Council to sell Maunganui Road land to Zespri

Media Release - 14 October 2015

​Tauranga City Council is pleased to announce it has approved the sale of the land it owns at 384-410 Maunganui Road to Zespri International. Zespri, which currently leases the building and land from Tauranga City Council, plans to build a new head office at the southern end of the site and develop a parkland, to be owned by Council, adjoining its new building. The agreed purchase price for the land was $10.1 million. Zespri’s offer was not the highest bid, but was unconditional and provided the best value to Council and the community.  

Tauranga Mayor Stuart Crosby was delighted that Zespri, one of the world’s leading horticultural companies and a significant exporter for New Zealand, had identified the Maunganui Road property as the preferred site for its head office. “It is fantastic that this truly global company will develop an iconic building that the city can be proud of, and work with us to reinstate the community space in the adjoining parkland,” Mr Crosby said.

“We will work closely with Zespri to develop this space, to create a sense of place and encourage community and commercial activities. Council has listened to the public and this is a great outcome for everyone involved: the community, the city and Zespri.”

Zespri Chief Financial Officer David Hazlehurst was pleased the company would remain on its current site.

“This is a significant moment for Zespri and we are so pleased to cement our place in this community, near the heart of the New Zealand kiwifruit industry,” he said.
 
“The industry has reached pre-Psa volumes of fruit and is set for strong growth so it is fitting that this opportunity came up to invest in our Maunganui Road site. This offers real value for our shareholders and means we can maintain business continuity.”

In February, Elected Members asked the community for their views on the future of the site as part of a strategic land review. Among the options for consideration was to sell part or all of the land. After considering the views and feedback from the public, Council decided at the 23 June meeting to retain the land where the Mount Library and Mount Plunket Preschool are, retain a 3,500m² park on the site, and dispose of 8,100m² of the commercial zoned land.

The land was jointly marketed by Colliers International and Bayleys, for sale or leasehold sale by closed tender from 2 September. Tenders closed 4pm on 1 October. Council received multiple offers to purchase the land as freehold. Zespri will continue to operate from the Maunganui Road site until the new building is ready in 2018.

ENDS

For more information from Zespri, contact Zespri Senior Communications Advisor, Rachel Lynch on rachel.lynch@zespri.com or 027 509 1805. Photos are available on request.

For more information from Tauranga City Council, contact Communications Manager, Aimee Driscoll on aimee.driscoll@tauranga.govt.nz or 027 807 8874.

About Zespri Group Ltd
With sales revenues of $1.57 billion in 2014/15, Zespri is one of the world’s most successful horticulture marketing companies and the Zespri brand is recognised as the world leader in premium quality kiwifruit. Based in Mount Maunganui, New Zealand, we are 100 percent owned by current or past kiwifruit growers, and employ approximately 350 people in New Zealand, Asia, Europe and the Americas. 

On behalf of our 2,500 growers in New Zealand and 1,200 growers based elsewhere, Zespri manages kiwifruit innovation and supply management, distribution management and marketing of Zespri Green, Zespri SunGold, Zespri Organic, Zespri Gold and Zespri Sweet Green Kiwifruit.

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