KEY POINTS:
The Environment Court has approved a large bulk retail centre directly opposite Kiwi Income's $300 million-plus Sylvia Park shopping centre at Mt Wellington.
Developer Tony Gapes' Redwood Group can develop a $75 million 14-store centre with about 400 carparks only months after Kiwi finished the final phase of its centre.
Auckland City had refused Gapes' application to develop a shopping centre with 1.3ha of indoor floorspace but the Environment Court overturned the decision.
Gapes, who is also battling to develop 188 apartments in Orakei, plans to build on the large site at 315-375 Mt Wellington Highway and will start a marketing campaign to find tenants in a fortnight. Sylvia Park, at 286 Mt Wellington Highway, is the country's largest shopping centre and Transit New Zealand, Kiwi, Sylvia Park business Centre and Custom Fleet all battled to stop Gapes developing his centre.
But Judge Laurie Newhook in the Environment Court allowed Redwood's appeal. He granted Gapes a non-complying activity land use consent to build and run the retail centre with a gross floor area of 13,777sq m.
A considerable amount of time was spent hearing evidence from experts. The traffic generation rate could be reasonably accommodated in the area, Judge Newhook said.
The parties involved also eventually reached an agreement to allow Redwood to go ahead as long as strict conditions were imposed.
"The parties ultimately came to an agreement whereby consent could issue subject to very detailed conditions being imposed," Judge Newhook said.
The items generally intended to be sold at the development were furniture, whitewear, electronic goods and appliances, lighting, sports goods, outdoor equipment and home furnishings, he said.
Gapes had specialist architects Ignite of Parnell design the new centre and engineer, planning and management business Beca work on his proposal.
He was delighted with his victory which would bring a $75 million development to the site.
"We're no direct threat to Kiwi," Gapes said.
Angus McNaughton, chief executive of Kiwi's manager, ruled out an appeal to the High Court.
"We won't be appealing it.
"We have been in discussions with Redwood Group for the past two years and had concerns about traffic because the site is accessed off our main entranceway. But it's a very small development and bulky goods so it doesn't compete with us. In fact, it will be complementary," McNaughton said.
REDWOOD DEVELOPMENTS
Tony Gapes' Redwood Group was founded in 1992. Projects are:
* Scene One, Two and Three apartments on Auckland's waterfront.
* Foodtown supermarket on Quay St near the Scene blocks.
* Eden One and Eden Two apartments in Mt Eden.
* Residential projects at Omaha, Ponsonby and Parnell.
* A proposal for an intensive Orakei apartment project.
