Media Release - 2 May 2022

  • Beachlands South Limited Partnership has applied to Auckland Council for the plan change necessary to facilitate the development of a transformative, master-planned coastal urban neighbourhood that will greatly enhance the Beachlands community and surrounding areas.

    Beachlands South Ltd Partnership is jointly owned by the Russell Property Group and its partners the NZ Super Fund, Ngāi Tai ki Tāmaki and Hāpai Development Property LP.

    Russell Property Group Managing Director Brett Russell says “by completing the expansion of the coastal community in a coordinated way we are providing modern sustainable, high quality housing choices and lifestyles with linkages to improved public transport services.”

    The masterplan includes improvements to the landscaped environment, including coastal boardwalks, community playgrounds, parks and open spaces. It will provide a catalyst for the community to get new primary and secondary schools, and the planning provides space for both of these and future planning for the next 15 – 20 years at Beachlands.

    “Through world-class leading edge sustainable design we have proposed quality infrastructure solutions which can be delivered at a minimum cost to ratepayers. This is exactly the sort of development our city needs if it is to address the housing crisis,” Mr Russell says. Innovative and sustainable solutions for water, wastewater and stormwater have been developed.

    Localised roading improvements, together with an enhanced ferry service and a focus on mode shift will improve the current transport situation.

    Mr Russell says “we have also been heavily focused on the environment, sustainability and carbon neutrality. Quality modern development show cases the natural environment and its ecological beauty, and that is exactly the approach we are taking.”

    Once fully developed, the multi-use 255 hectare Beachlands South development will include approximately 3,000 dwellings as well as commercial, retail, education and open space amenities – creating a healthy, safe, fully serviced living environment for whānau, residents and the wider community. The development will also create a significant level of commercial and economic activity and jobs within its area.

    Ngāi Tai ki Tāmaki exercises mana whenua for the Beachlands area and has been heavily involved and fully supportive with progressing the development to this point. Hapai is an Iwi owned property fund that currently has 20 Iwi investors across the motu. These entities recently acquired a collective 5% equity stake in the Beachland South Limited Partnership and will add significant value and expertise to it.

    Ngāi Tai ki Tāmaki Chairman James Brown says “we are focussed on expressing mana whenua and mana moana in our rohe and particularly around Beachlands – an area we know as Kahawairahi and Kauriwhakiwhaki.”

    “The partnership with the NZ Super Fund, Russell/Bassett whānau interests, and Hāpai, shows a genuine commitment to long term outcomes – environmental, cultural, social and investment. We intend to be fully engaged as kaitiaki and owners as part of this auspicious property development,” Mr Brown says.

    Hāpai Chairman, John Spencer says “as a collective of Iwi investors Hāpai is pleased to partner with Ngāi Tai ki Tāmaki in joining the Beachlands South Limited Partnership and ensuring the aspirations and values of the iwi are enhanced, in addition to creating long-term value for our investors.”

    “Beachlands South will not only recognise the permanence of Ngāi Tai ki Tāmaki to the whenua, through its intergenerational master planning and development, but will also deliver economic value for Iwi and deliver on much needed scale housing solutions for Aotearoa” Mr Spencer says.

    NZ Super Fund Head of Direct Investments Will Goodwin says Beachlands South is a key part of the Fund’s growing domestic real estate portfolio. “In line with our commitment to sustainable finance we aim for Beachlands to deliver both attractive commercial returns and excellent environmental and social outcomes for the local community. We are delighted to be backing this Russell Property Group-led development alongside Ngāi Tai ki Tāmaki and Hāpai Development Property.”

    At the heart of the Partnership’s thinking has been meaningful consultation with the local community and stakeholders so that the Partnership can nurture that of which they are most proud, address concerns they have and solve problems they are currently experiencing.

    This included two community open days to get alongside and engage with locals in December.

    “The feedback we got through these open days was overwhelmingly positive. There is an excitement about what we are proposing and the clear message we got was… please get on with it,” says Mr Russell.

  • Q. What does the development involve?

    A. What we are proposing is a transformative, master-planned coastal urban neighbourhood that will greatly enhance the Beachlands community and surrounding areas. It is a modern, innovative internationally designed and sustainable development, based on world-class delivery and solutions.

    The project will deliver a multi-use development, made up predominantly of residential, across the full range of housing options. Once fully developed, the 255-hectare site will provide around 3,000 dwellings – a healthy, safe and fully serviced environment for whānau, residents and the wider community. Importantly, we have developed our own solutions for infrastructure, including for three waters, meaning we will not be imposing those costs on the Council and ratepayers. Our masterplan includes improvements to the landscaped environment, including coastal boardwalks and community playgrounds. As well as a focus on active transport, we will be providing transport options which are fully integrated with the existing public and private transport networks.

    Q. How long will the development take and when will we start to see properties for sale?

    A. Typically a plan change process takes 12 - 18 months but can take as long as three years. Physical work will commence after that. In total the proposed development is based on a 10 - 15-year timeframe, depending on market conditions.

    Q. Beachlands is a great community now, how will your development impact on that?

    A. We agree that Beachlands is a great place to live; that is why we are so excited about this opportunity. Our approach has been to ensure that we build on the existing township and the wairua of the community in order to create an even better place to live.

    At the heart of our thinking has been meaningful consultation with local communities and stakeholders so that we can nurture that of which they are most proud, address concerns they have and solve the problems they are currently experiencing, including schooling and transport.

    From our engagement with the community there is a great deal of support and an excitement about what we have planned.

    Q. There are already major traffic and congestion areas in that part of Auckland, won’t your development make that worse?

    A. Our approach to this project has been to provide solutions to existing problems, rather than making them worse, and this is very much the case when it comes to transport. There are a number of aspects to this. We have included a significant focus on promoting active transport and trip internalisation, as well as ensuring transport options are fully integrated with existing networks and hubs, including by way of enhanced ferry services to the city centre.

    By providing a catalyst to the development of new local primary and secondary schools we will take a great deal of the pressure off existing roads and, importantly, significantly improve safety. Similarly, our plans involve a significant increase in commercial and economic activity in the area, again changing traffic patterns.

    In the initial stage of our development, we are proposing additional lanes at the Whitford roundabout. This, along with other minor improvements (Sandstone/Whitford Park roundabout, Jack Lachlan/Whitford Maraetai intersection), will facilitate the traffic demands created by the initial construction of 3,000 dwellings. This investment will also deliver an immediate improvement to the lives of existing road users – with peak hour queues at that roundabout expected to be reduced from 500m to 50m. Further improvements to other intersections will be progressively undertaken as the development progresses.

    Q. How will the development avoid ecological damage?

    A. Again, there are a number of components to this, developed on the basis of best modern practice. The pockets of indigenous forest within the development area will be restored, enhanced and protected through buffer planting and pest control. Similarly, the development has been designed to avoid and enhance natural wetlands and the stream network – protecting and safeguarding the habitat of wetland birdlife.

    In terms of the marine environment, our modelling suggests sediment discharges from the expanded Beachlands community will actually be at a lower level than is currently the case.

    We have also worked hard to minimise any potential impact on important native postal birds – for instance, through a coastal pathway which avoids and takes people away from sensitive coastal habitats.

    Quality modern development showcases the natural environment and its ecological beauty, which is exactly the approach we are taking.

    Q. There is a very real current need for new schools to be built in the area, won’t your development make this worse?

    A. Rather than making the current situation worse, our development will provide a catalyst for the development of both primary and secondary schools within the area, strengthening the case, making it impossible for it to be ignored.

    The community has advised us of this pressing need, and we have been working closely with them to advance their case. Our masterplan includes provision for both primary and secondary school campuses. We are in close and on-going discussion with the Government and Ministry of Education to ensure our plan meets both current and future needs for educational facilities.

    Q. How will the necessary infrastructure investment be paid for?

    A. Through smart and leading-edge international design we have developed infrastructure solutions which can be delivered at a minimum cost to ratepayers. We have developed innovative and sustainable solutions for water, wastewater and stormwater. Localised roading improvements will have the effect of improving the current transport situation.

    The existing Beachlands community is serviced by only limited existing infrastructure, and our

    approach will improve this as well. Again, our focus is improving existing problems, rather than creating new ones.

    Q. Where are people who live in Beachlands South going to work, and won’t this make transport worse?

    A. Our development will involve a significant level of commercial and economic activity within its area. As well as the retention of part of the golf course, and the provision for hotel and conference facilities, our masterplan involves an innovation hub, commercial, retail and light industrial areas. Collectively, these aspects will create jobs in the area, reducing pressures on the transport network. The development also caters for and harnesses changes in workplace patterns which have emerged as a result of Covid.

    The development is also within realistic and achievable commutes of six major employment and transport hubs, including 35 minutes to the City Centre by way of enhanced ferry services.

    Q. How does the Enabling Housing Supply Act and/or the Council’s response to the NPS – Urban

    Development impact on your plans?

    A. We have worked through the requirements and planning consequences of the new legislation and the NPSUD and incorporated any necessary changes in our proposal. The plan change we have lodged is entirely consistent with the requirements of the NPSUD and the new Act, and provides Council with an ideal model through which to respond to it.

    Q. Have you engaged with the locals and other stakeholders in developing your plans and preparing the plan change, and what has been their response?

    A. Yes, we have engaged extensively and meaningfully with the local communities to ensure that we understand their aspirations for this place. We know this creates the trust to ensure smooth and consensual planning to create a destination that everyone will be proud of, proud to call home.

    We have worked closely with the Local Board and ward Councillor and kept them fully briefed, had extensive engagement with neighbours and adjacent communities, and contributed significantly to the excellent work of the local group advocating for new schools.

    In December we held two community open days to engage with the local communities.

    Despite the restrictions necessary due to Covid, they were very well attended, and the feedback was overwhelmingly positive. There was an excitement about what we are proposing and the very clear message we received was: get on with it, please.

    Q. Have you talked to the local Iwi and what is their position on this development?

    A. More than just talking to mana whenua Ngāi Tai ki Tāmaki, they are our partner in this project.

    We are very enthusiastic in relation to this partnership, and the potential it has to deliver. Our collective relationships with Ngāi Tai ki Tāmaki predate the establishment of the Beachlands South Ltd Partnership and have been mutually strengthened during the course of our master planned approach.

    Cultural alignment during the master planning, particularly around long term environmental and social outcomes, will facilitate long term outcomes that deliver on tribal aspirations in a meaningful and dynamic way. We anticipate that Ngāi Tai ki Tāmaki will be fully engaged during the plan change process, as well as the eventual horizontal and vertical development across the whenua.

    Q. Will you be closing the golf course and resort in order to build houses?

    A. We have already invested significantly in the Formosa golf course, bringing it back up to

    standard, because we know how important it is to many people. Off the back of this, we have grown and rebuilt membership considerably. It is our intention that the golf course will be shortened but will continue to operate – nine spectacular and high quality holes. Similarly, we have made a substantial investment in modernising and bringing club house buildings back to life, including to provide dining and hospitality opportunities, to locals and visitors alike, and modern and quality conference facilities.

  • About Beachlands South

    The Beachlands South property comprises around 255 hectares made up of the Formosa Golf Course land (170.5 hectares at 110 Jack Lachlan Drive) and a property of 80 hectares at 620 Whitford-Maraetai Road. The Beachlands coastal community was established in the 1930s and since that time has evolved through a series of plan changes in an uncoordinated way. The Beachlands South masterplan is an opportunity to complete the expansion of the community in a coordinated and innovative way which greatly enhances lifestyles for all of those who live there, now and in the future.

    About Russell Property Group

    The Russell Group of Companies is one of New Zealand’s largest privately owned and operated construction and property organisations which includes Russell Property Group (“RPG”). The Group is 100% New Zealand owned and has operated successfully for over 50 years. RPG prides itself on successful partnerships in construction and property development. RPG was established in 2010 and collaborates with investment partners to maximise a property’s full potential, through investment, build and management. To date this has been the recreation of several office buildings and the full refurbishment and rebuild of over 5 hotels.

    About Ngāi Tai ki Tāmaki

    Ngāi Tai ki Tāmaki (Ngāi Tai) are original inhabitants and Iwi of Tāmaki Makaurau. The Iwi is based in Maraetai, the Waitematā and Tikapa Moana, and exercises mana whenua and mana moana interests across Auckland and the Hauraki Gulf. Its marae are Umupuia and Whataapaka. Ngāi Tai has whakapapa and other relationships with all Iwi in the region and beyond into Waikato, Hauraki and the East Coast. The Ngāi Tai Treaty of Waitangi claims settlement was enacted in July 2018. Iwi entities have ownership responsibilities for approximately $30 million of assets including Macleans College alongside Hāpai, and various property developments. Its entities are undertaking a number of environmental, cultural, social and commercial projects to revitalise the manawa of Ngāi Tai and increase the net monetary worth of tribal members.

    About Hapai

    Hāpai is a property fund that is unique in Aotearoa being 100% Iwi owned and controlled, and singularly focused on empowering enduring Māori success in the property sector. Hāpai concentrates on combining Iwi capacity with proprietary opportunity to drive the collective growth of the Māori property economy. Hāpai was founded in 2019 by six Iwi, and has since grown to over twenty Iwi investors, to undertake their property investment collectively, enabling scale, diversification and effective execution. Hāpai’s investment mandate covers commercial investment property, housing (build-to-rent and retirement villages) and development property (land and residential development). The Hāpai portfolio includes eight commercial properties, over 200 residential BTR properties under development, alongside over 750 residential sections in the development pipeline.

    About NZ Super Fund

    The NZ Super Fund is a NZ$58 billion global investment fund established by the New Zealand Government to help pre-fund universal superannuation. A long-term, growth-oriented investor, the Fund has more than $8 billion invested in New Zealand, including significant stakes in Kaingaroa Timberlands, Kiwibank, Datacom, Fidelity Life and NZ Gourmet and APHG (LabTests), along with a portfolio of rural land, more than $1b invested in listed New Zealand equities, and significant commitments to funds supporting small and medium sized local companies.