Rotorua neighbours of former reserve reflect on its sale, councillor questions price

Tauhara North Kāinga Limited bought the 6422sq m Clayton Rd section for $750,000 in June. Photo / Laura Smith

The neighbour who mowed a former Rotorua reserve set to be used for housing says it is a shame to see the “godsend” go – but “progress is progress”.

Geoff Bracken has fond memories of taking care of the Clayton Rd land over the 12 years he has lived next door.

Rotorua Lakes Council declared it surplus land in 1982, and two years later revoked its status as a reserve.

It sat vacant for decades, occasionally used for grazing, and in 2022 the council decided to seek a partner to develop it.

Tauhara North Kāinga Limited bought the 6422sq m section for $750,000 last month.

It plans to build 10 affordable, three-bedroom, papakāinga-style rentals in a project co-funded by the Government. It received $3.58 million and a sign at the property stated it expected the development to be complete by June 30, 2025.

‘A little godsend’

From the back of his property, Bracken had a view of the section, its trees and the grass he mowed for years.

“Progress is progress” was his view of the development.

That did not mean he was not disappointed the landscape would change – it may not be a formal reserve but he said to the community, it was.

“It’s a bit of a shame to see it go, it’s the only green space we’ve got.”

He recalled summers of waterslide set-ups, neighbour-led planting days and clearing the blackberry.

“It was a bloody wilderness … we made a lovely little park of it.”

Bracken said it was “a little godsend” during the Covid-19 pandemic, for children to come and play.

Tauhara North Kāinga Limited bought the 6422sq m Clayton Rd section for $750,000 in June. Photo / Laura Smith

When he learned of the development he initially worried it would be transitional housing, but said the developer had visited neighbours and advised it would not be.

He said he thought the designs were good.

Another neighbour, who did not want to be named, owned multiple properties in the neighbourhood.

She said the first time she was aware of any plans was when she saw geotechnical work happening and the developers came around. If she knew the greenspace might change when she bought the properties, she said her plans for them might have differed.

The agenda for the 2022 meeting reported community consultation would have been done in 1984 as part of the reserve revocation process. As the land was freehold and not reserve, there was no further requirement for the council to consult on the land’s disposal.

The resident said Tauhara was “really good” and had emphasised the houses would be for working families.

She said there were houses going up “in every suburb”. She said she would ask the developer about security and noise-proofing measures as the residents’ parking would border her property.

Tauhara North Kāinga Limited was approached for comment.

According to Google Maps, there are two reserves within a 15-minute walk of the Clayton Rd neighbourhood.

Questions raised on sale price

Councillor Robert Lee questioned the section sale price at a community and district development committee meeting last week.

“Looking at the properties in the area, it doesn’t seem like $750,000 is a good deal for the ratepayers of Rotorua for 6422sq m,” he said.

Community and district development group manager Jean-Paul Gaston said the short answer was the council made sure to get an accurate valuation on a property.

The Property Disposal Policy dictated the price range in which the land could be sold in relation to its value.

“I’d go further in saying that land is actually quite constrained.”

Gaston detailed significant slopes on the section and that a council sewer pipe went across it.

Rotorua Lakes Council community and district development group manager Jean-Paul Gaston (right). Photo / Laura Smith

“All of those affect the valuation and ultimately the sale price.”

The council’s application to subdivide the section into five lots was granted in 2020. Staff recommended in 2022 the lots instead be sold to one developer. Medium-density residential standards were introduced that month.

A 2022 land valuation of the five lots by Telfer Young produced a total value of $1.37m

It was noted at the time of the 2022 council decision to dispose of the land there would be risk in selling the section as five lots, that the purchase price would come under the market valuation.

The council approved the decision, noting this risk.

A council spokesperson said as part of the expression of interest process, a new valuation was commissioned on the section in July 2023, producing a market valuation of $750,000. The actual sale price was based on this.

Laura Smith is a Local Democracy Reporting journalist based at the Rotorua Daily Post. She previously reported general news for the Otago Daily Times and Southland Express, and has been a journalist for four years.

- LDR is local body journalism co-funded by RNZ and NZ On Air.