$10 million worth of commercial building consents were issued in the past two months alone. Photo / Ben Fraser
$10 million worth of commercial building consents were issued in the past two months alone. Photo / Ben Fraser
Commercial building consents in Rotorua have hit the highest level in at least five years, with more than $65 million worth issued in the past 12 months.
The value is at its highest in years, and in the past two months alone $10 million worth of commercial building consents havebeen issued - including $4.2 million worth of work on the new Countdown supermarket at Fairy Springs and a new $1 million vet clinic in Reporoa.
The value of commercial building consents reached $65 million for the 2014/2015 financial year (which ended June 31), $25 million more than in 2013/14.
Residential building consent values also skyrocketed, up to $60 million for the last financial year compared to just over $39 million the year before.
Deputy Mayor Dave Donaldson said investors were showing a lot of confidence in Rotorua, "committing to some significant capital expenditure which could also attract other investors looking for opportunities."
New countdown supermarket development on Fairy Springs Road Photo/Ben Fraser
He said there were some sizeable projects under way and a "lot of positivity" within the local business and tourism sectors, with a raft of new developments either under way or announced adding to an overall picture of a district heading in the right direction - something that hadn't been seen for some years.
"Investors are showing a lot of confidence in Rotorua right now, committing to some significant capital expenditure which could also attract other investors looking for opportunities."
Planned projects include the entertainment and retail development on Te Ngae Rd, expansion at Red Stag, the redevelopment of the old Tachikawa mill and Pukeroa Oruawhata's two new projects - the recreation, lifestyle, visitor and retail development at the eastern end of the Rotorua Lakefront; and Pukeroa Oruawhata's newly announced partnership with The Friendly Group, to establish a spa hostel at the Lakehouse site above Ohinemutu.
Among the consents issued in the past two months is for The Vet Club's new $1 million vet clinic on Settlers Rd.
Work started last month with the new facility due to open in December. Chief executive Craig Kusabs said it had been planned for about two years.
Mr Kusabs said the new facility would benefit the entire Reporoa community with a boardroom available for community usage.
The Vet Club already has a premises in Rotorua and had recently opened a new facility in Taupo. The Reporoa facility was a sign of confidence in the community, he said.
Chamber of Commerce chief executive Darrin Walsh said he agreed businesses were optimistic.
"Business confidence is up largely because the economy is tracking up and people are looking to invest."
"When you see building going up in town, people start to think things are happening and it is actually quite infectious."
He said commercial consents were a good indicator as it meant the work had backing and was moving forward.
"That growth in value you can actually see that around town."
