TAKAPUNA Town Centre Renewal. High Level Project Plan

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1 TAKAPUNA Town Centre Renewal High Level Project Plan

2 TAKAPUNA Town Centre Renewal High Level Project Plan

3 CONTENTS Takapuna town centre sits alongside Takapuna beach one of the loveliest innercity beaches in Auckland. 1. Introduction Mihi Shaping Spaces for Aucklanders to Love Panuku - Who We Are Context Property Ownership Areas of Control and Influence Planning Residential Market Commercial Market Vision Goals Principles Approach Key Strategic Moves Key Strategic Moves Dependancies Place-Based Conversations Community Funding Phasing and Timeline PANUKU DEVELOPMENTS AUCKLAND 05

4 INTRODUCTION 06 PANUKU DEVELOPMENTS AUCKLAND 07

5 1.0 INTRODUCTION Takapuna town centre sits alongside but is disconnected from Takapuna beach one of the loveliest inner-city beaches in Auckland. We have an opportunity to anchor Auckland Council s current masterplan for the town centre, which would improve connections between the centre and the beach. We can also revitalise the town centre through mixed-use development on under-performing, council-owned sites at the core of the centre. Panuku Development Auckland (Panuku) can achieve this by working with private developers to increase the number of new homes and create laneways with active uses and a well-designed public realm

6 1.1 MIHI 1.2 SHAPING SPACES FOR AUCKLANDERS TO LOVE NAU MAI TAKU ITI. PIKI MAI E TAKU RAHI. NĀKU KOE I TIKI ATU I TE PAE-O-TE-RANGI. KA TŌIA MAI, KA KŪMEA MAI KIA EKE TANGAROA, EKE PANUKU. Panuku, panuku, kia haumi e, kia hui e kia ara mai he tāiki ngāpara. Ka whakairihia e te rangi hei hua tipua, ka poua ā-whenua hei tupuranga hōu. WELCOME ONE. WELCOME ALL. YOU, FROM BEYOND THE HORIZON I HAVE TAKEN. I DRAW YOU NIGH, I DRAW YOU HITHER TO RAISE EXPECTATIONS AND TO FULFIL POTENTIAL. Upward, onward until all is met and done and that which rises will endure still. From high it heralds divine aspirations, grounded in visions of new beginnings. As a development agency, Panuku Development Auckland s structure is the first of its kind in New Zealand. We work across multiple locations and scales from large, long-term urban renewal projects, to small projects on specific sites. We operate in a commercial way but with good public outcomes. We make a profit and deliver returns to the council, but at the same time ensure developments and community outcomes are positive and sustainable. TRANSFORM Creating change through urban renewal. We lead the transformation of select parts of our region; working alongside others and using our custodianship of land and planning expertise. E.g. Wynyard Quarter UNLOCK Māna e huaki te mana tangata e hora ai aku mahi. Kia hua ko te pai, kia piki ko te ora, he tohu kaitiaki o taku tuakiri tuku iho. Nōku te whiwhi, nōku te hūmārire. Ka tūhono a Rangi, ka tūhono ki a Papa, taku taura here whanaungatanga; he mea nō tua whakarere mai. It empowers in essence our very being and pervades all that we have achieved. Let good be rife and may good health be assured, as guardianship defines a legacy given. As destiny beckons, peace is mine. The sky itself seems to greet the earth, epitomizing all I hold and revere; a token from that distant past. Panuku has been established to provide leadership and unlock barriers to enable urban transformation. We will pilot ideas to advance council objectives in affordable housing, housing for older persons and iwi partnerships. We have the backing of council finances, which allows us to borrow at low cost and obtain funding through Auckland s 10-year budget process. We can structure the delivery of projects in a way that helps fund public good outcomes. Unlocking development potential for others. We are the facilitator; using our relationships to break down barriers and influencing others, including our council family, to create development opportunities. E.g. Papatoetoe SUPPORT Making the most of what we ve got. Intensification is a key driver in the Auckland Plan. We support housing demands by enabling development of council-owned land. E kore e memeha; tū te ao, tū te pō, It abides as day and night without fail, E.g. Link Crescent, Whangaparaoa mauri tau, mauri ora. with a gentle heart and a lively spirit

7 1.3 ABOUT PANUKU Panuku Development Auckland is a council-controlled organisation of Auckland Council that helps to rejuvenate parts of our city. We manage about $1.5 billion in land and buildings the council owns. We continuously review this portfolio to find smart ways to generate income for the region, grow the portfolio or release land or properties that others can use better. It s important we understand the communities in which we work. Panuku identifies development opportunities, and plans and prepares the ground to attract private investment and make it easier for others to develop houses and commercial buildings. Together with our partners we unlock the full potential of this land to create spaces for Aucklanders to love. Auckland is experiencing significant housing and infrastructure pressures as a result of rapid growth. About 800 people move to Auckland each week, and current projections suggest the population could reach 2.01 million by 2033 an increase of more than 517,000 people within the next two decades. To cater for this growth, we need a steep/step change in urban renewal and intensification of town centres and brownfields. Panuku has the role and mandate to address this challenge. PURPOSE OF THIS PLAN High-level project plans (HLPPs) are a new discipline, and key to our approach to bringing forward locations and council-owned sites for redevelopment or sale. Agreement to HLPPs by the Panuku Board and Auckland Council gives Panuku the mandate to press go on regenerating priority locations. In drawing up an HLPP, we review earlier proposals for locations under discussion, recognising public input to date. Any new context or considerations will be fed into the process, so that we can investigate all the opportunities for a location and assess these against the agreed, desired outcomes expressed by the local community. The HLPP will outline some high-level urban planning ideas and pragmatic and commercially viable ways to enable development projects to be taken to the market. Panuku will draw on the resources of the council family to compile and assess the HLPPs. The whole organisation will work together on these plans to determine a cross-council coordinated effort to enable Panuku to realise the opportunities in potential development locations. The next steps after the HLPP involve more detailed project planning, including engagement and communications plans, project planning and framework planning. This will be followed by detailed site feasibility and assessments and business cases as required. LIKE THE NAME SAYS We re the first Auckland Council organisation whose name represents what makes us unique as a New Zealand-based company: our connection to Māori culture and identity. Development Auckland clearly states what our organisation is about, while Panuku is an abbreviated form of the whakatauki, or proverbial saying, Eke Panuku, Eke Tangaroa! This saying acknowledges unseen energies from the realm of the land and sea, which are often called upon through Māori oratory traditions to help invigorate, inspire and manifest success, excellence and progress within groups. Our organisation, like a waka, not only requires strength to move forward, but skill to navigate, balance to ride smoothly and teamwork to propel

8 CONTEXT 14 PANUKU DEVELOPMENTS AUCKLAND 15

9 2.0 CONTEXT High-quality transformational projects have long been a desired outcome for Takapuna and signaled by previous master planning and local board documents. In today s context, the quality public amenity in the town centre, its transport connections and relatively high land values contribute to Takapuna s high level of market attractiveness. Forecast population growth within the HLPP area is relatively high and there is strong housing demand. Intensified residential growth in the town centre is likely to revitalise commercial and retail activity. The area s overall zoning will enable intensive residential and commercial development, although we need to remove some designations from the sites to allow them to be used for other purposes that will better achieve the communities desired outcomes. Auckland Transport and previous plans identify current and future parking requirements for Takapuna with current need being met by the existing sites. However, the Proposed Auckland Unitary Plan (PAUP) does not permit parking where vehicle access would be within a Key Retail Frontage overlay. This overlay applies to most of the Takapuna sites, so Panuku will investigate the situation further as the part of the Framework Planning process

10 2.1 PROPERTY OWNERSHIP The project area covers the central west of Takapuna and its central and beachfront properties. It includes the following council-owned properties, which are marked on the map. PRECINCT SITES OWNERSHIP CURRENT USE PLANNED REDEVELOPMENT Two further sites were identified within The Strand precinct, summarised below, however due to unresolved transport issues the future use or development of these sites are deferred at this stage and will be subject to further investigation. Gasometer Site Anzac Street Car Park & Surrounds 14 Huron St 15 Northcroft St 40 Anzac St R78 Hurstmere Rd AT cleared for sale AT available in principle subject to parking requirements being resolved AT to be transferred to Panuku At grade public car parking At grade public car parking At grade public car parking 72A Hurstmere Rd Panuku Retail / access Mixed use, likely including some longterm parking Mixed use (retail & residential) including active street frontages, laneways and public realm, and connections to Hurstmere Green and the beach. AUBURN ST KILLARNEY ST ANZAC ST COMO ST HURON ST LAKE RD ANZAC ST HURSTMERE RD THE STRAND PRECINCT SITES OWNERSHIP CURRENT USE The Strand / Channel View Road 12 Channel View Rd 85 Hurstmere Rd AT not approved for release At grade public car parking PLANNED REDEVELOPMENT Potential redevelopment opportunities subject to further investigation and transport needs assessment. Out of scope for the purposes of this HLPP Anzac Street car park (40 Anzac Ave) and adjacent sites and the Gasometer site (14 Huron and 15 Northcroft streets) are the prime focus of the project plan. Consideration will also be given to opportunities to achieve enhanced strategic objectives beyond these sites through acquisition of additional properties, consistent with the unlock category activity. Council land in and around central Takapuna is not near the development area and is currently in community use. These sites, including the former library at 2 The Strand, are out of this project s scope. 34&38 Hurstmere Rd Panuku Retail 1 NORTHCROFT ST 18 19

11 2.2 AREAS OF CONTROL AND INFLUENCE 2.3 PLANNING Auckland Council is in a strong position when it comes to control of the main renewal sites covered by the Takapuna project plan. All the relevant properties, including the Anzac Street car park and Gasometer site, are in council ownership and are considered to be our area of control. Comprehensive planning for the growth of Takapuna has been undertaken for a number of years. It reflects a broad desire to attract and support appropriate growth so the beachside city can perform more strongly as a metropolitan centre. Auckland s more recent planning vision and regimes reinforce this direction for Takapuna, with proposed zoning that supports intensive residential and commercial development. Facilitate vibrant development Optimise the council s property portfolio. quality built environment. It seeks to avoid development that visually dominates or overshadows beachfront areas, requiring a graduation of building height and encouraging developments to provide pedestrian linkages with the public realm. The status and ownership of these sites are detailed in the table below. SITE STATUS AND OWNERSHIP 1 40 Anzac Street Auckland Transport fixed asset register. Available in principle subject to transport requirements being resolved through development planning and design phase 2 30, 34 Hurstmere Road Non service portfolio (Panuku). The due diligence is complete. Numbers Hurstmere Road are ready to be sent out in the next batch, i.e. consultation for clearance underway 3 72A Hurstmere Road Non service portfolio (Panuku). One-metre wide strip of land between two other properties 4 R78 Hurstmere Road In service portfolio. Needs to be transferred by Auckland Transport to Panuku. Land status report is complete at a high level 5 85 Hurstmere Road Auckland Transport fixed asset register 6 12 Channel View Road Auckland Transport fixed asset register 7 14 Huron Street Gasometer site, Legacy, cleared for sale 8 15 Northcroft Street Gasometer site, Legacy, cleared for sale Beyond the HLPP area of control, the council has designated Greater Takapuna as one of 10 Spatial Priority Areas (SPAs) in Auckland. The SPA includes Takapuna centre, Smales Farm, North Shore Hospital and light industrial around Barrys Point Road. Panuku will work collaboratively with other agencies, such as Auckland Transport and the DHB, through the Spatial Priority project lead, to ensure we coordinate HLPP projects with other redevelopment in Takapuna and collectively leverage all opportunities. Panuku has reviewed relevant planning documents, summarising below how they inform and affect what we re aiming to do in Takapuna. Auckland Plan Proposed Auckland Unitary Plan (PAUP) Zoning and development controls Spatial Priority Areas (SPAs) Existing plans and strategies. AUCKLAND PLAN One of the Auckland Plan transformational shifts is to radically improve the quality of urban living, in which Panuku plays a significant role. We balance strategic and commercial outcomes to create sustainable and resilient places where people want to live, work, invest, learn and visit. The following strategic objectives from Panuku s Statement of Intent (SOI) to Auckland Council are considered relevant to the Takapuna renewal. Facilitate renewal of urban locations Accommodate growth PROPOSED AUCKLAND UNITARY PLAN Under the PAUP, the High Level Project Plan (HLPP) sites are classified as Metropolitan Centre Zone and Takapuna 1 Precinct, sub-precincts A, C and E. The Metropolitan Centre Zone applies to 10 centres second only to Auckland city centre in scale and intensity. It provides for a wide range of activities and emphasises the important role of metropolitan centres in supporting the compact city model and as hubs for high-frequency public transport. Takapuna 1 Precinct aims to ensure the coastal setting is respected while providing opportunities for growth and for developing a AUBURN ST ANZAC ST COMO ST HURON ST C LAKE RD ANZAC S E NORTHCROFT ST HURSTMERE RD A THE STRAND SPATIAL PRIORITY AREAS Greater Takapuna is one of the Spatial Priority Areas (SPAs) chosen to deliver many outcomes under the Auckland Plan. Work in these areas is focused on critical council activity, so resources can be prioritised to achieve significant economic, social and environmental improvements. While Panuku s focus is the town centre, the SPA designation provides a solid platform for the necessary cross-council approach to deliver the outcomes for Takapuna identified in this HLPP. ZONING AND DEVELOPMENT CONTROLS Overall, the Metropolitan Centre zone enables the Takapuna proposals and we don t anticipate needing any Unitary Plan changes. However, two issues within the zoning context are detailed below: building height and parking. BUILDING HEIGHT To support intensive development, the Metropolitan Centre Zone allows for high-rise buildings. In the Takapuna 1 Precinct the maximum height limit ranges from 20.5m (five storeys) in sub-precinct A, to 36.5m (nine storeys) in Takapuna 1 Precinct and Sub Precincts A, C and E 20 21

12 sub-precinct E and unlimited in sub-precinct C. However, the zone has extensive rules and requires assessment to ensure high-quality development that relates positively to streets and public open spaces. PARKING Transport-related development controls in the PAUP do not allow parking for all activities where vehicles would access parking within a Key Retail Frontage overlay. This means parking would not be allowed on most of the HLPP sites in central Takapuna. The sites in question are currently designated for parking use. So lifting the designations to redevelop the sites for new uses would lead to consenting issues with providing on-site parking with those uses, as the PAUP does not allow it. This parking designation issue will be investigated further as part of the Framework Planning process. AUBURN ST ANZAC ST COMO ST HURON ST LAKE RD NORTHCROFT ST ANZAC ST Council-owned sites subject to Key Retail Frontage overlay. HURSTMERE RD THE STRAND EXISTING PLANS AND STRATEGIES Panuku has reviewed the following plans and strategies relevant to renewal in Takapuna centre: Devonport-Takapuna Local Board Plan (2014) Takapuna Centre Plan, 2014, by Devonport-Takapuna Local Board The Devonport-Takapuna Area Plan, December 2014, by Devonport-Takapuna Local Board Takapuna Strategic Framework, October 2010, North Shore City Council Anzac Street Carpark: Options Study, Draft, Auckland Council Takapuna Centre based Transport Study (tbc). Our review found that the renewal proposals could contribute to the desired outcomes in these documents; some of those outcomes are outlined below. Development of Takapuna metropolitan centre as the primary commercial and community focal point or hub of Devonport- Takapuna contemporary, vibrant, pleasant, inviting and with a relaxed beachside atmosphere. Increased opportunities for new local businesses and economic growth. High-quality transformational projects, including Anzac Street car park (with at least the existing public car parking and sufficient open space for civic activities and a market), Gasometer site with public car parking, Hurstmere Road upgrade, better connections to Takapuna Beach and improvements to its reserve. A greater amount and range of more intensive housing options with easy access to local services, employment, shopping, community facilities, and beach, lake-edge and other open spaces. A more pedestrian-focused environment, including alternative safe routes for walkers and cyclists, with a network of public open spaces, laneways and urban plazas as venues for markets, festivals and events. COUNCIL INVESTMENT CONTEXT The renewal plans for Takapuna will benefit from, and make the most of, previous and planned investment in the area, both public and private. This investment includes the recent long-term allocation of $5.6 million to continue upgrading Hurstmere Road and a further $8 million for Greater Takapuna as a Spatial Priority Area. Other funding injections include: Investments in The Strand to improve beachfront amenity Planned improvements in bus frequency and travel time to Rapid Transit Newtork stations at Akoranga Road and Smales Farm bus stations Private sector development of the Central and Beachfront Precinct, including the Fortieth and Hurstmere laneway and Main Beach Takapuna food and beverage precinct (77 Hurstmere Road) Significant investment allocated to streetscape improvements over time Anticipated benefit from the $5 million Taharoto/Wairau Road upgrade The planned private Skypath investment walking and cycling connection across the harbour bridge and New Zealand Transport Agency SeaPath connection to Takapuna. RESIDENTIAL MARKET In recent market research by Strategic Intelligence Group, the 138-hectare area around Takapuna centre showed a high level of market attractiveness. This was due to quality amenity and transport connectivity, a medium growth profile and a shortage of land parcels for development. In market context, Takapuna is a modest retail location but premier for higher-density residential development. Yet while the location s advantages are self-evident, there has been no new development of any scale in the residential sector although a number have arisen recently that are in pre-sales phase. It remains to see if they will be implemented. The burgeoning demand for residential development makes Takapuna an ideal location to increase its residential component at high density. This is supported by the centre s attractive coastal location and amenities, including excellent passenger transport to the CBD. The average annual median house price in the Milford/Takapuna area is currently about $1 million and has grown at per cent per annum over the past three years. Three Special Housing Areas have been announced for future development in Takapuna, which will add at least 500 dwellings to the stock. They are the Takapuna Strategic Area, Smales Quarry and a Housing New Zealand development on Lake Pupuke Drive. An opportunity lies in the sale of the former fire station site in Killarney Street on Lake Pupuke. This will offer a premier location for residential apartments and will assist to inform our approach to the market. About 14 hectares of business land in Smales Farm is being planned for conversion into a residential development. Forecast population growth is relatively high, with 1563 more dwellings needed within an increase of about 45 per cent of the current housing stock. The area is supported by relatively high land values, driven largely by private ownership. The study concluded that further intensification can be achieved, but that the council will need to intervene on specific blocks around the heart of the town centre (such as the Anzac Street car park) to accommodate demand. COMMERCIAL MARKET Once a premier retail location, Takapuna s relative status has declined as larger centres have developed, particularly in Albany. Shore City, previously the only shopping mall on the North Shore, is now relatively modest in comparison to other offerings. Takapuna centre s past success as a prime retail area made it a sought-after investment location. As a result, many of the retail buildings are still in separate ownerships, often with small investors and private trusts. There are mixed messages in terms of current demand for retail space in Takapuna, probably due to the supply-constrained housing market. In June 2015 the vacancy rate dropped to 1.3 per cent, from an already low 2 per cent in June Despite the lack of supply in retail space, the average net prime rent has remained constant at $650/m2 (range of $500 to $800) and the average prime market yield has dropped to 6.38 per cent (range of 5.50 to 7.25 per cent). Yields were higher in the secondary retail market. Assuming fully leased at market rates, prime capital values ranged between $6895 and $14,545/m2. Takapuna has shown limited growth as a commercial office location. A number of law firms and accountants followed the district court move to Albany, where larger modern premises and ample parking was available. Generally, office occupiers have a North Shore connection through their management or owner. In the year to June 2015, prime vacancy rates dropped to an average of 0.4 per cent, while the average prime rents remained constant at $318/m2 (range of $285 to $350) and the average prime market yield has declined to 7.5 per cent (range of 7 to 8 per cent). Prime capital values ranged between $3565 and $5000/m2. The secondary market has a gloomier outlook, with a higher, increasing vacancy rate (6.8 per cent in June 2015). Increased residential development is likely to revitalise retail activity. Commercial office demand is expected to continue at the current modest level, largely serving local demand

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14 3.0 VISION Through the HLPP process, Panuku will review and confirm or reshape the vision for Takapuna as expressed in a number of strategic council documents. A Takapuna that respects the values identified by previous community consultation and achieves the outcomes of the Auckland Plan will be influenced by five primary factors: Character and landscape Urban form Public open spaces Activities Access and movement. These factors draw on the Auckland Plan, Devonport-Takapuna Area Plan and community feedback on the Takapuna Stategic Framework. They will guide the thinking behind the renewal projects to help ensure the changes we make contribute to transforming Takapuna into an even better place. 27

15 GOALS 28 PANUKU DEVELOPMENTS AUCKLAND 29

16 4.0 GOALS These goals encompass the core aims of the previous plans and the renewal proposals for the heart of Takapuna. The goals are: Revitalise the town centre through mixed-use development on the Anzac Street car park site, including residential and commercial Make Hurstmere Green more pleasant and interesting, enhancing the reserve and public safety Improve the connection to the beach between Lake and Hurstmere roads and Hurstmere Road and The Strand, linked by Hurstmere Green Improve the public realm in the town centre with public open space and a laneway network Help meet the demand for additional housing and choice in Takapuna by providing a variety of housing types and price points Provide an appropriate level of car parking to service the town centre Be a potential catalyst for further development in the town centre and fringe, consistent with the council vision for the centre. 31

17 PRINCIPLES 32 PANUKU DEVELOPMENTS AUCKLAND 33

18 5.0 PRINCIPLES Takapuna s advantages and the things the community value provide opportunities for improvement. These opportunities underpin the principles behind the Takapuna Strategic Framework. We believe the framework s principles remain valid for guiding the renewal proposals. We will refine them to incorporate Panuku aspirations and the quality urban development principles we work to, as represented in the strategic plan. The principles will also need to reflect further thinking around design responses to specific sites. Under the framework principles, our planning and development for Takapuna needs to: Draw on and highlight its unique lake and seaside setting and build on its sense of place, character and identity Create an environment that tells the story of mana whenua cultural landscapes through the Te Aranga Māori design principles Through its buildings, streets, parks and squares, display the qualities of design and principles of sustainability that draw upon and are befitting its beautiful natural setting Celebrate the close connection of the town centre, reserve, beach and sea with an activated waterfront promenade Create a centre of attractions where a network of public open spaces, laneways and urban plazas is the venue for markets, festivals and events Build an increasingly vibrant and competitive town centre of contemporary design and fashion, with a mix of daytime and evening activities and recreational and cultural experiences that attracts visitors, provides local jobs and enriches lifestyle choices Create a more pedestrian-focused environment offering a network of safe, attractive, well designed and walkable neighbourhoods Provide a broad choice of housing types and density with easy access to local services, employment, shopping, community facilities, and beach, lake-edge and other open spaces Create a centre more accessible to choices of travel mode and less dominated by cars. 35

19 APPROACH 36 PANUKU DEVELOPMENTS AUCKLAND 37

20 6.0 APPROACH Considerable planning work has already been done for the wider Takapuna town centre, including some comprehensive master planning through the Takapuna Strategic Framework and the Takapuna Centre Plan. Our overall approach is to review the current context and masterplanning, and refresh if required. Panuku will work collaboratively, particularly with Auckland Transport as specifier and manager of off-street parking provision in commercial centres, and as provider of public transport. This will help us develop a view on the appropriate quantity and location of off-street, short-stay car parking provided by the council in Takapuna. VALUE CREATION As part of the implementation phase Panuku will assess the current financial benchmark for the properties under consideration and will report additional value creation through the planning and realisation process as well as the ultimate completed built value of the development project undertaken by the private sector on the properties. A breakdown of our approach to the HLPP work is summarised below. Review the vision for Takapuna contained in several strategic council documents, then confirm or reshape the vision. Establish funding principles and a programme to resource and coordinate the project activities. Clarify the current state, including the context for any masterplanning and the preferred realisation strategy market, strategic, statutory, budget, planning and stakeholder analysis. Analyse gaps and opportunities, market position and organisational drivers to refine project objectives and a brief for master planning. Create a preferred realisation strategy for the sites being considered. Develop options to deliver commercially viable developments that meet centre development drivers. Review and select preferred options and implementation strategy. Draw up a high-level communications and engagement plan, outlining how a place-based approach involving the local community will achieve joint outcomes

21 KEY STRATEGIC MOVES 40 PANUKU DEVELOPMENTS AUCKLAND 41

22 7.0 KEY STRATEGIC MOVES The key sites and initiatives Panuku has chosen in Takapuna provide opportunities to unlock strategic and commercial value by enabling renewal. Previous planning documents and strategic frameworks provide a platform for pressing ahead with revitalising the town centre, improving connections from the centre to the beach, improving public realm and delivering housing choice where possible. Essentially, the HLPP identifies four key strategic moves to achieve these aims: 1. Redeveloping the Anzac Street car park and adjacent properties through a mixed-use development of retail and residential. It will include active street frontages, laneways and public realm, connecting this site to Hurstmere Green and the beach beyond 2. Redeveloping the Gasometer site through a mixed-use development, likely to include some long-term parking provision 3. Considering acquiring additional properties to enhance our achievement of strategic objectives 4. Properties in The Strand area are currently held and managed Auckland Transport public parking however further investigation of the potential for these site will take place in the Framework Planning phase following approval of this HLPP. KEY STRATEGIC MOVE 1: ANZAC STREET CAR PARK AUBURN ST KILLARNEY ST ANZAC ST COMO ST HURON ST LAKE RD NORTHCROFT ST ANZAC ST The Takapuna Centre Plan sets out the following outcomes for the Anzac Street site, which Panuku will consider in refining the FRAMEWORK PLAN for the area. HURSTMERE RD THE STRAND open spaces and laneways that helps link the beach with the lake and draws Takapuna s beachside ambience into its heart. Public open spaces with flexibility for a range of activities, including civic ceremonies, a market, children s playground and passive enjoyment. Building scale and form that frame the open spaces, with a choice of sunshine, shade and shelter throughout the year, and respond to the public spaces and laneways with interesting frontages, particularly at ground level. Car parking of (at least the existing short-stay capacity of 270 and possibly up to 400 spaces) with good urban design outcomes. It supports the retail and entertainment identity of Hurstmere Road and the centre s heart, and helps compensate for any possible pedestrianisation of existing parking on and near The Strand. With the former Takapuna City Council having bought the Anzac Street site through a separate rate on adjacent properties, many of the long-established businesses have a strong sense of ownership. Development proposals need to ensure any disruption to car parking availability does not undermine the centre s commercial performance. Auckland Council owns 30 and 34 Hurstmere Road, two adjoining properties it bought to enable a stronger pedestrian connection between the car park and Hurstmere Road and the beach. Quality public open space and mixed-use development that makes the most of the prime site. It will provide a range of live, work and play options that cater for Takapuna s needs as a metropolitan centre. Quality architecture and urban design that responds to the stunning natural environment and improves access and visual connection to the site. Development based around a connected network of public The 240-space car park has an irregular boundary configuration. It is bounded to the east by a service lane at the rear of Hurstmere Road and several Anzac Street properties. On the western boundary it is impacted by a private property at 488 Lake Road and the Rose Garden. Open space bequeathed to the city council, the Rose Garden has some constraints on how it can be incorporated into a development scheme

23 KEY STRATEGIC MOVE 2: GASOMETER SITE KEY STRATEGIC MOVES 3 AND 4: AGGREGATION OF LAND OR OPPORTUNITY Development discussions have previously included the possibility of providing either basement parking or a multi-level car parking building to achieve the required car parking spaces and attractive commercial/mixed-use space to strengthen Takapuna s commercial centre. We will test the viability of such options, particularly regarding basement car parking. Development planning for the site will likely need to ensure adequate car parking is provided elsewhere in Takapuna centre during redevelopment works. This suggests the private sector may not be able to carry out a redevelopment scheme without a continued relationship with the council. Even so, the private sector could improve the viability of this development opportunity by controlling adjacent properties included within a broader development scheme. The approach to seeking a private sector partner to develop the scheme warrants careful consideration. If a more optimal scheme can be achieved by assembling adjacent properties to create a larger site, the private sector may need time to achieve this. Panuku will investigate strategic acquisition opportunities in the Framework Planning phase. AUBURN ST KILLARNEY ST ANZAC ST COMO ST HURON ST LAKE RD NORTHCROFT ST ANZAC ST This site on Northcroft and Huron streets is suitable to take to the market for development proposals through a conventional Expression of interest/request for proposal (EOI/RFP) process. Part of the site is already excavated below street level and the Burns and Auburn street frontage has excellent outlook to the south and west. The key to taking this development opportunity to the market will be confirming the extent of council off-street car parking to be provided. HURSTMERE RD THE STRAND subject to a conditional agreement for a mixed-use development, including a large amount of off-street parking for the council to retain on a strata ownership basis. However, this scheme did not proceed, partly because of the high costs of providing the underground car parking. A recent car park study suggests car parking on this site could be increased incrementally over a number of years. We could identify a part of the site to be developed as a purpose-built car parking building, enabling development in stages as demand dictated. As a further benefit, the balance of the land could be developed without needing strata ownerships for council parking requirements. There is an opportunity to acquire the adjoining Baby Factory property, which may present a more logical development boundary. Panuku will investigate strategic acquisition opportunities in the execution phase. To make the most of strategic and commercial gains from using the council s central Takapuna land assets for development, Panuku considers two main options. 1. Taking opportunities to selectively acquire or join up land within each precinct to improve the commercial and strategic gain within and between the precincts 2. Aggregating the opportunities when taking them to the market, and the benefits (or not) of doing so. 3. AGGREGATION OF LAND TOWARDS MORE COMPREHENSIVE OUTCOMES While this option would provide a more comprehensive development proposal, it also raises a number of considerations. Adjacent properties (except council land) are fully developed, in some cases to multiple levels, at 100 per cent coverage and leased at commercial rentals averaging $700-$800psm (per square metre). Buildings would need to be removed for development. Acquiring land from multiple and possibly reluctant owners will be complex, as will underlying leases. This will mean a significant land cost likely to exceed $10,000psm. The commercial benefits of such a strategy are questionable. It could also cost about $10 million, take a long time and encounter barriers due to lease implications and unwilling vendors. The strategic benefits from more comprehensive ownership will not be significant to the Takapuna objectives, which can largely be realised from the current asset base. Not taking up current options while seeking and negotiating aggregation opportunities could cause delays to long-promised improvements for Takapuna. It might be imprudent to devote additional resources to a questionable outcome when Takapuna is a Panuku unlock project, not a transform one. 4. AGGREGATION OF OPPORTUNITY REALISATION IN ONE COMPREHENSIVE PACKAGE Panuku recommends the more logical approach of achieving more comprehensive development through an EOI process. This gives market players or adjoining landowners in strategic locations an opportunity to be part of the process. However, there is a possible impact to be aware of when bringing the opportunities to market. It may introduce a competitive tension that lowers the market price for the offer if similar residential products are released at the same time. We could look at ways of easing this competitive tension at the detailed development planning stage of the project. There seems little benefit in seeking market response to a single aggregated opportunity. Each precinct is significant in its own right; collectively they will increase the entry cost and likely increase the development risk. The original intention of the North Shore City Council acquiring this site with car park reserve funds was to provide off-street parking to serve the commercial centre. More recently it was 44 45

24 7.1 KEY STRATEGIC MOVES - DEPENDENCIES Parking, public transport and other residential developments are issues and considerations that will inform and affect the development planning and realisation strategy for these sites. Auckland Transport has signalled that, in principle, it does not have an ongoing need for the renewal sites in their current form. However, AT will not formally decide to relinquish control of the sites before reviewing concept designs for any renewal proposal. AT has previously undertaken some work to determine the level of parking provision required to accommodate future growth of Takapuna centre. A level of car parking will need to be maintained across some of the sites, within a broader parking strategy for the centre. For HLPP purposes, Panuku assumes that car parking provision will follow the recommendation of AT s transport planning consultants (about 600 car parks, tbc) and that public transport movements will be confined to the existing street network. PARKING AND TRANSPORT The main council land holdings in the town centre are suitable for renewal. However, they are also the main locations where the council provides off-street parking to service the commercial centre and beach/leisure areas. AT manages these car parks, which provide a mix of short-stay and commuter parking. AT advises it is required to secure the continued and future provision of commuter parking in the centre and that any development planning should ensure future public transport needs are met. It is essential we confirm the amount of off-street car parking AT requires on behalf of the council and how flexible it can be about parking location to optimise development opportunities. Providing and managing public transport through the centre is also critical; at this stage we assume it is catered for within the existing streets and does not directly impact any of our sites. Panuku will work through the final details of AT requirements as part of development planning, which will directly inform the opportunities for each site. Because the council land is so significant in providing off-street parking in Takapuna, we will plan each site s sequencing and timing of development to ensure the centre s commercial functions are not undermined by losing parking for a long period. TAKAPUNA COMPREHENSIVE PARKING MANAGEMENT PLAN This AT plan estimates current and future needs for short-term parking (shoppers, visitors) and long-term parking (commuters) over the next 30 years. According to the plan, the short-stay parking supply exceeds the demand by about 300 spaces. Takapuna s projected economic growth is expected to generate an average demand of 145 more spaces every five years, which would absorb the current surplus over the next 10 years. An additional 580 (4 x 145) spaces may be required between 11 and 30 years to accommodate the growth. Some off-street parking would be lost through proposed street network changes. The reduction in short-stay parking could be limited to about 100 spaces. These spaces may need to be replaced in the next six to 10 years. The plan considers the current demand for public long-stay parking in Takapuna is about in balance with the supply. However, it recognises the need to avoid a significant shortfall in long-stay parking as that might discourage investment in new developments. Proposed improvements to Takapuna s street network, plus potential waterfront development, could result in losing 77 to 253 long-stay spaces that should be replaced over the short to medium term. The plan suggests Anzac Street car park is ideally located for short-stay parking, which it should continue to provide. Any renewal should provide at least the current 245 spaces. The Gasometer site renewal may provide a 600-space parking facility and cater mostly for long-stay parking in the short term, with a gradual shift towards providing short-stay. To reduce the impact of a large increase in supply, the plan recommends introducing restrictions on parking in a number of streets close to the centre, using clearways, short-stay and residents-only parking. DESIGNATIONS All selected sites within central Takapuna carry at least one designation. Their key constraints are AT designations for public car parks and public off-street parking. To develop these sites for another use, there are two options: Uplifting the designations under Section 182 of the Resource Management Act (RMA), AT can uplift the designation as its Requiring Authority. Panuku application under Section 176 of the RMA, we could apply for a use of the site that is not considered to prevent or hinder the public work or project or work to which the designation relates. So depending on the scope of the redevelopment, the proposal may require further work regarding the designation process. Panuku will resolve these matters through the framework planning phase

25 PLACE-BASED COMMUNITY ENGAGEMENT 48 PANUKU DEVELOPMENTS AUCKLAND 49

26 8.0 PLACE-BASED COMMUNITY ENGAGEMENT Based on the belief that effective collaboration will regularly out-perform individual or siloed approaches, Panuku is committed to engaging regularly with key stakeholders to ensure that urban renewal in Auckland takes place in a cohesive way. This approach has proven to offer the best chance for resolving different and complex issues. Collaboration requires a close partnership between the public, private and community sectors across key platforms to achieve an integrated urban strategy. These partnerships must be invested in and put into practise at all levels of the organisation. A place is an assembly of elements, characteristics and experiences that together define the identity of a particular location. Built places are born of communities, culture, economics and technology, and over time and in turn, built environments shape culture and particular events that take place here gradually form a history of each and every place. It with an appreciation of the importance of this, that Panuku has established a place-led approach to engagement. Panuku has a special role to play in connecting the people of Auckland with the Māori world Te Ao Māori. Panuku is a caretaker, or kaitiaki, and developer of land on behalf of the Auckland Council and the population of Tāmaki Makaurau. Tāmaki Makaurau mana whenua are the indigenous Māori population and acknowledged Māori kaitiaki of the land. Panuku acknowledges through the principles of Te Tiriti o Waitangi and the importance of land to Māori, that our particular relationship with these 19 iwi is therefore one of partnership in management and development of this essential element. We have a further relationship to build with the city s broader Māori population, mataawaka and urban Māori. Stakeholder Engagement and Communications Plan for Takapuna will support the Framework Planning and Implementation Phase of the renewal. Recognising that engagement with stakeholder is already underway during the creation of the HLPP, relationships will be formed and ready to activate when the Framework Plan work begins. FORM RELATIONSHIPS The engagement focus of Form Relationships sits within the planning phase. The purpose is to establish key relationships and build a platform for the next steps. This work will be primarily guided by Local Boards and Auckland Council officers who are knowledgeable about the place and largely concentrate on the gathering and sharing of information. LAUNCH RELATIONSHIPS Within the design phase, we will seek feedback and test opportunities and ideas using relationships and networks established during the Form stage. CONSOLIDATE RELATIONSHIPS Stakeholders are kept informed and help to support the local effects of implementation. MAINTAIN RELATIONSHIPS Stakeholder groups and organisations take over the place-based engagement. Panuku focus is on communications. MAINTAIN RELATIONSHIPS MANAGE PHASE FORM RELATIONSHIPS PLAN PHASE APPROACH TO PLACE-LED ENGAGEMENT CONSOLIDATE RELATIONSHIP IMPLEMENT PHASE LAUNCH RELATIONSHIPS DESIGN PHASE 50 51

27 8.1 COMMUNITY It is important we incorporate the valuable input so far from people who know Takapuna best, and continue to consult the community on the project plan and the opportunities and issues in their interest areas. Apart from council family colleagues at Auckland Council, Auckland Transport and Devonport-Takapuna Local Board, Panuku will engage with other key players as part of the HLPP process. These stakeholders are: Mana whenua Community and special interest groups (including business and residents associations) Owners of neighbouring properties. Community feedback on existing plans, such as the Takapuna Strategic Framework and the Devonport-Takapuna Local Board Plan, shows that a number of shared objectives and outcomes for revitalising Takapuna are consistent with the current proposals. This is despite the various stakeholders having different perspectives and interests. There is a high level of support for: Enabling the economic success of the town centre Retaining Takapuna s unique character Unifying the centre and connecting to the sea Providing for pedestrians and cyclists Ensuring high-quality development Increasing cultural and recreational attractions. In further developing the HLPP, Panuku will reconfirm areas of support with key stakeholders, as well as seek to address outstanding issues. We outline some of these aspects relating to specific following groups. DEVONPORT-TAKAPUNA LOCAL BOARD While the board and the community it represents wish to see Takapuna regenerated, they hold varying perspectives on how appropriate largescale intensification or development would be. Historically, they have also opposed disposing of council-owned property. Our engagement with the local board will focus on defining: A clear scope, and joint agreed outcomes Areas of disagreement we need to resolve Funding process and parameters (Panuku, local board) Our mandate for property disposal and acquisition. TĀMAKI MAKAURAU MĀORI The 13 Tāmaki Makaurau mana whenua iwi and hapū listed below have an interest in the broader Devonport-Takapuna local board area. Ngāti Whātua Te Rūnanga o Ngāti Whātua; Ngāti Whātua o Kaipara; Ngāti Whātua o Ōrākei Waiohua-Tāmaki Ngāi Tai Ki Tāmaki; Te Kawerau ā Maki; Ngāti Tamaoho; Te Ākitai Waiohua; Ngāti Te Ata Waiohua Marutūahu Ngāti Paoa; Ngāti Maru; Ngāti Whanaunga; Ngāti Tamaterā; Te Patukirikiri In partnership with these tribes, Panuku will: work with kaitiaki towards best care for land and people throughout planning and implementation of land development in Takapuna explore development partnership opportunities and other commercial interests capture and express broader interests through application of Te Aranga Design Principles Panuku will additionally engage with the broader local Māori population within the scope of our collaborative community engagement processes. COMMUNITY AND SPECIAL INTEREST GROUPS Many active individuals and community, business and special interest groups have been highly involved in lobbying and advocacy on issues relating to town centre renewal and the Takapuna beach reserve. We will continue to include the following stakeholders throughout the HLPP process. Takapuna Beach Business Association Residents associations Anzac Street and Takapuna Harbour Access Trust Takapuna Boating Club Auckland North Community and Development Environment Takapuna Save Takapuna Beach Takapuna Residents Group (a distinct group from the residents association) Other groups identified during consultation. Previous community consultation found support for development around the core of Takapuna, including: Unifying the town centre with quality buildings (up to 4-6 storeys) and public open space Giving greater priority to the needs of pedestrians and cyclists, and putting car parking underground Upgrading streets and enhancing pedestrian connections Providing amenities for children (playground, skateboard ramp and half-court basketball)

28 FUNDING 54 PANUKU DEVELOPMENTS AUCKLAND 55

29 9.0 FUNDING FUNDING The Takapuna renewal project will be fully funded by the sale of sites to development partners and the use of long-term plan (LTP) funding, if possible from the funds in table. Options that could achieve enhanced outcomes through the addition of public good money may be presented. Panuku will develop these as part of its more detailed planning and development assessments. Additionally, there is a funding pool historically obtained from money collected as car park contributions related to developments. The council holds these monies in a restricted-use fund for parking related projects. Panuku is investigating to what extent these funds could be used for parking projects in Takapuna. We understand applications need to be made to the council, which decides which projects may use the funds. The fund stands at $3,609,770. We will source in-principle development funding, if required, through the Strategic Development Fund and repay it from the proceeds of selling or repurposing assets. The table below shows the allocation of LTP funding: PROJECT FUNDING 2015/ / / /19 Growth priority area improvements (capex) $1,452,000 $1,518,000 $4,664,000 Hurstmere Road upgrade (capex) $3,325,000 $2,850,000 Will benefit from the $5.6m Taharoto/Wairau Road (stage 3) upgrade (capex) Anzac Street car park mixed-use development (opex) Funded in draft LTP $50,000 $50,000 Develop the Gasometer site as an exemplar of a mixed-use development (opex) Funded in draft LTP $50,000 $50,

30 PHASING AND TIMELINE 58 PANUKU DEVELOPMENTS AUCKLAND 59

31 10.0 PHASING AND TIMELINE The HLPP development process for Takapuna has three phases. PHASE 1 Carrying out a context and current state analysis. PHASE 2 Identifying opportunities and constraints to inform a clear project vision, objectives and design brief to drive the masterplanning. PHASE 3 - APRIL 2016 Preparing a framework plan, including an implementation strategy to deliver on the project vision and deliverables. FINAL PHASE - JUNE 2016 Using everything learned and collated in the previous phases, preparing a business case to provide a sound bases for the project s rationale and implementation. Pending endorsement of the HLPP, here is a breakdown of the next steps Panuku will undertake. April 2016 Master planning for the area, with the following outputs: Design statement guiding vision Development principles what is prescribed, what is flexible Responsiveness to context, market, site conditions 3D spatial representation of uses, movement and relationships Feasibility testing to optimise commercial and design outcomes Design principles and controls reference/design brief that will inform any disposal of land or property assets Implementation strategy and plan. June 2016 Production of a business case that enables the project to be communicated, assessed and delivered, with the following elements: Project objectives, deliverables and benefits Any recommended property acquisitions Implementation development and procurement/realisation strategy, including reference brief Implementation role of parties council, Panuku, development partner Project budget revenue projections, cost plans, cash flow and funding sources Project programme, milestones and monitoring Risks, mitigation and dependencies Finalisation of statutory clearance process Stakeholder engagement plan

32 CONTACTS PROJECT MANAGER: Kirsten Andrews ENGAGEMENT MANAGER: Toni Giacon Level 2, Pier 21 Building, 11 Westhaven Drive, Freemans Bay. PO Box 90343, Victoria Street West, Auckland 1142, New Zealand. T: W: facebook.com/developmentakl 62 63

33 panuku.co.nz