The number of new homes issued building consents has increased in the last few months. The Tauranga City Council's latest figures show 125 homes were approved in October. In September, 76 homes were issued consent. In August, there were 85 new builds approved. But there is one area of town where new builds are popping up left, right and centre. Property reporter Zoe Hunter talks to the experts to find the reasons for the big jump in new builds.
The building of 125 new homes have been approved in Tauranga - most of them in Mount Maunganui and Pāpāmoa.
Local real estate agents say Pāpāmoa has plenty of land to build on and more apartments were popping up in Mount Maunganui.
Subdivisions are becoming available for construction and people are also more likely to build at this time of year, according to the experts.
Tauranga City Council's latest building consents report showed nearly $45 million was approved for 125 new homes in October.
The majority of consents were issued in Mount Maunganui and Pāpāmoa where $27.4m worth of consents were approved for 81 new builds.
In Ōtūmoetai and Bethlehem, $12m was approved for 29 new builds and $5.5m for 15 new builds in Te Papa/Welcome Bay.
The report showed a major jump in the number of consents issued in the last two months from the $32m approved for 76 homes in September and the $30m for 85 new homes in August.
General manager of Tremains Bay of Plenty and Waikato Anton Jones said it wasn't surprising to see the majority of consents issued in Pāpāmoa and the Mount.
Jones said Pāpāmoa had plenty of land compared to everywhere else in the city, while a lot of apartments were being built at the other end of the beach in Mount Maunganui.
City council issues $32m of consents for 76 new homes
However, Jones said the increase in building consents could also be simply put down to timing. "The market is starting to pick up. There are signs of life."
Heath Young, chief operating officer of Realty Group, which operates Eves and Bayleys, said this time of year was popular to build.
"The spring and summer were typically more conducive to building and completing residential properties, which could explain the spike in building consents approved," he said.
Young said the property market had also had its typical spring lift in the past two months.
"Listing activity is up and there are plenty of buyers attending open homes and in the auction rooms," he said.
Tauranga Harcourts managing director Simon Martin put the jump in building consents down to the timing of subdivisions becoming available and confidence in real estate due to low interest rates.
"What we are seeing is an increase in buyer activity, which is similar to the building activity because of those low interest rates and subdivisions are becoming available to build on," he said.
OneRoof editor Owen Vaughan said the reputation of new builds had changed "180 degrees" in a relatively short period of time.
"Go back 20-25 years and the reputation of new builds was poor, driven by the leaky homes debacle and poor building standards and unplanned subdivisions with no amenities," he said.
Now, Vaughan said developers were embracing master-planned communities that set higher design standards for street-scapes and the houses within them.
"The rising value of new builds prove Kiwis want to live in well-built and well planned new homes and neighbourhoods," he said.
Major consent applications issued valued more than $1 million
17 Owens Place
- 72 townhouse development (Stage 3) - 20 townhouses. $4,860,000
242 Grenada Street
- Construction of new Lakes Pavilion. The building works include a large hall, kitchen,
storerooms, 2 bathrooms, service court and decks. $1,200,000
- 8 single level villas as attached duplexes - 2bedroom with attached garage $2,500,000
65 Pitau Road
- New two-storey dwelling with attached triple garage and retaining walls. $1,300,000
2 Pacific View Road
- New 3 storey dwelling with 4 bedrooms, 2 double garages and a spa pool. $1,000,000
166L Puwhariki Road
- Seasonal worker accommodation units and amenity facilities $1,250,000
36H Macdonald Street
- New office fit-out in an existing building, including reconfiguration of kitchen and toilet areas $1,000,000
1 Whakakake Street
- Stage 2 clean rooms alterations to existing manufacturing warehouse. $2,000,000
41 Taitimu Road
- Stage 1 Consent for Extension to an existing purpose-built cool store and a new implement shed with associated services. $5,450,000
320 Chadwick Road
- Proposed addition to existing commercial building to create new office space $1,600,000