last year, and the Race Course Parade site was demolished earlier this year, along with a neighbouring block of aging commercial premises.
Clearance and preparation of the site has already been carried out. Mr Stanley expected that on concluding the sale and purchase agreement, the site’s new owner would lodge planning consent applications by the end of the year.
That application could be fast-tracked through the council’s appropriate channels - enabling building to begin on the project in 2016, with a potential completion framework of nine to 12 months after that.
He expected the Avondale site to draw strong interest from experienced property developers already working on medium to large-scale residential projects in the Greater Auckland region.
“This strategic block of land comes onto the market at a time when both the Government and the council are seeking solutions to the city’s ever-growing housing demands,” Mr Stanley said.
“Suburban intensification is occurring in parallel with the city’s population growth. Avondale, with its proximity to the rail corridor and access to the Waterview motorway link under construction, is well positioned to benefit from major infrastructure improvements while also remaining conveniently located near the city.”
Sales colleague Mike Adams said that until tenders were received, it would be difficult to place a value on the site.
“It’s the old ‘how long is a piece of string?’ scenario. Different developers have different operating dynamics – such access to funding, property spec’s, resourcing, business models, and of course return on investment. With such a widely varying set of criteria it’s nigh on impossible to put a value on the opportunity,” Mr Adams said.
“The instructions from the council are clear though. This is to be a quality development - quality in design, quality in materials, and quality in workmanship.”
For further information on the sale of the Racecourse Parade land, or images of the property, contact at Bayleys salesperson Dave Stanley. Telephone 021 326 820.