Artist's impression
A "first for Rotorua" business hub is to be built in the inner city - and tenants have already signed up.
The Lakesyde Business Centre will be over two levels, split into three main buildings and will have 70 car parks. It will be built in Whakaue St, stretching to Rangiuru St, facing the Novotel Rotorua Lakeside. Several flats will be demolished to make way for the development.
The project is a co-venture between Tony Bradley of TPB Properties and his parents, Paul and Jenny, and is being marketed by Mark Rendell of Bayleys Rotorua.
"I saw a real shortage of A-grade office space in Rotorua and in speaking with Mark we agreed that car parking and modern design to latest building code are key requirements for tenants," Mr Bradley said.
"I feel strongly about making my designs look architecturally pleasing and that's why I work so closely with Darryl Church. He's an award winning architectural designer with a great team.
"There is nothing like the Lakesyde Business Centre in Rotorua yet - you see these types of developments in Auckland and Tauranga but this is a first for Rotorua."
Tenancy space will range from 150sq m up to 800sq m with a foyer area and lift service to the first floor.
"We have almost half already leased or under negotiation and we haven't even gone to market yet. This shows there is a real market for quality office space," Mr Bradley said.
TPB Properties has previously developed the Redwood Centre and the shopping centre in Fairy Springs Rd but this is his first project in central Rotorua.
"I've been working on this for the best part of seven to eight months. That's why this year it appears I haven't been doing much building work. I was in a fortunate position as my parents have owned this property for a long time," he said.
"We are doing a 50-50 joint venture so it's nice to do something with them again, it's been years since we worked together. They are very excited by it, just to see something happening on the site. Mum has been managing the flats and is delighted to see a new project for the site.
"Most of my projects have been on the fringes of the CBD - the Redwood Centre and Fairy Springs Rd shopping centre, and council have always asked if I can come and do developments in town," he said.
"For Lakesyde Business Centre we are targeting businesses which complement each other, such as corporate and national businesses.
"I tried to do that when I did the shopping centres as you like them to work in with each other. This is going to happen in the Lakesyde Business Centre and the tenants are of high quality."
Mr Bradley would not yet reveal which tenants have signed up, nor how much the development would cost.
A Geotech report had been completed and passed and building permits were due in late November. Demolition is due at the end of the year and construction is scheduled for January or February with completion mid to end of next year.
Mr Rendell said there was a strong demand for high quality offices here.
"All the business owners now are starting to be conscious about staff welfare.
"They're aware that some of their buildings aren't to code or new building standard. So it is on their conscience to get their staff into a better working environment and a safer building," he said.
"Businesses today are keen to be in a building which reflects their market image and Lakesyde Business Hub fulfils that brief perfectly with the benefit of having a great outlook."
Darryl Church of Darryl Church Architecture said the building would mostly be a concrete and steel construction but it had incorporated Rotorua Lakes Council's wood-first policy, with many elements of timber included.
"It is located in quite a prime site and [Mr Bradley] wanted it to be more upmarket and smarter than the usual office block that goes up," Mr Church said.
"From a pure architectural-led point of view, we didn't want it to read as one long office block. There are three definitive looking buildings, each have a different exterior.
"From a pure cost-driven point of view, it would be a lot cheaper and easier for Tony to build one big long building but this is more human friendly and easier on the eye."
Ross Stanway, chief executive of Realty Services, which operates Bayleys Real Estate, said this type of development was a "very positive statement" reinforcing the ideal strategic business location that Rotorua offered.
"Its location in such a central position to service a client base throughout the central North Island and beyond combined with very competitive land and building costs are becoming well recognised in recent times," Mr Stanway said. "Commercial premises which provide modern, innovative working environments attract the best employees and business owners are recognising this as a key competitive advantage."
Rotorua Chamber of Commerce chief executive Darrin Walsh said as business confidence soared, organisations were looking to relocate if the situation was right.
"There are a few businesses that if the right property, right location and right cost is there, they would review where they are currently based.
"These types of developments are quite good for small businesses, to be in a hub and working alongside each other."
- New tenants for former BNZ building, page 6.
Mark Hohua, known as Shark, was allegedly beaten to death by fellow gang members in 2022.