Ten lots in a new industrial estate comprising 29 sections on 4.8ha to the southwest of the town centre of Cromwell hit the market for deadline sale today.
The lots in Cemetery Rd are the first to be marketed as part of the Cromwell Industrial Estate, which is being developed by the Central Otago District Council (CODC) to meet the demands of Cromwell’s business community and substantial projected growth.
The CODC had marketed the first four sites itself and real estate company Colliers has been appointed to offer the remainder of the estate.
Individual lots of between 500 and 1033sqm are available in the first release.
Colliers Otago director Alastair Wood, who is marketing the estate with colleagues Steve McIsaac and Marie Hendren, said it was a game-changer for Cromwell.
“While there appears to be a reasonable supply of industrial land in Cromwell, there is a significant lack of ready-to-build-on sites that are under 2000sqm.”
Lot sizes in the new estate ranged from 500sqm to 3000sqm and the bulk were from 500sqm to 1000sqm and would allow local trades to establish a business base, while offering investors an alternative to residential properties.
Mr McIsaac said Cromwell land values sat between $350 and $500 a sqm and the upper end of the range applied to smaller sites or those that had exposure to more traffic.
In Wanaka, industrial land cost more than $500 a sqm and in Queenstown it was was in excess of $1500 a sqm.
The Cromwell area had experienced continued growth in the residential and lifestyle market for the past decade and the population was expected to continue to grow. Projections showed a rise of more than 20% from 7750 residents in 2018 to 9450 in 2028.
That growth was driving commercial activity, and significant development was under way or planned.
The initial 10 lots would marketed for sale by deadline date, starting today and closing on September 16.