Panuku is involved throughout the lifecycle of property, from buying, managing and selling property on behalf of Auckland Council and CCOs, through identifying when property is no longer required or when it can be used to better meet community needs.
This involvement means we are in a good position to make smart decisions and add value to council property assets.
As a development agency, Panuku Development Auckland’s structure is the first of its kind in New Zealand.
- We work across multiple locations and scales - from large long-term urban regeneration projects, to small projects on specific sites.
- We operate in a commercial way, but with good public outcomes. We make a profit and deliver returns to council, but at the same time ensure developments and community outcomes are positive and sustainable.
- Panuku has been established to provide leadership and unlock barriers to enable urban transformation to occur. We’ll pilot ideas to advance council objectives in affordable housing, housing for older persons and iwi partnerships.
- We have the backing of council finances, which allows us to borrow at low cost and obtain funding through Auckland’s 10-year budget process. We can structure the delivery of projects in a way that helps fund public good outcomes.
Development led by Panuku focusses on urban areas (or ‘brownfield’ locations) identified in the Auckland Plan and where there is a level of community need. A priority for us is helping to facilitate an increase in housing supply, particularly affordable housing and housing for the elderly.
We use our skills, knowledge and connections to pool together land and resources to rejuvenate town centres – creating the best outcome for Aucklanders. Our aim is to balance commercial objectives with community needs, making sure that developments are positive and sustainable for local neighbourhoods.
Because of the oversight we have through our property management function of around $2 billion of Auckland Council property, we are well placed to identify property that is underperforming and has strong development potential.
When identifying opportunities for development there are a number of criteria considered:
- Critical mass of Council land holdings (scale) and the ability to stage quicker wins with long term goals (impact). A key part of this is community readiness for change.
- Partnership opportunities, particularly with the Crown, but also within the Council family in agreeing joint objectives.
- Ability to leverage off previous public and private investment and consider future investment.
- Commercial proposition of the development site, or sites, and the market attractiveness.
- Location of areas that have excellent access to public transport.
Panuku has three types of development:
Panuku will ‘Transform’ locations by creating change through urban regeneration. Panuku will lead the transformation of select parts of our region; working alongside others and using our custodianship of land and planning expertise. The catalytic work Waterfront Auckland led at Wynyard Quarter is a great example of the transformation of urban locations.
Panuku will also ‘Unlock’ development potential for others. By acting as a facilitator; using relationships to break down barriers and influence others, including our council family, to create development opportunities. e.g. Papatoetoe Mall upgrade.
A ‘Support’ role where Panuku will ensure council is making the most of what it already has. Intensification is a key driver in the Auckland Plan. Panuku will support housing demands by enabling development of council-owned land. e.g Link Crescent, Whanagaraoa.
Panuku doesn’t do the development of these sites directly; however we act as the ‘master developer’ and look to form strategic partnerships with government, iwi, not-for-profit and private organisations to deliver projects. Part of our role is co-ordinating council infrastructure in these locations.
We’re also continuing the redevelopment of Auckland’s waterfront, in particular the Wynyard Quarter. This includes commercial, residential and marine development and new public open spaces.
Place shaping and development sit hand in hand.
With any development we need to ensure that it reflects the character and needs of the area. The place shaping team lead the master planning of a location to ensure it does just that.
Place shaping is creating the kind of places where people feel a strong stake in their communities and a commitment to making things better. It capitalises on a community’s assets, inspiration and potential, to create safe, well connected and attractive neighbourhoods.
Some of the key ingredients in place shaping include:
- Best practice project design and master planning: ensuring that developments make the most of the available land and the site opportunities, and that it aligns with planning objectives.
- Engagement and stakeholder involvement: working with the local community, local boards, iwi and mana whenua and other interested groups to ensure developments reflect the character and needs of the area.
- Sustainability: ensuring that developments are sustainable, including incorporating public transport, roading and pedestrian requirements and incorporation of public green space for all to enjoy.
- Economic development: creating vibrant, thriving town centres and neighbourhoods where people can work, live and play and new jobs are created.
A big part of Place shaping, is the concept of Place Making.
Place making is not just building or fixing up a space or the production of events and activation in public spaces. It is a much larger and all-encompassing activity that fosters the creation of public destination.
Panuku has become recognised for its successful approach to place making on Auckland’s waterfront and looks to build on that success across the region.
Panuku buys property on behalf of Auckland Council for development, roads, infrastructure projects and other service needs, which we call ‘acquisitions’. They brief us on the type and location of land that is needed for these projects and services, and provide us with a budget.
Panuku manages the process because of our extensive property expertise.
We mostly make acquisitions that are focused on the support of transport, open space such as regional parks and reserves, community projects, heritage buildings and stormwater requirements.
We purchase land on behalf of Auckland Council as part of the Future Urban Land Supply Strategy, to ensure that as Auckland grows we have the land we need to support parks, roads and services.
Under the Public Works Act, we are required to negotiate and pay fair market value compensation to property and land owners.
Once the property or land transactions are complete, it is transferred back to Auckland Council or Auckland Transport and used for the purpose it was acquired for. If the property is not immediately required for use, we often manage it on their behalf until it is needed.
An example of a recent purchase is a 78 ha property at South Head, Kaipara. This land will be used to boost opportunities to develop recreation activities at Auckland Council’s Te Rau Puriri Regional Park on the southern edge of Kaipara Harbour.
Primarily Panuku manages non-service properties on behalf of Auckland Council and Auckland Transport. These are generally properties that have been purchased for a future use such as road upgrades but aren’t currently required.
Our current property portfolio consists of more than 900 properties worth around $2 billion and includes a mix of:
- industrial sites and buildings
- retail tenancies
- cafes and restaurants
- residential property
Panuku manages around 1000 leases, which generate around $39 million annually. We also manage relationships with external landlords when council itself is the tenant.
Our aim is to manage these properties in a smart way, to generate income for the region and add value to council property assets.
Panuku manages a number of other joint-ventures on behalf of Auckland Council including quarries, forests and landfills.
Assets on the Waterfront
Within our property management portfolio we also manage a number of assets across the central city waterfront. These are slightly different as they are currently being used for the purpose they were intended.
Westhaven is the largest marina in the southern hemisphere and a jewel in the crown of the waterfront. In addition to the ongoing management and maintenance of the marina, Panuku leads the development of the space to further improve amenity and access for both berth holders and wider Aucklanders.
Purchased in 2009 for the people of Auckland and jointly owned by Panuku Development Auckland and the New Zealand Government, Queens Wharf represents an important part of Auckland’s history - and future. It is a place to fish, walk, admire the view and enjoy some of New Zealand’s best events.
Panuku Development Auckland manages the day to day operations on Queens Wharf including events in The Cloud and Shed 10. Panuku also leads the planning for the future development of the space.
Panuku manages around $2 billion worth of council property, which we continuously review to release land or properties that are no longer required by Auckland Council.
Once a property is identified as no longer being used or required for the purpose it was purchased it is known as ‘non-service.’ All non-service property goes through a robust multi-stage process to understand if there is an alternative need or if it is surplus to Auckland Council requirements and can be sold.
The multi-stage review process involves consulting with many groups, including Auckland Council departments, Local Boards, Ward Councillors, Mana Whenua and the Independent Māori Statutory Board.
Before any property is sold, it must be approved for sale by the Auckland Council governing body.
Sale of Auckland Council property
One of Panuku Development Auckland’s roles is the sale of Auckland Council property that has been declared surplus to council requirements. This process is called disposals.
Our dedicated team works hard to maximise the return to the ratepayers from these sales and release funds for other projects and service needs.
The properties which have been approved for sale may be:
- Sold on the open market through a robust commercial process. To view current listings click here.
- First offered back to the former owner of the property (or their successors in title) to fulfil the requirements of the Public Works Act 1981.
- Sold to an adjoining owner where it is the only practical option due to the characteristics of the property or where it provides the best economic return.
- Developed in conjunction with development partners where the objectives of improving the supply of housing or regenerating town centres can be met. For more information on current development opportunities click here.