An entity established by the NZ Super Fund and the owner of one of New Zealand's largest construction businesses have bought Auckland's Formosa Golf Resort and will amalgamate that with a neighbouring site.
A joint announcement from the fund and Russell Property Group which owns major national builder Dominion Constructors, said a partnership, Beachlands South LP, had been formed.
That would buy 250ha of land: the 170ha club at 110 Jack Lachlan Drive and a further 80ha at 620 Whitford-Maraetai Rd already owned by an associate of Russell Property Group. The properties are collectively valued by Auckland Council at $81.5 million.
No price was announced and no plans revealed.
Will Goodwin, the fund's head of direct investments, said: "The new venture provides the fund with exposure to an asset class that it has been evaluating and exploring for some time. This investment creates a high-quality landholding that we will look to add value to over time.
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"We are a long-term investor and this acquisition signals our confidence in Auckland's future growth and commitment to the region. In time we will engage with the community and Auckland Council about what kind of high-quality masterplan and associated infrastructure improvement could work for the area," he said.
Brett Russell said the partnership enabled the consolidation of a strategic waterfront site for a considered, long-term plan.
Russell will manage the land and continue to operate the golf club for the foreseeable future while the partnership considers future options, the statement said.
"While there have been a number of proposed development concepts over the years, no definitive plans are currently in place and any future plans would be developed in close consultation with the local community, the council and all stakeholders," Russell said today.
Last year, the fund joined with Russell to invest into a $300 million hotel portfolio which includes two properties in Auckland and one in Christchurch.
Four Points by Sheraton and Adina Auckland Britomart in Auckland and the BreakFree Hotel in Christchurch were included. A new entity, established by the Russell Group and Lockwood Property Group, aimed to create a platform for further investment in New Zealand's tourism sector.
In December, the council said it had filed 17 charges of sewage dumping against three people at the club.
Steve Pearce, the council's manager of regulatory compliance, said the defendants were of the Formosa Golf Club.
"Auckland Council has filed 17 charges against three defendants relating to discharges of wastewater at the Formosa Golf Club in Beachlands, East Auckland. The defendants have been summoned to appear at the Manukau District Court on January 22," Pearce said.