Tauranga City Council sells Marine Precinct service hub at Sulphur Point

Tauranga City Council has sold the Marine Precinct service hub at Sulphur Point to private interests.

In a statement released this afternoon, after the Government’s Budget announcement, the council stated the sale guaranteed the precinct’s future in bringing significant economic benefit to the wider community.

The statement did not name the buyer of the precinct, which operates from Sulphur Point as a service hub for the marine industry and formed part of the council’s property portfolio.

The first stage of the $11.4 million precinct project opened in 2018. Its development was funded by the council through land sales, and Bay of Plenty Regional Council through the Regional Infrastructure Fund.

In the statement, council commission chairwoman Anne Tolley said the sale of the precinct would allow significant development to be progressed.

She said related investments in city wharf facilities would be good for the marine sector.

The precinct was “non-core business” for the council and further development and management of the site sat best with a private company, she said.

As part of the sale, the purchaser must develop the balance of the precinct, to establish a purpose-built marine service facility to provide a base for the region’s marine sector.

“The sale of the Marine Precinct and development of the facility will bolster Tauranga’s marine industry, while bringing new business and opportunities to the city,” Tolley said.

She said precinct activities in future would focus more on “very high-value work”, such as superyacht maintenance and refits.

Some traditional activities such as berthage for the fishing fleet would move to new, purpose-built facilities.

After consultation for the city’s Long-term Plan, funding was put aside to invest in marine facilities, and this money would provide improved fishing facilities, Tolley said.

“The planned replacement of Fisherman’s Wharf close to the city centre will not only provide benefits for the fishing fleet in terms of operational convenience but will also foster a stronger connection between the fishing industry and the local community.”

Nigel Tutt, chief executive of economic development agency Priority One, said in the council statement the new marine facilities, including an improved Marine Precinct, would create extra economic opportunity for the city.

“This investment will provide Tauranga with substantial economic benefits; encouraging investment in the city and our marine sector, providing facilities for local businesses to expand, and creating high-value jobs for our community,” Tutt said.