• Ready for the next stage of development … the southern end of Highgate with the land designated for design-build premises on the left.

Wide range of warehouse options for tenants in next stage of Highgate industrial development

With little industrial land left for development on the North Shore or in central Silverdale, the large Highgate estate, just north of Silverdale, will be at the centre of much of the region’s future industrial building activity.

With just one industrial zoned lot remaining for sale in the second stage of development of the 58 hectare Highgate site, located alongside the northern motorway, the focus is now shifting to providing design and build options for tenants.
The initial development of the site, the master planning for which began eight years ago, has involved massive earthworks, roading, power, waste and storm water services which have enabled land titles to be issued.
With the infrastructure and a critical mass of building activity now in place, land owner and developer Highgate Commercial Ltd is concentrating on creating quality warehouse premises for lease. Opportunities also exist for office, educational and medical development.
Bayleys North Shore Commercial agents Rosemary Wakeman and Matt Mimmack have been appointed to market the wide variety of leasing options that will be available.
“We are well aware of the frustrations that many business occupants north of the harbour bridge are experiencing in trying to secure new industrial premises and Highgate Commercial is looking to provide tenancy solutions for them,” says Wakeman.
Highgate Commercial has received resource consent for multiple warehousing developments on around 5ha of land which forms part of the master plan for the next stage of Highgate’s development.
 
Design-build solutions aplenty
The standalone warehousing options available, but not limited to, range in size from 1,000m2 to 5,000m2 on sites of varying sizes.
“The developer has made it clear there will be flexibility to vary the sizes of these design-build premises and for tenants to specify the ratio of warehouse to office and/or showroom accommodation required to suit their needs,” says Wakeman.
She says the buildings will incorporate features that most tenants are looking for in new industrial premises including clear span, high stud warehousing at heights of between 9-12.7m as well as large canopies where required.
“They will be built in accordance with Highgate’s design covenants that set the guidelines for all development across the site to ensure quality buildings are constructed.”
Wakeman says the design-build premises will suit distribution businesses or clean manufacturing. “They are expected to be constructed within 12 months of an unconditional lease being signed between the parties and Highgate Commercial has indicated they will be retaining ownership of them as long-term tenanted investments.”

Last purchasing opportunity
The remaining industrial zoned lot for sale encompasses a 5,235m2 comer title. This is being offered for sale with a resource consent in place for two warehouses of 1,250m2 and 1,100m2. Alternatively, Highgate Commercial will undertake design-build development to suit a tenant or tenants’ requirements and retain ownership of the property.  
Approximately 20ha of Light Industry zoned land has so far been subdivided with the most recently completed second stage comprising approximately 9ha of land. Highgate Commercial development manager Jonny Reid says building construction has been completed, is underway or is about to commence on approximately 6ha of this land.
Numerous sites have been bought by individual owner occupiers and developers, ranging from 2,300m2 to a 2.3ha holding recently purchased by Mitre 10.
The first buildings to be developed were the Millwater BP service station on the corner of Wainui Road and Highgate Parkway at the entranceway to Highgate and a 10,500m2 distribution centre and head office for etailer Mighty Ape Limited further along Highgate Parkway. This was developed and is owned by NXZ listed property company Argosy.
A variety of other smaller developments have been completed between the northern side of the Mighty Ape building and a large landscaped wetland reserve area which will also be used for storm water treatment.

Smaller leasing options also available
Work is also underway or nearing completion on several standalone warehouse buildings on Emirali Road in the south western part of the park including a 16-unit development by Kea Property Group marketed by Matt Mimmack which sold off the plans within a week.
This comprises 190-392m2 warehouse and office/showroom units, including three to six car parks per unit. “These were very quickly snapped up by a mix of owner occupiers and investors who we are assisting to secure tenants,” says Mimmack.
The predominant zoning at Highgate is Light Industry which comprises approximately 35ha of the site. Residential land makes up approximately 18.7ha, with 3.7ha of this subdivided to date for 107 dwellings which are now occupied. A further 200 homes are planned along the southern ridge of Highgate facing the Weiti River.
 The balance of land has been zoned for a town centre. “This has been earth worked as part of the bulk earthworks for the wider subdivision and various options are being considered under the master planning for this area of the site, although nothing has been finalised,” says Reid.

Servicing massive residential development
Neighbouring Highgate, to the east, is the successful Millwater residential development which is nearly built out, consisting of 3,500 homes. Expansive earthworks are also underway for the building of 2,000 houses on the other side of the motorway at Milldale. A total of 4,500 dwellings are planned for this area, expected to house approximately 10,000 residents.
This is first stage of what will be a huge urbanisation of the vast expanse of l land stretching from Dairy Flat in the south to Orewa in the north alongside State Highway One. The Auckland Future Land Use Strategy identifies it as an area which will contain an additional 35,000 dwellings. New residential development will also continue on the eastern side of the motorway including on the former Pennisula golf course and on land at Orewa North, Jack Hawken Lane, and near Snow Planet, as well as at Highgate.
Reid says Highgate has an important role to play in providing much needed commercial and industrial space for businesses to service the area’s rapidly expanding population. “The Government’s upper North Island port study and regional growth initiatives will also likely see more activity at Whangarei, which opens up more possibilities for Highgate.”
Roading improvements are also being planned to improve access to and from Highgate. A new motorway overpass is proposed to connect Milldale with Highgate which will link up with Highgate Parkway just south of the Mighty Ape building.
There is also a proposal to extend Highgate Parkway southwards to link up with Brian Smith Road. This will connect Highgate to the Hibiscus Highway via a proposed bridge over the Weiti River which flows behind the Pak ‘n Save and Bunnings stores.  
“All this means Highgate is well positioned to service the region’s commercial needs but space is tightening so we would advise tenants not to delay in registering their interest,” says Rosemary Wakeman.