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News Release

CHRISTCHURCH

​Rare opportunity to purchase significant land area near Westport

Closure of cement plant brings Holcim assets to market


 

 

Significant piece of industrial land for sale /new-zealand/en-gb/news/848/significant-piece-of-industrial-land-for-saleChristchurchSignificant piece of industrial land for sale
Historic West Coast Hotel for sale/new-zealand/en-gb/news/849/historic-west-coast-hotel-for-saleChristchurchHistoric West Coast Hotel for sale

​​Cape Foulwind web.jpgAn extremely rare property opportunity has come to market at Cape Foulwind, near the South Island town of Westport.

The land was developed in the 1950s as a cement plant by Holcim, which is a leading New Zealand supplier of cement, aggregates and ready mixed concrete. It operates throughout New Zealand at more than 30 sites.

A change in strategy and the creation of two new import terminals at Auckland and Timaru for bulk imported cement means Holcim no longer requires the Westport facility and creates a unique opportunity to acquire a large parcel of land with significant development potential.  Holcim is looking to identify suitable groups that have the foresight and creativity to take on the custodianship of such a diverse landholding with a potential to develop it in a manner that is both sympathetic to the local environment and which reinvests into the community and the region. 

Holcim's portfolio of assets is being marketed by JLL agents John Binning and Chris Harding, through an international expression of interest campaign.

"This is a complex property and the kind of opportunity that only comes along once in a property cycle," Binning says.

The portfolio of assets available includes the plant site, quarry, packing plant site, water treatment plant, farm land, staff housing area and ground lease and wharf silos at the Westport harbour. Potential purchasers can express their interest in the components or the entire portfolio.

"There has already been various and diverse interest in several of these assets," Harding says.

Holcim intends that the majority of the plant site be demolished to ground level, with five buildings remaining for industrial and office use.  All zoning and consents are in place for the existing industrial activity, which is serviced by the Okari Water Supply, which provides a reliable high quality water supply to the plant site.

The quarry is part of a 186 hectare parcel of land on the western side of Tauranga Bay Road.  The quarry itself is still in use and there is further aggregate that could be taken from it for commercial purposes.  The quarry adjoins Tauranga Bay and the Cape Foulwind walkway, with spectacular views of the mountains and coastline.

The buffer land for the plant and quarry includes a number of arable rural blocks totalling more than 200 hectares.  This land is suitable for dairy and dairy support.

The land around Larsen Street and Cape Foulwind Road comprises 10 three-bedroom detached houses, a larger manager's residence and approximately two hectares of surrounding land.  There is another 14 hectares of rural land to the west. The area has been identified as suitable for a possible subdivision into residential properties and lifestyle blocks with spectacular sea views.

The packing plant site is an 8.6 hectare property on Nine Mile Road, on the rural outskirts of Westport. It includes a rail siding, storage and office buildings.

The Okari water treatment plant comprises a water treatment station and house on 3.455 hectares, with water rights and access legally secured.

Holcim also has a purpose-built cement loading facility on 0.4 hectares of leased land in the main port at Westport. The ground lease could also be of interest to a potential purchaser.

Westport has a population of 3,900 residents and the local economy is driven by mining, dairy farming, fishing, and tourism.

Given the climate and high rainfall, dairy farming on the coast has grown strongly and is a major contributor to the Westport economy. The local dairy co-op Westland Milk Products, located in Hokitika, remained independent when most others merged with Fonterra in 2001. It has more than 425 shareholders on the Coast. 

JLL's forecasts show a steadily improving profile for world economic growth over the next two years and Asia-Pacific is expected to maintain its position as the fastest-growing region globally.

New Zealand is following the global and regional trend. The economy is growing at an annual rate of 2.3 percent, supported by a strong tourism sector, low interest rates and high net immigration.

Agriculture directly accounts for around 4 percent of GDP in New Zealand. Downstream activities, including transportation, rural financing and retailing related to agricultural production, also make important contributions to GDP. Dairy farming is the predominant agricultural activity, followed by beef and sheep farming and horticulture.

Tourism is one of the largest single sources of foreign-exchange revenue and a major growth industry in New Zealand. In the year to March 2015, international tourist expenditure in New Zealand amounted to $11.6 billion, an increase of 17.1% on the previous year.

The expression of interest process closes on 14 July 2016.