Kiwi Property adds more tenancy to the new Sylvia Park office tower, signaling the growth of commercial activities in 'centre zones', as per the Auckland Unitary Plan.
Kiwi Property's new commercial development at No. 1 Sylvia Park now includes BizDojo and anchor tenant IAG in the new office space. Its new dining precinct ‘The Grove’ is also fully leased after a successful marketing campaign.
Mixed-use developments like this are encouraged by the new Auckland Unitary Plan, which aims to cluster commercial activity to the centres of residential areas. Auckland City Council hopes this strategy will reduce infrastructure costs and encourage alternative transport.
Mixed-use zones are becoming more numerous as office spaces fill up around residential areas, such as the new plans for the Newmarket Metropolitan Centre, which is to be owned in most part by The Warehouse Group.
Auckland Council released a revised ‘decision version’ of the Unitary Plan in August of last year. While the plan is still subject to an appeal process, it is set to encourage compact, high-quality growth.
Chris Gudgeon, chief executive of Kiwi Property, says of Sylvia Park's new commercial tenant: “BizDojo is the only co-working operator that has spaces throughout Auckland, Wellington and Christchurch, and planned for Queenstown; its expansion to No.1 Sylvia Park serves to highlight both the rise in popularity of shared working arrangements and the economic draw of Sylvia Park.”
“Co-working is a growing trend world-wide, and is quickly becoming an important sector in New Zealand’s commercial office market,” he said.
The Sylvia Park area is a fast-growing retail and now office space, with the shopping centre attracting almost 13 million customers per year, generating $500 million annually.
There is a lot of capacity for commercial zones to open up around retail and residential areas, which may cause concern for smaller independent retailers in those areas.
The Unitary Plan does not provide for a specific number of retail shops, but aims to provide enough zoned space to accommodate expected commercial growth, such as the commercial growth of Sylvia Park.
International brands such as H&M and Zara have added to the success of the centre, with Kiwi Property committing to add more exciting tenancies.
The company is also progressing plans for a potential $200 million Galleria retail expansion, featuring new international retailers, a department store and an expanded food offer.
Gudgeon says the co-working space will be a fantastic hub for businesses that require hassle-free access to the city.
“As Sylvia Park continues to grow, so too does the need for services that support both our retailers and the local community, which is why BizDojo is a natural fit for No.1 Sylvia Park.
“The arrival of their co-working offering also helps to progress our world-class town centre vision for the Sylvia Park site, providing a mix of complementary businesses and spaces where people want to be,” says Gudgeon.
According to Gudgeon there has been a great amount of interest for the remaining spaces in the office tower, noting that ground floor retail tenancies, which will open in December this year along with The Grove dining lane.