A large portion of elevated pasture land, once part of a Waikato dry stock farm, can now become an upmarket boutique housing subdivision.

The site of about 12.8ha overlooking Paeroa, is on the market for sale with consents granted to subdivide it into low density residential housing sections.

The land has been subdivided off a bigger 302ha dry stock farm, which will remain in primary production use as a grazing block.

The greater block, and its residential subdivision portion, are adjacent to the former Paeroa racecourse, which sold into private ownership several years ago.

Advertisement

Since then, Paeroa racecourse has been subdivided into 600 smaller residential sections — with 90 per cent of the site's first redevelopment stage sold to future residents seeking to build new dwellings within the precinct.

The grassed block is being marketed for sale at auction on March 7, through Bayleys Hamilton and features in Bayleys' latest Total Property portfolio magazine.

Salesperson Josh Smith says Hauraki District Council has already moved property from a rural, to low density residential zone.

He says the latter exists to serve the needs of people wishing to live in a semi-rural setting, while having minimal involvement in farming activities.

"Hauraki Council has identified the demand for low density residential living on smaller blocks, and that such locations need to be provided," says Smith.

Being just on the outskirts of Paeroa, the site has a rural outlook, while still being close to social and recreational amenities.

Smith says the property borders one of the more sought-after parts of town, with views are out over greater Paeroa and the Hauraki Plains on the horizon.

"The sell-down of the nearby Paeroa racecourse sections has already demonstrated the demand for new properties at Paeroa.

"However, the Colin Dr block offers a completely different opportunity — hosting elevated sections, which on final subdivision, will be of considerably larger sizes than those on the plains."

In order to protect what was envisaged as the "exclusive and high-end subdivision", a future developer could implement covenanted building plans on the eventual sections.

"Covenants would ensure that the quality of builds undertaken would be of a like-for-like equivalent to neighbouring properties, thereby protecting land and home values.

"Home owners in the upper-price bracket are prepared to pay a premium for such neighbourhoods; including in Paeroa," Smith points out.

Paeroa is near the centre of the North Island's so called "Golden Triangle" — the economic area bounded by Auckland (about 109km to the north); Hamilton (about 71km to the west) and Tauranga (about 78km to the east).