Sales in Mosgiel’s Owhiro River subdivision have exceeded expectations, reinforcing the need for new housing in the Dunedin area, project manager Murray Frost says.
Demand in the 76-lot subdivision has been so high that 34 of the 39 stage one lots released mid2017 have been sold.
Following the release in April of stage two comprising 37 lots, 27 lots were sold in two months. The stage two titles are expected to be released in September.
The site of the subdivision, surrounded by Brooklands retirement village and the Owhiro Creek Reserve, was one of the few remaining areas in Mosgiel with residential zoning, Murray says.
However the 7.5ha block was landlocked, preventing it from being developed for 35 years.
Securing road access through the purchase of a Hagart Alexander Dr house, which was removed, eventually enabled development to go ahead, he says. “That had been it’s major constraint over the years, the lack of access,” says Murray.
Consent was granted by Dunedin City Council early 2015. Sections in Owhiro River range from 550 square metre to 700 square metres priced from $170,000 to $250,000.
“The level of interest probably has surprised me a bit because it’s not an incredibly fast growing city, but we’ve got a pretty vibrant university and that generates some growth.”
Mosgiel has strong appeal for family living, with easy access to local shopping, and to Dunedin city and its airport. A rural outlook and a slightly warmer climate than Dunedin city are other pluses.
“It’s got a good aspect for sun, there’s not a lot of availability of titled sites in Dunedin. To build a new house in Dunedin you pretty much have to buy an existing house and demolish it.”
These factors have resulted in six or seven other subdivisions being developed in Mosgiel during the past seven years, he says.
“They’ve all sold extremely well, as well.” The first building consents were issued midMay; in July six houses were in various stages of progress. The subdivision has been well supported by several national franchise building companies. House designs are subject to covenants, but because families are a key market and the aim was to create a village feel these are “not too onerous”
“Houses have to be single level, there’s restrictions on the types of dogs that can be there.”
SouthRoads are the main contractor and Paterson Pitts, who have a long-standing relationship with the developer, are providing engineering and surveying services.
The development has not been without its difficulties, having faced two major rain events during the past two years while ground work was underway.
“When you’ve got the site opened up you can’t have water running straight into the stream because its contaminated by the soil on the site,” says Murray.
“We had to control that; that was a major challenge to deal with, but we dealt with it successfully.”
Murray expects the two stages to be fully sold by March next year and the subdivision to be totally built out over the next two years.
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Mosgiel has strong appeal for family living, with easy access to local shopping, and to Dunedin city and its airport.
