A planned $13.6 million industrial hub near Gore represents a significant investment that "can only bode well for the South, and for New Zealand", the associate regional development minister says.
The industrial subdivision is being developed on 43ha of underutilised farmland just off State Highway 1, north of the Central Southland town.
The project is joint-funded through a 50-50 partnership between the Hokonui Rūnanga and Robertson Investments to address a shortage of large industrial lots in the Gore district.
A $3.1m loan, through the Regional Infrastructure Fund, was announced yesterday, with construction expected to start halfway through the year after the land is rezoned and consents are secured.
Associate Regional Development Minister Mark Patterson, speaking at the announcement yesterday, said Southland performed well above its weight, delivering 12% of New Zealand’s pastoral exports when the region only had 2% of the country’s population.
Mr Patterson said the mood surrounding the project was very good, as the partners involved had a "stellar record" and there was expectation of great growth in the region’s industry.
"Southland is the land of opportunity," he said.
"I’ve never seen, in my time, such a broad-based recovery in the agricultural and primary sector.
"These are smart business people, seeing opportunity and being prepared to invest significantly.
"It can only bode well for the South and for New Zealand."
The project was expected to create up to 50 jobs during construction and attract industries such as fertiliser distribution, farm equipment services, warehousing and retail, he said.
Hokonui Rūnanga manager Terry Nicholas said negotiations were under way with businesses looking to be a part of the space and there was a lot of interest surrounding the site.
"We hopefully can get self-motivated people in, who entice people to come here, to live here — like with the freezing works, over 5000, 6000 people were working there.
"Everything was vibrant, the main street of Gore was vibrant, late night shopping on Thursdays, these are the values we want to try and reinstate," he said.
The hub was expected to help to keep the town thriving for generations to come, Mr Nicholas said.
"Eastern Southland is going to be a strong economic hub. This project is about collaboration and collegial development.
"A town will die without economics and I think what we see in Gore, there isn’t enough economic drive in Gore.
"This is what we want to bring to the forefront," he said.
Robertson Investments owner Shona Robertson said she was over the moon with the development, with a market looking for space to invest in Gore.
"It’s an incredible and exciting opportunity with a blank canvas.
"I’ve had business colleagues and friends in the past, they’ve wanted to expand into Gore and haven’t been able to find a suitable industrial site.
"I think this canvas gives us a really good starting point to be investing in the future and creating a sustainable place to live, from the industrial side, but also the residential with the community it would create," she said.
Gore District deputy mayor Joe Stringer said projects such as the new industrial hub development represented a way to retain and bring young people to the district.
