Christchurch warehousing boom: Hornby Quadrant grows on former apple orchards

A large-format warehouse for Glassons contains clothing, while nearby, a new building for France’s Lactalis is a fast-moving hub for dairy products that arrive at a big chilled, frozen and ambient-temperature warehouse and go out for either domestic or export consumption.

Mark Weaver, Ben Stewart and Ben Murphy at the Hornby Quadrant. Photo / Anna Heath.

Ben Stewart said his family’s business had amalgamated many different types of holdings about 20 years ago to get the scale to take such large warehouses.

The final stage of vacant land is now being used for grain growing and is leased to a local farmer.

“It’s evolution,” says Stewart of changing uses.

Big businesses worry about the fragility of North-South Island road connections, so have decided in recent years to build huge southern hubs in Christchurch, he said.

Freight links are still a concern to many.

“People wrote off Christchurch after the earthquakes as being too dangerous. But now businesses don’t trust Cook Strait and want logistics centres here.”

Inside the new Lactalis New Zealand distribution centre in Hornby Quadrant. Photo / Anna Heath

The occupiers have either leased or own these big buildings with huge footprints, just off State Highway 1.

Owners can be Calder Stewart’s FortHill Property, another owner/investor – or the tenant themselves.

The land is at the crossroads of the region’s main transport channels.

Land, lots of land! Mark Weaver, Ben Stewart and Ben Murphy on the quadrant. Photo / Anna Heath

When finished, the Hornby Quadrant will have a $3b land and building valuation, Stewart said.

He took the Herald on a tour of some of the largest of the logistics and warehouse properties.

Oji Fibre Solutions’ building is the largest at Hornby Quadrant. Photo / Calder Stewart

The biggest is the 32,000sq m Oji Fibre Solutions’ warehouse, which has an estimated land/building valuation today of more than $100m.

“It was delivered in less than 12 months from the initial drawing to completion,” Stewart said. The warehouse was finished in 2022.

In April, an 8800sq m $30m dairy products warehouse was opened for French-headquartered Lactalis, originally developed for Mainland before the Fonterra sale.

Pylons cross the Calder Stewart land. Photo / Anna Heath

The Sleepyhead manufacturing and warehouse building is about 11,000sq m, a design and build sold to that bed manufacturer.

Fletcher Building company Comfortech has a 10,000sq m building for its Pink Batts, acoustic and other products.

Stewart said businesses want Christchurch warehouse space. Photo / Anna Heath

Fisher & Paykel Appliances has a 6500sq m building completed this decade.

My Food Bag has a 4500sq m building, which Stewart said is busiest just before weekends as orders are assembled.

“This is the biggest South Island logistics site being developed by one private company,” Stewart said.

All that milk – it’s got to go somewhere between being made and distributed. Hornby Quadrant is where it goes briefly between stages. Photo / Anna Heath.

His claim obliquely refers to rivals.

These include the IPORT business park: a $500m 122ha zone between Jones, Hoskyns and Maddison Roads south of Hornby, being developed by the Carter Group.

Another rival in the area is the fast-expanding Airport Business Park at Christchurch Airport.

A chilly place inside Lactalis, Hornby Quadrant. Photo / Anna Heath

John Sax’s Waterloo Business Park near Templeton is another rival to Calder Stewart.

Mark Weaver, Calder Stewart’s project director, said some new spec warehouse/office complexes could be leased at $400,000/year.

“This is the sweet spot at the moment,” Weaver said, showing off an empty for-lease 2000sq m building at 22 Establishment Drive, which Calder Stewart has built.

It has been available for about two months and is across the road from the Glassons’ warehouse.

New premises are being developed for J. Swap Contractors. That company owns the buildings being developed by Calder Stewart.

Stewart said negotiations were in hand to develop a new fuel station with associated food outlets on Shands Rd.

A 20,000sq m warehouse for a large food business is also planned.

Anne Gibson has been the Herald’s property editor for 26 years, written books and covered property extensively here and overseas.

Read more stories from the Herald’s Project Canterbury special report here.