Developers debate city centre plan

The deadline for submissions on a contentious Hamilton City Council bid to rejuvenate the heart of the city has been extended, Waikato Times business editor Nicola Boyes reports.

The Property Council of New Zealand (PCNZ) is establishing a subcommittee to investigate Variation 21 and has applauded the Hamilton City Council for extending the deadline for submissions.

Developers and property owners in the city have said they are preparing for a legal battle over the variation, designed to rejuvenate the city centre and halt the growth of retail and office developments outside the City Centre Zone and newly created Central Commercial Services Zone. Submissions on the proposal were to close on November 16 but the Hamilton City Council has said it will extend the deadline until February 1.

Developers were gathering this morning to discuss the variation at a meeting closed to the media.

Tainui Group Holdings chief executive Mike Pohio said Variation 21 was the No1 priority for TGH. It had sought advice on the variation and was hoping to hear back this week.

TGH, which owns The Base would be one of the hardest hit if the proposal went ahead.

Tainui has invested $100 million at The Base and has committed to spending another $100m. There is still 10 hectares of land to be developed on the site which Mr Pohio has said will be almost impossible under the changes.

The variation makes the development of office space of more than 250 square metres or retail space of more than 150 square metres in the General Commercial Services Zone a discretionary activity which requires resource consent. In the industrial zone it would be non-complying.

Perry Group property manager Tony McLauchlan said he would attend this morning's meeting. He said people were pleased the council had extended the submission deadline.

"It's quite helpful for everybody."

He said there were a diverse range of views on the proposal and the first objective had been to seek an extension on the deadline for submissions but the council had already confirmed that.

Most people supported the regeneration of the central business district and using industrial land for industrial purposes, he said, but many of the major arterial routes in the city were zoned industrial so maybe it was time developers and the council looked at what was best for the city in those areas.

PCNZ Waikato President Graham Dwyer said the council was in the process of establishing a subcommittee to look at Variation 21 and make a submission to council on it.

He said members had hundreds of millions invested and it was important the time was taken to work out how the variation affected everyone.

The subcommittee would be made up of people with a number of views, he said.

Members would be confirmed in the next couple of days. He said the PCNZ was happy the council had extended the submissions deadline.

PCNZ Waikato executive member Robert Dol said everyone agreed the CBD needed rejuvenation.

"The council is trying to deal with an issue it has got but Variation 21 is not a good idea. From a personal point of view it has gone from one extreme to another."

He said the management of industrial zoned land had been flexible but if the variation went ahead it would be difficult to do anything.

There are some who supported the proposal. Malcolm Barrett who owns retail and office space in the city said there was a silent group out there who supported the variation.

He said it was also about protecting ratepayers' investment in the city centre.

He said large format retail was fine but believed The Base had gone too far. "They are cherry picking the best retailers out of the city centre," he said.

- © Fairfax NZ News