Regional round-up – Bay of Plenty
According to media reports, business confidence in the Bay of Plenty is high, and the property market in Tauranga remains strong, with growth in retail, office and industrial property. Over the past five years more than $700 million worth of commercial building plans have been approved.
Increasing activity at the port in Mount Maunganui is creating demand for space and the port has recently completed a significant capital projects programme. In June, shipping container volumes at the port exceeded one million units in a single year – the first port in the country to do so, making the Port of Tauranga the country’s biggest. Chief executive Mark Cairns says about 41 percent of New Zealand's total exports by value flowed through the Port of Tauranga.
Analyst Goran Ujdur of Bayleys Research says more space in the port precinct is being used for container storage.
"Increasingly land which the port authority previously leased to external businesses is being progressively taken back for its own logistics and distribution purposes. As a result, vacancies are expected to continue to remain very tight.”
In the horticultural sector, a recent partnership between Quayside Holdings and Te Tumu Paeroa will see kiwifruit orchards established on 90 hectares of Maori land in the Bay of Plenty and Gisborne regions. Quayside Holdings CEO Scott Hamilton says the $30 million investment will help bring some of the region’s significant economic growth potential to life.