Scott Pritchard, Precinct Properties chief executive, explains how apartments are being planned there. Video / Sylvie Whinray
The 1944-space car park offering Auckland’s cheapest inner-city rates will be demolished, replaced with offices and probably a new transport terminal but for the first time, its developer has told apartments are being planned too.
Enjoy the $4.50/hour rate while it lasts because, in place of that old seven-level popularcar parking building, the city’s ritziest newest tower is being planned.
But it’s being done very quietly so you might not even know it’s happening.
Scott Pritchard, chief executive of Precinct Properties, which is negotiating a deal to redevelop the Fanshawe St block with other parties, this week said apartments were part of the mix his business was discussing building there.
He was this week disparaging about the Downtown Carpark, saying even though it had more than 1900 spaces, he had seen signs showing 1200 of those were free at any one point in time which indicated in his opinion, a lack of popularity and not good use of the site.
When Precinct and its partners demolish the building, Pritchard indicated they plan something spectacular - if you have the money to be able to afford it, although he didn’t add that bit.
In a rare interview on the topic, he told the Herald: “What we are definitely seeing in an Auckland and Wellington context is demand for high-quality office space and we’re also seeing demand in a longer-term sense for high-quality residential so as a business, I can see us doing large-scale development projects. The Downtown Carpark is a project we’re continuing to work on in negotiations with Eke Panuku and Auckland Council and Auckland Transport.
Pritchard in front of the company's holdings: almost two downtown waterfront blocks. Photo / Michael Craig
“We’re really excited about that opportunity. We’re not at a phase where we’re unconditional yet but we have signed terms with them and agreed terms so in another short while, we’re hoping we can let the market know what we plan to do. We’d like to give Aucklanders and our shareholders the opportunity to see what our plans are. We see it as a great site for a large mixed-use development which will really continue to enhance the quality of the city.”
Precinct has struck a deal with multi-unit residential developers Lamont & Co in its first step into the housing field: “We have joined forces with brothers Tim and Andrew Lamont, founders of the Auckland-based private equity real estate developer Lamont and Co. The multi-unit residential development business will be jointly owned by Precinct and Lamont and Co and will focus on the delivery of high-quality multi-unit residential development initially in Central Auckland,” Precinct said in January.
Car parking for just $4.50/hour in this building - going soon. Photo / Michael Craig
Pritchard this week cited the Viaduct, Britomart and Wynyard Quarter as outstanding examples where extensive redevelopment and new building had resulted in great new and refurbished buildings.
“If I look at the Downtown Carpark, that is a remarkable opportunity for the city to continue to become a truly world-class global city.”
The Downtown building has 1944 parking spaces, of which 1148 are for short-stay parking and 796 for lease. The building sits on a 0.65ha site on the corner of Customs St West and Lower Hobson St, behind the M Social Hotel on Quay St.
Its council land valuation alone is around $115m.
When its sale was being discussed two years ago, several councillors wanted to make short-term parking a condition, including John Watson, Wayne Walker, Chris Fletcher, Sharon Stewart and Greg Sayers.
Sayers said at the time that the council is privatising a public car-parking building and relinquishing its ability to control parking prices.
Public transport advocates Greater Auckland said the council agreed to put the car park on its 6400sq m site up for sale after Covid wreaked havoc on its budgets.
Last year, it was announced Precinct would work with Ngāti Whātua Ōrākei to redevelop a valuable car park site a block from the waterfront. Not everyone was happy about that, some questioning how the business with such a vested stake in the block was allowed to win the right to redevelop it.
Pritchard this week emphasised matters had not been finalised yet and discussions were ongoing.
He told the shareholder annual meeting last year that Precinct and Ngāti Whātua Ōrākei were working on plans for the building after Precinct has already been picked as the top contender.
The publicly-owned site is one of the only ones in the block the giant landlord doesn’t own. No plans have yet emerged in the new joint venture scheme but Pritchard is indicating an announcement won’t be far off.
Precinct’s HSBC Tower and its Aon offices are on the block between Lower Albert St, Quay St, Lower Hobson St as well as its PwC Tower and 1 Queen St, under redevelopment ready for new offices for Bell Gully as well as the InterContinental Hotel.
The seven-level car park will be demolished and a skyscraper to rival the $1b Commercial Bay PwC Tower could be developed on the land, the Herald has previously reported.
Anne Gibson has been the Herald’s property editor for 23 years, having won many awards, written books and covered property extensively here and overseas.
