Auckland's luxury pads fail to draw investors

Stamford Plaza has slashed $4.2 million off its penthouse. Photo / Herald on Sunday

The city's top pads are lounging on the market and the Stamford Plaza penthouse has suffered a brutal chop from $9.2 million to $5 million.

Multimillion-dollar price cuts like this are still not enough to stop these giants hanging about in mid-winter as agents lose hope of finding elusive well-heeled buyers.

In 2006, $9.2 million was being asked for the empty unfurnished Stamford mammoth. Today, just over $5 million might well buy the top-level 411sq m fully furnished place.

The early-June relaunch of the apartment saw it transformed from a concrete shell into top-level luxury after being decorated and furnished by Stewart Harris of Martin Hughes Architecture Interiors. And still the buyers failed to come.

Sales of the 149 freehold apartments on Albert St have been so poor that Singaporean developer Stamford has fitted many of its other units out and has resorted to renting them to generate cash.

The penthouse comes with an annual $37,877 for body corporate fees, chocolate marble floors, grand interior stud height up to 3.3m, floor-to-ceiling glass windows, full-height American walnut doors, Caesar Stone kitchen benchtops, American walnut joinery, Miele appliances, butler's pantry with a full-height wine fridge, bedrooms with deep wool carpet, and his and hers walk-in bedroom wardrobes.

In 2006, agents were asking $1 million-plus apiece for a further 26 upper-level units in the 11-level extension above one of the city's best hotels.

Penthouse specialist Kellands' Fiona Mackenzie says few expensive places have sold since last year's $5.5 million deal for the top level of Shed 24 on Princes Wharf. "I'm struggling to find any evidence of any large apartment sales this year."

She wants a buyer for the twin-level Waterloo Quadrant penthouse, previously marketed for $3.2 million but now sub-$2 million.

Few buyers, a tough market and bargain-hunters are making this sector a struggle.

The top level of Shed 21 above Hilton Auckland on the wharf has been available since early 2007, with a price of $10 million. Waterfront places hardly come better than the tip of the city on the northeast point. It's big: about 0.1ha. Wharf developer David Henderson's pad is 1061sq m of internal floor space and decks of 416sq m. Fiona Mackenzie said the apartment was the largest in the country and remained for sale. When it went on the market, QV listed the apartment as having a capital value of $5.3 million.

The Charles Shrimpton's level 37 of Metropolis on Courthouse Lane in the CBD is for sale through Bayleys. Mr Shrimpton quit level 38 for $3.8 million in 2007. Level 37 has been going begging for a couple of years and is fitted out as an office. Further down the block, an apartment on the 34th level has formal and informal dining. Agent Nicola Kelland is asking $2.5 million for the ex-rental with three carparks - one for each of the unit's bedrooms.

Just $1.95 million will get you a penthouse in Hyatt Residences on Princes St - plus four carparks. Kellands' Fiona Mackenzie is selling this place with extensive Albert Park views.

A clutch of 24 penthouse apartments on the top level six of the Westin Lighter Quay Hotel went on the market a few weeks ago. International investor BlueSky wants to quit these places touted as having once been the hotel rooms of David Beckham and Sir Elton John. From $365,000 to $872,000 each, these are some of the city's cheapest but will remain part of the hotel's business so don't even think of moving in.

Agent Nicola Kelland says some White Heron units once fetched $6 million but now about $4 million will get the penthouse in the Hobson building on St Stephens Ave.

BONANZA

* Stamford Plaza: was $9.2m, now $5m.
* Waterloo Quadrant: was $3.2m, now under $2m.
* All level 37, Metropolis: make an offer.
* White Heron: was $6m, now $4m.