Britomart project
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City takes control, 1959-1995
Robbie's proposal
The topic of public transport has undoubtedly been the most widely discussed issue in Auckland's political history. Numerous proposals have been devised
to solve our public transport problems, with one of the most notable proposals from Auckland's longest serving mayor, Sir Dove-Myer Robinson, 1959-1965 and
1968-980 (18 years). His vision was to develop a rapid rail network making rail the backbone of public transport in the Auckland region. His vision was to
have rapid rail with buses connecting to train stations and feeding the local areas. In July 1973 the Labour government agreed to fund the cost of the
electrification of the railway network between Auckland and Papakura, and an underground rail loop from downtown, via the central city to Newmarket. The
proposed inner-city loop included an underground station on the Britomart site.
The National government decided in 1976 that the rapid-transport system was too costly and unjustified so they cancelled the projects.
Queen Elizabeth Square
In the late 1970's and early 1980's Auckland City focused on improving main street shopping, pedestrian malls and encouraging inner-city living. The
Downtown shopping complex opened in April 1975, and the council saw this as an opportunity to implement the Central Area Plans. The section of Queen Street
between Quay Street and Customs Stteet was closed in 1976 and opened as Queen Elizabeth Square in February 1980.
The features in the square included the bronze sculpture by Molly McAlister of a Maori chief, a water fountain, planter boxes, seats and the stainless
steel 'wind-tree' designed by Michio Ihara.
Britomart properties
The central business district waterfront was essentially an industrial area, an undesirable location, and Auckland City desired access to the waterfront.
In the 1980's when the New Zealand Ports, New Zealand Railways and New Zealand Post were deregulated this provided the opportunity for the city to spread
its feet closer to the water's edge.
The Auckland Harbour Board (AHB) was the principal owner of the Britomart site, owning 5,000 acres of the Waitemata Harbour bed with 400 acres reclaimed
for commercial operations. The AHB did not have to follow Auckland City planning regulations and did not pay rates because it was a public body. The council
therefore had an interest in the annual income generated from the unrated rental properties and any future planned development of the waterfront area.
In 1986, the Auckland Regional Authority (ARA) developed a comprehensive transportation review that included urgent upgrade to the Britomart Terminal.
The AHB selected Kupe Group Ltd in August 1987 to develop the area. The $1.2 billion construction plan included commercial, retail and hotel development
around the planned upgraded Britomart Bus Terminal and carpark. The stockmarket crash in 1987 lead to the demise of this Britomart proposal.
In 1989 the AHB was disbanded, its port-realised activities were transferred to a public listed company called Ports of Auckland Ltd (POAL). POAL was
now owned 80 per cent by Auckland Regional Council (ARC), and 20 per cent by the public.
The AHB's non-port assets were transferred to the respective local authorities, often as joint holdings with ARC. Most of AHB's properties were treated
as 'non-port assets', including the AHB's interest in properties bounded by Quay Street, Britomart Place, Commerce Street, Customs Street and also the
properties on the southern side of Custom Street bounded by Fort Street.
In 1992, the National government passed legislation which restricted ARC's role to that of a planning authority. ARC's commercial assets were divested to
a new organisation, Auckland Regional Services Trust (ARST). ARC's 72.5 per cent stake in the groundlessors interest in the downtown properties was one
commercial asset divested to ARST.
ARST's role was to divest itself of commercial assets, in order to retire the debt mountain that had been created by ARC. In 1994 ARST sold its 72.5 per
cent groundlessors interest in the properties to Auckland City for $48m. Auckland City also received the cash which had been generated from the properties
(through ground rental and property sales), this had been undistributed until the sale because of ongoing disputes between Auckland City and ARC, then with
ARST.
The Post Bank vacated the CPO in 1988. In 1995 Auckland City purchased the former CPO from NZ Post Properties for $15.5m.
This left Auckland City as the freehold owner of most of the area north of Customs Street, bounded by Queen Elizabeth Square, Quay Street, Britomart Place
and Customs Street. Only the Endeans Building, Harbourview Building, Customhouse and Mercure Hotel buildings had been freeholded at that time. Note that the
Britomart area (car park and bus station) was never transferred out of council ownership as originally envisaged by the Heads of Agreement. This enabled
consolidation of these property interests into Auckland City ownership.
