A $50-million CBD skyscraper development is expected to set a new benchmark for the city and attract more businesses to Tauranga.IMAGE/SUPPLIED
Plans for a $50-million skyscraper including retail, offices and luxury apartments have been unveiled for Tauranga's CBD.
The development will set "a new benchmark for the city" and attract more businesses to Tauranga, the project leaders say.
The current building at 2 Devonport Rd has been earmarked for demolition beginning in February to make way for the state-of-the-art, contemporary 12-storey tower with two underground parking levels.
A consortium of Tauranga entities - including Realty Group chairman Richard Cashmore, parties related to Craigs Investment Partners and members of the Carr family who owned the property - have taken on the project.
Construction is expected to start mid-2018 with completion planned for 2020.
The architecturally designed high-rise would be split into seven levels of commercial office space, one level of premium retail space, one level of dining, and three floors of nine 300sq m luxury apartments with balconies and views of the city, harbour and Mount Maunganui.
Consortium member Mr Cashmore said it was "a step forward for our CBD and our region".
"We believe this will not only serve the practical needs of all parties involved, but also be the next major step forward in transforming Tauranga into a business hub. A building of this size and quality is an exciting prospect."
Craigs Investment Partners executive chairman Neil Craig said it would likely take on naming rights of the building and occupy the top two floors of commercial space to keep up with business growth.
The company was committed to the CBD and 170 staff were likely to move into the building, he said.
"We wanted a design that was special, parking for clients and something with a profile."
Award-winning architect David Wingate, of Wingate Architects, said the 14000sq m site would be a key address and have a contemporary blueprint with stunning views from the apartments.
"The design is contemporary and humanistic, so it's not minimalist. There will be lots of timber-rich materials and the height is important so where we can we will try to get as much volume into the structure as possible. The entry lobby will be a statement with a hotel sort of feel to it."
The middle three floors would also accommodate yet-to-be leased office tenants, with the street-level and first floor configured into a mix of high-end retail and food and beverage tenancies.
Bayleys Tauranga manager Dickie Burman said the company was already building up a portfolio of interested parties with potential commercial, retail and hospitality operators.
"We anticipate that the book will be full by the final quarter of this year, at which point we'll be sitting down with the developer to look at the most co-efficient options for floor space."
Mr Burman said the building would accommodate more than 450 workers.
Priority One's business and investment attraction manager, Mark Irving, said confidence in the city centre was "accelerating" and "a project of this magnitude would further reinforce the growing confidence and belief in the reshaping of the CBD ... and will no doubt set a new benchmark".
"It will contribute to more businesses choosing to locate in the city centre from both within and outside the region and more people living in the city centre. This will see an increase in foot traffic 24/7 which will be the catalyst for other private- and public-sector investment to support this growth.
"The development of high-end apartments will be great for the city centre ... with the flow-on effect being that hospitality, facilities, services and other offerings will grow and establish in the CBD to support the increased residential population."
Priority One figures show more than $115 million has been invested in city-centre developments in the past three years, with nearly $62 million in building consents issued for CBD projects in the last year.
Tauranga City Council chief executive Garry Poole said developments "like this are critical towards creating a vibrant, safe and successful city centre".
"New developments will bring more people and high-value businesses to the city centre, helping to achieve council's aspiration to become an internationally competitive city, creating a higher standard of living for all."
Building by the numbers
12 floors
14,000 square metres of floor
space
9 luxury apartments on three
floors
Premium retail stores and office
space on 7 floors
Dining on one floor
More than 450 workers likely to
fill the building