$300m for more open space on waterfront

A secret deal to create more open space on the Auckland waterfront is set to cost the public about $300 million - on top of the $350 million already set aside to create parks, transport and other infrastructure on prime waterfront land.

A source close to talks on the Tank Farm area told the Herald that the only way to meet public demands for more open space on the headland jutting out into the Waitemata Harbour was a 50-50 joint venture with Ports of Auckland, which owns 20ha of the 35ha.

"The ports are playing hardball," the source said.

Draft plans leaked to the Herald showed the deal, being discussed in secret, would deliver more open space but the 8ha headland would still have hundreds of apartments in four blocks of six storeys each.

After a two-week Herald campaign in March urging readers to have their say on council proposals for the waterfront, a resounding 76 per cent of respondents said there was not enough open space. Echoing that was an overwhelming roar of opposition to the amount of commercial development.

Under the joint venture, Auckland City would have to provide about $300 million to buy half of the port company's stake in the Tank Farm. The council is doing due diligence on the port company's books.

The source said the port company had refused point blank to let go of its entire holding because it wanted a second income stream to supplement its core freight business, which was under aggressive pressure by Port of Tauranga.

This was a change from two years ago when the port company sold Westhaven marina for $52 million.

A second source said yesterday that good progress was being made on releasing the plan change for the Tank Farm, which has been put back from May 31 for up to two months. Notification of the plan change is the start of the formal process to rezone the land from marine industrial to a combination of marine, commercial, residential and open space use.

Developing the contaminated dockland is not due to start for three years and take until 2025, with a completed value of more than $2 billion.

The second source said the latest draft plans included a tree-lined boulevard 40m wide with limited vehicle access running the length of Daldy St from Victoria Park to a piazza in Jellicoe St.