Developers team up to flex muscle

By ANNE GIBSON

Auckland developers will complete $1.6 billion of new building projects in the city in four years.

Kerry Knight, a solicitor with law firm Knight Coldicutt, estimated the developers had built $800 million of new projects in the past two years and had at least that much work planned for the next two years.

But the industry also had its problems, he said, citing law reform issues and financial problems in the business.

In response to this, the investors and developers have banded together to form the Auckland Property Group.

"The group is a response to frustrations with the Resource Management Act, the lacklustre performance of the New Zealand property market, the building industry collapse and other property-related issues," Knight said.

John Parker of Auckland developer Parker Brothers has been elected spokesman on property issues.

Meetings and administration have been run through Knight Coldicutt's Princes Wharf offices until permanent staff are employed.

"This group has been responsible for more than $800 million worth of projects in the past 24 months and has a similar dollar value planned for the next 24 months," Knight said.

"That turnover of dollars translates to more than 15,000 jobs, plus all the associated flow-on work for banks, solicitors, accountants, quantity surveyors, engineers, architects and obviously all other suppliers to the building industry.

"The new group represents a major New Zealand industry leader and as well as having the ability to alter the visual landscape through the various projects, there is a huge effect on the economies of Auckland and New Zealand," Knight said.

Members are Andrew Krukziener of Krukziener Properties, Colin Reynolds of Symphony Group, David Henderson of Kitchener Group, Fraser Heaven of New Haven Property Group, Greg Wilkinson of Wilkinson Property Group, Jamie Peters of Starline Group, Jim Speedy of Covington Corporation, John Parker of Parker Brothers, Nigel McKenna of Melview Developments, Rick Martin of Cornerstone Group, Tim Manning of Taradale Properties, Tony Gapes of Redwood Group, Paul Kirwan of Kirwan Investments, Ralph Vuletic - for whom no company was given on the list of members - and Knight.

National Party president Michelle Boag and environment spokesman Nick Smith addressed the group's meeting last week, talking about problems with the Resource Management Act and how National would amend it.

Smith said National wanted to redefine the purpose of the legislation away from sustainable management - which National says is too passive - and change the purpose to sustainable development, to de-politicise the consent process, discourage vexatious objections, clarify treaty consultation obligations, integrate heritage provisions, strengthen property rights, improve timelines and reduce complexity and duplication.

National's outline of policy ideas to fix the act would include regularly auditing the performance of councils, improving Environment Court efficiency, making greater use of national environmental standards, changing the Department of Conservation's focus from regulation to education, promoting more unity in district and regional council functions, getting more focus in district and regional plans and pushing mediation to resolve disputes by establishing the Resource Management Mediation Service.