South Waikato kicks off its largest new residential development in Putāruru

South Waikato Mayor Gary Petley (left) and Ultimate Global Group Chief Operating Officer Lloyd Cloughley. Photo / Supplied

Putāruru celebrates the groundbreaking of the largest residential development in South Waikato as earthworks for the first stage of a 400-home development kick off on Tuesday .

The earthworks mark the start of the first 22 houses of the $200 million residential project being built on 38ha in Overdale Rd.

Of the 22 houses, seven have already been pre-sold to families and investors. The investment properties will be used as rentals to meet the local demand.

South Waikato Mayor Gary Petley says the project was a great boost for housing in the district.

"Our district is growing significantly both in terms of population and business investment. This is just another example of how investors are recognising the strengths of the South Waikato with our central location, strong rail and road links, land availability and a business and investor-friendly council."

The project is overseen by New Zealand-based property developer Ultimate Global Group and its construction arm Ultimate Builders.

Of the 22 houses kicking off the 400-home development, seven have already been pre-sold. Graphic / Supplied

Ultimate Global Group chief operating officer Lloyd Cloughley says a showhome and the first two houses will be completed about March and April.

He says in Putāruru, the company could bring a house to market for at least $300,000 less than in Tauranga or Rotorua.

"Here's a great opportunity for an average mum and dad to buy a stand-alone house on a 600sq m section ... our entry-level house is $715,000 – a similar house in Tauranga or the Lakes would be $1.1 to 1.4 million," says Cloughley.

Council head of economic development Paul Bowden says the Ultimate Global Group development was another example that post-Covid demand for work-life balance is driving growth in provincial New Zealand towns.

From left: Greg Petrin, Brendan Hopkins, Gary Petley, Lloyd Cloughley, Sandra Wallace, Ryan Motion and Kerry Purdy, Marie Farrell and Hans Nelis. Photo / Supplied

"This will be a game-changer for housing supply in the district. Also Hamilton, Tauranga and Rotorua are all commutable in under one hour and Auckland is just two hours away," Bowden says.

Cloughley says the Covid-19 pandemic has shown employers that people can be productively working from home.

"In a time of significant pressure to find employees, many employers are willing for employees to live anywhere as long as they are productive.

"Putāruru is perfect. The general manager of Ultimate Builders has moved from Tauranga to Putāruru. His wife is a graphic designer who works from home."

An example of what Ultimate Global Group's Putāruru standalone homes would look like. Photo / Supplied

The Ultimate Global Group project is yet another multimillion-dollar development taking shape in South Waikato.

It follows the announcement of the 254-villa Putāruru Country Estate retirement village set to be built in Kennedy Drive, a government investment into a feasibility study at Tokoroa's Kinleith Mill and the visit of South Waikato leaders to Parliament in search of investment into the district.

Further multimillion-dollar investments include the South Waikato Trades Training Centre being built in Tokoroa, the Olam dairy facility and Better Eggs' free-range forest farm.