Auckland Council approves sale of seven properties, despite opposition

Tuesday, 15 May 2018

Councillors Penny Hulse and Linda Cooper outside the former Waitākere City Council chambers, which has been saved from the chopping block.

More than $128 million of property is to be sold as Auckland Council looks to make better use of its office space.

Amid allegations of being 'Queen St centric', councillors voted 13-4 on May 15 to sell seven properties across the city, including buildings from legacy councils.

The former Waitākere City Council building had been considered for sale but has been saved, as was the park on the corner of East and Queen St in Papakura.

Downsizing from 10 buildings, the council wanted to house its 5446 staff in four office buildings – its Auckland House headquarters plus hubs downtown, in the south and one in Albany or Westgate.

**READ MORE:

Councillor John Watson's proposal to delay selling the former Rodney District Council civic centre was lost six votes to 11.

* Backlash for 'ambush' sale of Auckland Council service centres

* 'Lack of thought' delays sale of $190m of Auckland Council property

The Papakura Service Centre buildings are to be sold, but the park within the red line will be kept.

* Manukau service centre to be moved and building sold, according to proposal

* West Auckland's 'die-in-the-ditch' building on the chopping block**

The green parts at 6 Henderson Valley Rd are to be sold, and the blue parts kept - including the former Waitākere City Council chambers.

Mayor Phil Goff said the council had 45 per cent too much office space, and he had promised savings.

The properties were poorly looked after, did not meet the needs of staff and customers, and $117 million would have to be found to maintain them, he said.

The Pukekohe Service Centre will now be sold.

It would be 'nonsense' to have the equivalent of an 8 per cent rates rise.

'I would rather be putting that money into the homeless than spending it on empty office space that we don't need.'

Some councillors and local boards were unhappy with the speed of the sale and the lack of consultation.

Hibiscus and Bays Local Board chairwoman Julia Parfitt told councillors the sale of the former Rodney District Council civic centre should have required public consultation.

'We believe that in a cynical way, council has actually chosen not to look at the significance of this sale to the local area,' she said.

'I've never seen council handle something so quickly, in terms of disposal, and the almost indecent haste that it occurred certainly has caused a great concern.'

Parfitt said the further people lived from the city centre the more they viewed the council as 'Queen St-centric'.

As well as four main office buildings, the council would have 25 drop-in workplaces across the region.

There were also plans for, new or refurbished, 21 local board spaces and 20 customer service centres.

Auckland Council corporate property head Rod Aitken said better office spaces meant improved staff engagement, productivity and better customer service.

'This is not without thought,' he said. 'The hub and spoke model is used successfully by other large organisations.'

'If we just fix up our old buildings then we are tying ourselves to legacy locations and fragmented service delivery.'

Aitken said the Waitākere civic building would be kept as it was of good quality and the right size for the council's needs.

A vote to consult with the public before selling the former Rodney District Council civic centre was lost six votes to 11.

Councillor John Watson said the sale of the relatively new Tasman building there was a 'firesale' as it would only fetch half the $20m it cost to build.

Deals had been struck, but some councillors were left trying to get their communities 'a fair suck of the sav', he said.

Councillor Mike Lee said power had concentrated in the centre of the city, and the council had to do more to keep the confidence of its districts.

The skepticism at amalgamation would not be helped by the property sales, he said.

Ross Clow, chairman of the meeting, said the money raised from the property sales was ring-fenced to go back into the council's corporate property network.

The seven properties approved for sale, and their 2017 capital values:

* 4 Osterley Way, Manukau - $12.3m - five-storey building that included a customer service centre.

* 4-10 Mayoral Drive, Auckland - $28m - Bledisloe car park.

* 35 Coles Cres, Papakura - part of $3.85m - 2550sqm of 5059sqm would be sold, including the customer service centre and Papakura Local Board offices. The park, time capsule and historic rest rooms would be kept.

* 35 Graham St, Auckland - $52m - four-storey office building.

* 50 Centreway Rd, Orewa - $28.8m - buildings that included a service centre and the Hibiscus and Bays Local Board offices.

* 6 Henderson Valley Rd, Henderson - part of $57.7m - 7200sqm of 16,164sqm would be sold, including two large buildings and car park, including the customer service centre and local board office, but the former Waitākere City Council chamber building would be kept.

* 82 Manukau Rd, Pukekohe - $7.2m - a single/double story building that includes a customer service centre and the Franklin Local Board.

WHO VOTED WHAT

For the sale: Ross Clow, Desley Simpson, Josephine Bartley, Dr Cathy Casey - but not Orewa buildings, Bill Cashmore, Linda Cooper, Chris Darby, Alf Filipaina, Christine Fletcher, Phil Goff, Richard Hills, Penny Hulse, David Taipari

Against the sale: Mike Lee, Daniel Newman, Wayne Walker, John Watson, Dr Cathy Casey - against Orewa buildings sale only.