Work begins on $20 million Tokoroa business park

Tuesday, 7 November 2023

Work to transform a plot of council-owned land in Tokoroa into a business park, creating jobs for locals and extra income for the South Waikato District Council, is underway.

The $20 million Maraetai Rd Intermodal Business Park is jointly funded by the council, which has invested $9 million to date, and Kānoa, the Government’s Regional Economic Development and Investment Unit, with a $3 million grant.

The council’s economic development manager Paul Bowden said the remaining funds would be made from the sale of properties on the site - which provides easy freight access to road and rail.

The business park was blessed and the first sod turned by South Waikato District councillors and local iwi Raukawa last week.

The subdivision of 13 lots at the site, located just off State Highway 1 at the southern edge of the country’s golden triangle economic zone, began last week and the staged development was expected to be completed by the end of next year.

Mayor Gary Petley said the work was expected to generate between 150 to 200 new jobs in the district and the development would allow for significant expansion of rail freight container volumes through the existing Tokoroa Road and Rail Terminal which provides road and rail connectivity to the ports of Tauranga, Auckland and into international markets.

Each of the 13 fully serviced lots for sale have freight access through the adjoining terminal and range in size from 1696m² to two hectares with the flexibility to combine lots to meet developers’ requirements.

The 13-lot Maraetai Road Intermodal Business Park subdivision will produce jobs for locals and increase rates revenue for the council, the mayor said.

Petley said the project started in late 2018 and has involved significant advocacy, discussion and engagement with many stakeholders in Tokoroa, the wider Waikato region and with Kānoa.

“This project is an example of council investing in initiatives to facilitate long term economic growth,” Petley said.

“As these lots develop into businesses, we also make money back through future rates generated from the businesses on site,” Petley said.

“Any profits could be reinvested or go to paying back debt.

“Most importantly, initiatives like this mean more businesses, more industry, more jobs for our people and an improved local economy.

“Councils simply must start igniting and supporting long term economic opportunity,” Petley said.

The Tokoroa Road Rail Terminal (TRRT) was opened in October 2015 and includes a rail siding (owned by KiwiRail), a container loading and unloading area, a council-owned access road, and an area adjacent to the rail siding used for loading and unloading containers from trains.

“Council recognised that the proximity of the site to the TRRT presented an opportunity to attract new business to the district for which easy and nearby access to both road and rail would make Tokoroa an attractive option for investment,” Bowden said.

He said with strong road and rail links to New Zealand’s largest ports, the site was the “smart choice for manufacturing and processing industries with its prime central location … making it ideal to move goods for importing and exporting”.

Last week, a site blessing was held before mayor Petley and councillor Kerry Purdy turned the first sod.

Also partnering in the development are local iwi Ngāti Raukawa, the South Waikato Pacific Island Community Service Trust, Cook Island Society, and consultants and contractors Camex, Harrison Grierson and Gray Matter.