Local developer chosen in a build/leaseback agreement
Local developer chosen in a build/leaseback agreement on regional council’s new Masterton building
Greater Wellington Regional Council has agreed in principle to sell its former Masterton office to local property development company Endeavour Concepts Limited, which will develop a new building and lease it to Greater Wellington.
The regional council’s former Masterton offices, at 34 Chapel St, have only been used for meetings since October 2018. The front part of the Chapel St main office building has an earthquake rating of just 45% New Building Standard (NBS) and the rear part of 35-40% NBS.
“It’s not a safe or efficient building, and our duty of care to staff and visitors requires us to provide safe accommodation. Other than its seismic condition, the building also dates from 1966 and is effectively nearing the end of its functional and economic life,” says Cr Adrienne Staples.
“While designs are yet to be completed, we’re looking at leasing a robust sustainable new building with reduced overall energy consumption, designed incorporating some key environmentally sustainable initiatives. It will also smarten up the Chapel St streetscape.”
Greater Wellington has owned and occupied the main Masterton office building at 34 Chapel St since acquiring the property from Masterton District Council in 1989. In 2004, the adjoining property at 24-26 Chapel St was purchased for future redevelopment of the combined sites for a new Masterton office.
As part of the RFI and RFP process Greater Wellington considered several options, including:
· Searching the open market for new or existing building leases, including staying on long-term at the Departmental Building
· GWRC developing its own new building on the existing site
· Selling the existing property to a developer and leasing back the new building on the site.
Following detailed analysis of the three options, the last was chosen.
Greater Wellington staff work from temporary alternative office accommodation on level four of the Departmental Building where we have been operating since October 2018 with a lease in place to April 2021.
Details on the final design and date of completion of the new building are yet to be finalised.