{"id":582493,"date":"2026-08-28T01:08:09","date_gmt":"2026-08-28T01:08:09","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/582493\/"},"modified":"2026-08-28T01:08:09","modified_gmt":"2026-08-28T01:08:09","slug":"precinct-properties-delays-second-tower-at-auckland-downtown-carpark-site-on-sluggish-residential-property-market","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/582493\/","title":{"rendered":"Precinct Properties delays second tower at Auckland Downtown Carpark site on sluggish residential property market"},"content":{"rendered":"

Instead of the car park demolition beginning in this year\u2019s final quarter, that had also been slightly delayed.<\/p>\n

\"PrecinctPrecinct Properties’ plans for the former Downtown Carpark site, showing how its new development could look at ground level. Image \/ Precinct Properties<\/p>\n

\u201cWe\u2019ve made the decision to take a staged approach,\u201d Pritchard said.<\/p>\n

Yesterday\u2019s full-year result had deferral details.<\/p>\n

\u201cPrecinct has decided to adopt a staged approach to the development. This will result in the residential tower being completed later.\u201d<\/p>\n

Pritchard said demolition had been delayed four months.<\/p>\n

\u201cDemolition of the Downtown Carpark has been contracted to Built to do early contractor works. They have worked for a 12-month timeframe for early contractor engagement. We had planned to start demolition later this year, but that\u2019s in April next year.\u201d<\/p>\n

The second tower is planned to be a 200-room hotel and a 145-unit apartment block.<\/p>\n

\"NowNow only one tower: a new image of the planned 55-level building without the long-planned 45-level tower beside it. This is Precinct Properties’ amended plans for the Downtown Carpark site. Photo \/ Precinct Properties<\/p>\n

It is that second block which Precinct will not build simultaneously with the taller first block.<\/p>\n

\u201cThe residential market continues to be quite sluggish, so we have been questioning that over the last three to six months.\u201d<\/p>\n

\"NoNo more 45-level tower: this new image shows only the 55-level tower to be developed on the Downtown Carpark site, Auckland, not the long-planned 45-level neighbour. Image \/ Precinct Properties<\/p>\n

The 55-level tower is to have 94,000sq m of consented floor area and have floor plates of 1400sq m.<\/p>\n

\u201cFor us, it\u2019s about ensuring we have the confidence and conviction that the market conditions are right,\u201d Pritchard said.<\/p>\n

\"OnlyOnly the taller 55-level tower will be built on what is now the Downtown Carpark site. The lower 45-level tower has been deferred. Image \/ Precinct Properties<\/p>\n

Tower one would present as a finished urban environment, with structural capacity for the lower tower two to be incorporated in the podium building.<\/p>\n

\u201cThis will maintain optionality for a future residential, commercial or hotel tower,\u201d the Precinct investor presentation said.<\/p>\n

The business plans two other suburban apartment developments.<\/p>\n

Those are the $100m Pillars<\/a> in St Marys Bay and the $160m DOVA project<\/a> in Mt Eden.<\/p>\n

Despite Pritchard announcing these some months ago, work has not started at Pillars or the Dominion\/Valley Rd project.<\/p>\n

A Precinct spokeswoman said: \u201cNo. No works yet.\u201d<\/p>\n

Precinct yesterday issued its full-year result<\/a>.<\/p>\n

Devaluations pushed the company to record an $8.2m net loss after tax, following last year\u2019s $11m profit.<\/p>\n

Operating profit rose from $152.3m last year to $162.7m in the year to June 30, 2026.<\/p>\n

Pre-tax operating profit rose from $82.7m to $90.9m.<\/p>\n

But devaluations amounted to $107.5m, a big rise on 2025\u2019s $27.6m writedowns.<\/p>\n

Anne Gibson<\/a> has been the Herald\u2019s property editor for 26 years, written books and covered property extensively here and overseas.<\/p>\n

Stay ahead with the latest market moves, corporate updates, and economic insights by subscribing to our Business newsletter<\/a> \u2013 your essential weekly round-up of all the business news you need.<\/p>\n","protected":false},"excerpt":{"rendered":"Instead of the car park demolition beginning in this year\u2019s final quarter, that had also been slightly delayed.…\n","protected":false},"author":2,"featured_media":582494,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[7615,12635,1975,51,3952,138,26665,165183,16492,23783,9961,49738,14724,286842,225,1132,111,139,69,90,56448,1356,814,15508,8466,1857,153775,3159,42580],"class_list":["post-582493","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-7615","tag-area","tag-at","tag-auckland","tag-aucklands","tag-business","tag-carpark","tag-deferred","tag-delays","tag-downtown","tag-downturn","tag-evidence","tag-further","tag-hotelapartment","tag-market","tag-million","tag-new-zealand","tag-newzealand","tag-nz","tag-on","tag-precinct","tag-properties","tag-property","tag-residential","tag-second","tag-site","tag-sluggish","tag-tower","tag-waterfront"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/582493","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=582493"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/582493\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/582494"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=582493"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=582493"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=582493"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}