Turning their backs on the competition: The existing Woolworths (left) right beside the new $100m Pak'nSave Highland Park in east Auckland. Photo / Jason Oxenham
Turning their backs on the competition: The existing Woolworths (left) right beside the new $100m Pak'nSave Highland Park in east Auckland. Photo / Jason Oxenham
New Zealand’s largest under-construction supermarket is a $100 million Pak’nSave in east Auckland, right next door to an existing store operated by rival ASX-listed Woolworths.
Foodstuffs North Island’s retail and property general manager Lindsay Rowles and property head Nick Hanson took the Herald on a tour of thenew 6391sq m Pak’nSave Highland Park which is one of the largest Pak’nSave stores to rise in New Zealand.
The building due for completion in nine months is being built on a gently sloping 2.09ha site at 503 Pakuranga Rd.
Groceries coming soon: Lindsay Rowles and Nick Hanson inside the vast new Pak'nSave Highland Park. Photo / Jason Oxenham
Most of the roof is on, the floor is soon about to be poured and walls are up on the site where 329 car parks will be offered on opening next March
Next door, Woolworths has a smaller 4812sq m store and fewer car parks and insiders say the new Pak’nSave is one of the cleverest moves Foodstuffs North Island has made, taking on the competition with a bigger, cheaper offering directly next door.
Asked about head-to-head competition in this geographic rivalry, Rowles talks more about that from the customers’ perspective than the corporate one.
“To get a Pak’nSave next to a Woolworths with a big car park gives consumers choice. You get the full Woolworths and the full Pak’nSave assortment. The idea is customers can make a full weekly shop here with choice. We think that’s a fairly compelling offer. This is an area of mainly single-family dwellings but it’s changing with time,” Rowles said.
Lindsay Rowles in new upstairs offices and staff areas at Pak'nSave Highland Park. Photo / Jason Oxenham
Hanson said New Zealand’s largest Pak’nSave - and this country’s largest supermarket - remained the Henderson store on Lincoln Rd at 8800sq m.
The new Highland Park store will be one of the biggest for Foodstuffs North Island but the largest now under construction.
Christchurch’s new Pak’nSave Papanui by Foodstuffs South Island is 6260sq m.
The single-level Highland Park building is on the prominent corner of Highland Park Dr and Aviemore Dr.
Being a store of more than 6391sq m, Rowles says, makes a huge difference to how it will be stocked and operate.
“It means you have more on the floor in easier-to-handle ways. Instead of a layer of boxes, you put a pallet on the floor.”
A Woolworths spokeswoman said that the company’s Highland Park store was being upgraded: an internal refurbishment was completed and included a new pharmacy, refrigeration with energy and sustainability efficiencies, improved bakery, produce and health and body aisles as well as four new self-checkouts.
“External refurbishments include a new direct to boot facility with five dedicated covered car parks. These are perfect for our online shoppers to remain in the comfort of their vehicles while our helpful store team loads their shopping straight in the boot. In addition, we’re building a new car park deck to double the number of spaces outside the store entrance. Our existing undercover car park is being upgraded to include a new travelator to ensure accessibility from the downstairs car park to the store,” the Woolworths spokeswoman said.
But where's the milk and bread? The under-construction Pak'nSave Highland Park by Foodstuffs North Island. Photo / Jason Oxenham
Shane Hartner’s Legacy Construction is building the new Pak’nSave supermarket and also working on the neighbouring Woolworths where refurbishments are underway.
Rowles said the new Pak’nSave would have an innovative feature: an enclosed drive-through for click-and-collect shoppers, able to take six vehicles at one time, with food loaded into vehicles in that area.
Pak’nSave Albany already has one and Pak’nSave Henderson has one as well.
All has not been plain sailing with this project. In 2019, the Heraldreported how Foodstuffs claimed rival Woolworths was using “anti-competitive” tactics to block it from opening a supermarket on the site.
Woolworths disagreed, saying Foodstuffs was aware of requirements in its lease agreement that ensured its supermarket remained part of Highland Park shopping centre.
Pak'nSave Henderson on Lincoln Rd is New Zealand's biggest supermarket, at more than 8000sq m.
In December 2017, Foodstuffs bought Highland Park shopping centre. It took possession of the site in June 2018.
It planned to open a Pak’nSave supermarket on the property and redevelop the site but the Auckland-based supermarket operator says Woolworths is blocking progress due to a clause in the lease that restricted trade.
The lease also states disputes should be resolved through arbitration.
All that has now been resolved, meaning the new store opens just after the New Year.
Four Square Te Mata (replacement store) opened December 2022;
New World Taumarunui (replacement store) opened January 2023;
Four Square Eden Terrace opened January 2023;
Four Square Te Kowhai opened May 2023;
Pak’nSave Warkworth opened June 2023;
Four Square Onehunga opened July 2023;
Four Square Waverley (replacement store) opened September 2023;
Four Square Mount Maunganui opened October 2023;
Four Square Britomart opened November 2023;
Four Square Fitzroy in New Plymouth, opened November 2023.
Pak’nSave Papanui opened earlier this year.
Pak’nSave Highland Park
Turning their backs on the competition - the existing Woolworths (left) right beside the new $100m Pak'nSave Highland Park in east Auckland. Photo / Jason Oxenham
Anticipated land, building valuations on completion: $100m;
Store owner/operator: yet to be announced;
Address: 503 Pakuranga Rd, east Auckland;
Site, building owned by Foodstuffs North Island subsidiary Wai-iti Developments;
Builder: Legacy Construction;
Expected opening: Around March, 2025;
Staff: around 250;
Car parks: 329;
Extra shops: up to seven in an extra retail area of 640sq m.
Anne Gibson has been the Herald’s property editor for 24 years, written books and covered property extensively here and overseas.
