2017's five-year dwelling consent peak 'shows confidence in Rotorua'

The Kmart building, pictured here in December, was the biggest commercial consent issued in 2017. PHOTO/FILE

The number of building consents issued by Rotorua Lakes Council last year was the highest in the last five years, latest figures show.

A total of 1316 consents worth $116,294,000 were issued by the council in 2017 compared with 1228 consents worth $121,283,000 the year before.

Of these, there were 124 consents with a work value of $45,118,000 for new residential dwellings.

Residential consents topped the 2017 table with 1103 consents issued valued at $67,357,560 but that was to be expected according to Master Builders Association
Rotorua chairman Bill Clement, who said residential consents were required for a lot of home improvements.

"What it does say though, is that people are feeling a bit more confident in the economy as that's generally when they decide to work on their homes."

October saw the highest number of consents issued but March brought in the highest consent revenue due to Pukeroa Trust's application for the Kmart building being lodged that month.

Clement said the consent figures tallied with what the local building industry was seeing.

"Toward the second half of 2017 things got a bit more hectic which would be as a result of the earlier consents issued," Clement said.

He said he expected 2018 to be much the same, if not busier.

"The Government seem to me more proactive in getting movement toward homes being built, which will mean a lot more going on right down the line."

While lagging a little behind Taupo and Tauranga, Clement said the number of consents being issued showed Rotorua was in a good place.

GJ Gardner new home consultant Hamish Howard said while there had been an increase in the number of consents issued for new homes in 2017, it hadn't really showed in the year's workload.

"I'd agree there was an increase but consents are just the first step in the process," Howard said. "Until the title comes through there's not much we [as builders] can do other than draw up plans."

He said the substantial increase in new dwelling consents reflected subdivisions and lower socio-economic builds in Rotorua.

"A decent percentage of those consents will relate to infill builds [where a secondary building is built on an existing section]."

Howard said there were very few sections for sale in Rotorua which obviously impacted on people's ability to build new homes.

Consents issued by Rotorua Lakes Council 2017

Category Consents issued Work value
All (incl residential & commercial) 1316 $116,294,264
Residential 1103 $67,357,560
Commercial 211 $48,676,704
New dwellings 124 $45,118,998
New building (commercial) 78 $27,482,924

Total consents issued by Rotorua Lakes Council

Year Consents issued Work value
2017 1316 $116,294m
2016 1228 $121,283m
2015 1160 $92,339m
2014 1201 $74,093m
2013 1349 $71,021m

Top three commercial consents issued in 2017
Pukeroa Properties (No 2) Limited for the Kmart retail building: $6m
Scion Research for internal alterations to the Scion building: $2.8m
HY Tourism Ltd for new three-storey motel units and front entrance: $2.515m

New dwellings – comparison to previous years

Year Consents issued Work value (million)
2017 124 $45,118
2016 107 $33,543
2015 76 $25,905
2014 75 $30,166
2013 69 $21,887