Fisher & Paykel Appliances Development
Each of these case studies was written shortly following completion of the relevant development or other significant lease-related event. While accurate at that time, in some cases, circumstances have changed, including PFI’s ownership of the property, the identity of the tenant, property specific metrics (including rent) and/or use of the property.
Overview
78 Springs Road is a prime example of PFI’s ability to deliver long-term value by developing high-quality, sustainable industrial developments that meet tenant needs. This 10.4-hectare, high-profile site sits at a key transport hub, making it ideal for logistics and distribution. The site is being developed in three stages. Stage 1, leased to Fisher & Paykel Appliances (“FPA”), is now complete.
We purchased the site from FPA in 2009, by way of a sale and leaseback. When Haier acquired FPA, production continued to be moved offshore, and the site transitioned into a head office and distribution centre.
From the outset, we saw the potential to optimise site coverage. At the time of purchase, only ~50% of the entire site was utilised as rentable space (including yards). Post-completion of stage 1, the site coverage over that portion of the site (including yards) has increased to ~83%, realising our commitment to driving more value.
When FPA sought to expand its distribution centre, it issued a competitive RFP. To be successful in securing FPA’s ongoing commitment, we needed to ensure they could continue operating without major disruptions during the redevelopment. The solution was a carefully structured transition plan, allowing half the site to be developed while operations continued on the other half. Temporary solutions, including new chillers, re-routed voltage cables, and a scaffolding bridge, ensured a smooth transition with minimal impact on daily operations.
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Sustainability at its core
The newly expanded distribution centre features 14 recessed loading docks, significantly improving truck access and efficiency, with capacity to extend to 16 docks in the future. Sustainability was also a key focus, with the project targeting and achieving a 5 Green Star Design and As-Built NZv1.0 Design certified rating. Green initiatives include solar panels; double glazing; LED sensor lighting; low-flow fixtures; rainwater harvesting; EV charging stations; drought-resistant landscaping; and power metering allowing real-time monitoring to help track and reduce energy consumption. In addition to modernising the facility, the aim was to preserve the site’s natural features. A row of mature Pohutukawa trees was carefully retained, and a historic kauri tree, dedicated to FPA’s founders, was relocated to a safe and prominent location.
Collaboration that delivered results
FPA’s dedicated project manager worked closely with our team throughout the process, ensuring that business continuity was maintained. Our strong partnership approach was praised, highlighting our ability to collaborate and deliver exactly what tenants need without compromising operational efficiency. Another key area of collaboration was using FPA and Haier products wherever possible in the development, including the tenant’s HVAC and solar panel products.
From single-user campus to multi-user estate
Stage 1 delivered a ~25,500 sqm warehouse, pre-leased to FPA on a 15-year lease through to 2039, with the flexibility to expand to 30,000 sqm if needed. Stage 2 began in December 2024, with ~6,500 sqm pre-leased to MiTek. Stage 3 will follow. The development will transform the site from a single-user campus into one of Auckland’s largest multi-user industrial estates.
A scalable, sustainable success story
“Using our industrial sector expertise and by prioritising tenant collaboration and smart development approaches, we have created a modern industrial hub that retains, and grows, a premier cornerstone tenant. At the same time, the development has grown the value derived from the property, and has showcased the delivery of PFI’s sustainability strategy. We couldn’t be prouder of the result.”
