News and Publications

Property News: 26 September 2017

Tahunanui and Motueka lead house price growth

First home buyers and investors have helped push up house prices in Tahunanui by the biggest margin in Nelson and Tasman district suburbs over the last two years.

The price of homes in Tahunanui increased by 29.4 per cent in the two years to June, and 15.4 per cent over the last year, with the average house now worth an estimated $453,150, according to new figures from rating valuer Quotable Value.

Motueka led the growth in house prices in Tasman in the year to June in the E-Valuer Quarterly Suburb Report, jumping 17.7 per cent to a current estimated median value of $483,500; a rise of 28.3 per cent over two years.

Nelson City centre remained the most expensive area to live in, with houses there worth an average of $680,800, followed by Atawhai, Richmond and Brightwater.

(The Nelson Mail, Wednesday 20 September 2017)

Tiny home project proposed in Nelson

Seven new Special Housing Areas have been approved in Nelson, including a tiny house project and three-storey apartments next to a suburban heritage building.

The tiny house initiative, called ‘‘Brookside Village’’, is planned for 26 Blick Terrace in the Brook Valley.

The site developer, Ian McComb of Small Time Developments Ltd, is a former Tasman District Council infrastructure planner.

The Nelson City Council heard the SHA would include a maximum of 20 warm and affordable houses. The homes would be a maximum of 100m2, with a three-storey maximum to a height of no more than 14.5 metres.

The existing historic building ‘‘The Blick’’ would be used as a community house.

The council also approved an SHA on the site of the former Organic Green Grocer heritage building in The Wood.

The property on 40 Tasman St would be developed by Redhomes 2017 into five, three-storey residential apartments. The heritage building that housed the organic store would be restored as a cafe.

Developers said the residential buildings would fit in with the style of the heritage building. They were proposed to be 10 metres in height instead of the council’s current maximum height of 7.5 metres.

Three-storey apartments were proposed instead of two storeys, to make the SHA economically viable, developers said.

There were also additions approved to two existing SHAs, Bayview Subdivisions and Wastney Tce in Atawhai.

SHAs are a Government initiative to fast track housing developments. Details of the projects are subject to a later resource consent process.

(The Nelson Mail, Friday 22 September 2017)

'Genuine need' for pensioner housing

More than 100 people are on the waiting list for a Tasman District Council-owned pensioner unit.

The council has 101 mainly one-bedroom cottages across the district: 34 at Richmond, 45 at Motueka, four at Takaka, four at Murchison, seven at Wakefield and seven at Brightwater. The waiting list stands at 104 with 65 at Richmond, 34 at Motueka and five for the other areas.

In a report for the community development committee meeting this week, strategic development policy officer Sandra Hartley says there is a ‘‘genuine need’’ for longterm affordable accommodation for older adults in the district.

The council has historically provided cottages to help people, generally over 65, who cannot afford a home in the private housing market with rent charged at 80 per cent of the market rate, Hartley says.

She adds that the cottages were originally constructed and funded through Government loans that had low concessionary interest rates.

TDC community relations manager Chris Choat said the income from the cottages was about $780,000 a year.

The bulk of that income, about $666,000, was kept in the closed account and used to maintain, upgrade and operate the units. The remaining $114,000 was a dividend, used for the council’s reserves and facilities.

‘‘It’s basically self-funding,’’ Choat said.

Of the 104 people on the waiting list, about 15 were neither resident in the district nor had family in the area – two criteria used to help determine the priority of applicants. The waiting list was fairly consistent though it tended to be a bit higher in winter compared with summer, he said.

(The Nelson Mail, Saturday 23 September 2017)

New library may cost $3.7m

A proposal to build a new Motueka Public Library at Decks Reserve is tipped to cost more than $3.7 million.

Another option, to expand the library on its existing Pah St site, is estimated to be a little cheaper but only by about $125,000.

The estimate for a third option, for a new library and service centre at the Decks Reserve site, has come in at more than $5m.

Motueka Library has long been earmarked for development. A working party of council staff and elected representatives has been formed and met for the first time at the end of August where it was agreed that, given the cost, the third option should be excluded.

In a report, community development manager Susan Edwards outlines the estimated costs of the three options:

  • Expanding the library on the existing site, at an estimated cost of $3.58m;
  • Construction of a new library at Decks Reserve, at an estimated cost $3.705m;
  • Construction of a new library-service centre at Decks Reserve, at an estimated cost of $5.13m.

Edwards says council has included $3.705m in the Long Term Plan draft budgets, of which $300,000 was included for planning and design in year 2019-20 and $3.405m in 2020-21 for construction.

(The Nelson Mail, Saturday 23 September 2017)

REINZ Press Release

15 September 2017

Residential prices increase

Residential property prices across New Zealand increased by 8.2% year-on-year to $530,000. Nationally, excluding Auckland, median prices increased 10.9% year-on-year and Auckland median prices decreased by 1.2% year-on-year.

However, on a month-on-month basis, Auckland’s median price increased by 1.2% or by $10,000.

Contributing to the overall increase, five regions across the country experienced record median prices in August year-on-year:

  • Southland (up 22% to $250,000)
  • Nelson (up 12.6% to $518,000)
  • Hawke’s Bay (up 19.1% to $405,000)
  • Manawatu/Wanganui (up 18.8% $285,000), and
  • Marlborough (up 16.7% to $420,000)

In August, a fifth region has exceeded the median house price of half-a-million-dollars for the first time. Nelson - with a median price of $518,000 - now joins Auckland, Bay of Plenty, Wellington and Tasman as a region that has had a median sales price over half-a-million-dollars at least once historically. The data also suggests that the Waikato is not too far away from reaching this milestone, with four of the last five months having median prices in the $480,000 bracket.

Only four regions experienced a decrease in median price during August (compared to August 2016) – Auckland, Gisborne, Tasman and the West Coast.

“August has seen a lot happening from a price perspective across the country; property prices increased by 8% in comparison to the same time last year, five regions recorded record median prices and five regions now have a median price ‘tag’ of more than half-a-million-dollars – all of which are clear indicators of New Zealand’s strong regional economy. Auckland’s median price, although experiencing a slight decrease year-on-year, has remained relatively stable,” says Norwell.

(REINZ Website, 15 September 2017)

Thought for the Week

In matters of conscience, first thoughts are best.
In matters of prudence, last thoughts are best.

(**Robert Hall*)