$15.5m redevelopment of former Whangārei supermarket site opens first stage

Northland Regional Council chairwoman Penny Smart speaks at a dawn blessing to mark the opening of stage one redevelopment of a former supermarket site in Kensington.

A $15.5 million redevelopment of a former Whangārei supermarket site is largely complete with a dawn blessing ceremony to mark its first tenants officially setting up shop.

Northland Regional Council chairwoman Penny Smart said councillors expect the development will breathe new life and vibrancy into the Kensington area, with a medical centre, gym, physio and several food outlets among the new tenants to come.

"Supporting the economic recovery of our region and the wellbeing of our communities is a real priority for our council, and we're really thrilled that this redevelopment will have a hand in that," Smart said.

"As well as creating a new business hub in the area that'll connect and service the local community, the new tenants will bring with them much-needed new local jobs."

As site owner, the council has worked with project development partner Argyle Estates Ltd since 2018, with Whangārei-based Arco Group awarded the main contract for the redevelopment.

Smart said the council was delighted with both the quality and pace of the work, despite losing 23 working days to the national pandemic lockdown.

The project involved a significant refurbishment of the former Countdown supermarket building, now split into about a dozen tenancies. The revamp is planned to be completed in two stages, with the recent ceremony marking the formal opening of the first stage.

A medical precinct – home to Kensington Health and Team Dental – takes up the western side, with a gym and separate physio business expected to occupy the eastern side facing Kamo Rd. The latter area will also be home to other "convenience retail" and hospitality businesses.

Among those already signed up are BurgerFuel, Lone Star, Sal's Pizza, St Pierre's Sushi and Tank, which the council says will boost eating options for local residents and tourists alike, drawing them into Whangārei and on to other activities.

Work is progressing on the next stage of the $15.5 million redevelopment of the former Countdown Supermarket in Kensington.

The other part of the development will see early childhood education provider Best Start construct a new building on the northern part of the site, to cater for up to 75 children.
While the council had originally intended to retain the title, it has agreed to sell the 1700 square metre portion to a family trust associated with the charitable childcare centre operator, Best Start. The sale, for an undisclosed sum, means the operator will own and operate the building and the land it sits on outright.

Smart said the bulk of the Kensington site remains in council ownership as a tenanted investment, with returns used to subsidise rates and council activities.

The second stage of the project, including construction and subsequent associated store outfitting, is expected to continue until Christmas and a number of tenants would not begin physically operating until early next year.