Flexible purchase options and an industrial land shortage are tipped to heighten buyer demand for a large development site in Hawke’s Bay’s horticultural heartland.

The freehold industrial landholding of more than nine hectares near Hastings is among the last remaining industrial land unaffected by the Hawke’s Bay floods of 2023, which exacerbated an existing local land shortage.

The land for sale forms part of the burgeoning Irongate industrial hub on the city’s southwestern outskirts. This precinct has attracted significant development by major operators in sectors such as cold storage, processing, logistics and distribution.

Buyers are being offered four options to buy all or part of the site for sale on Irongate Road, with resulting opportunities to develop or subdivide the land. These options cater to the needs of a variety of investors and large occupiers.

Buyers can acquire the full 9.1 hectares, including a 150-bed accommodation complex for horticultural workers employed under the Recognised Seasonal Employer scheme.

This building of some 2,400 square metres is occupied by Bostock New Zealand, a leading national grower and the country’s biggest producer of organic apples, on a 15-year lease with a further 10-year right of renewal. This will provide new owners with an annual net rental income of $380,000 plus outgoings and GST.

Alternatively, there are three options to buy part of the property – either a bare land site of some 8.25 hectares; a regular-shaped 5.25-hectare (more or less) landholding with extensive road frontage; or sites from one hectare to be subdivided to suit buyers’ requirements.

The property at 73 Irongate Road, Hastings, is being marketed for sale by negotiation through Rollo Vavasour of Bayleys Havelock North.

The entire landholding sits within the General Industrial zone under the Hastings District Plan. This permits wide-ranging industrial uses and subdivision into sites with an average area as small as one hectare.

Vavasour said the flexible purchase options would be attractive for buyers keen to develop a mid-scale industrial facility or large horticultural processing plant – or an investor with an eye on the future.

“New owners will also have options to subdivide the land and sell sites individually, or to create their own subdivision or development projects.

“The Irongate industrial precinct is rapidly being built out as new leased and owner-occupied projects are completed and others are about to commence.

“Rapid growth in the values of neighbouring properties demonstrates the strength of local demand for large industrial sites,” Vavasour said.

Flood damage wreaked by Cyclone Gabrielle in February 2023 worsened an already tight supply-and-demand situation for industrial property, he said.

“The Irongate Road site is one of the last remaining industrial sites entirely unaffected by the 2023 floods. As such, it represents an extremely rare offering as a substantial landholding ripe for development.”

A comprehensive geotechnical report is available.

Neighbouring properties are home to the likes of fruit producer Sunfruit and apple exporter Rockit, along with building and construction-related firms PlaceMakers, Lattey, Tumu Timbers and BBI Wood Products, and logistics company Mainfreight.

Logistical efficiency for businesses based at Irongate is underpinned by a strategic location near Hastings and the Hawke’s Bay Expressway (State Highway 2), which connects with the Port of Napier and Hawke’s Bay Airport.