Clive Jackson and his wife Helen Whittaker converted their rented commercial premises in central Whangārei into residential living, and others can follow suit under a plan to revitalise the city.

Whangārei District Council is also
enabling up-zoning of urban land in the city and the surrounding suburbs of the Ruakākā urban area for the construction of residential apartments that it says will yield a number of benefits.

In 2021, WDC engaged the Urban Regeneration Team at The Property Group to prepare a business case which looked at opportunities and constraints for residential development in the city centre.

The team’s assessment found rising construction costs and the prices people could afford to pay for apartments or even townhouses constrained residential development opportunities.

But the team found the redevelopment of under-utilised inner-city commercial spaces was the best way to create opportunities for residential living.

Jackson and Whittaker lived on a lifestyle block in Whangārei, and about six years ago started to mull over the possibility of moving somewhere in town, as it was starting to develop.

A commercial building in the city at the corner of Walton St and Robert St was for sale, and the couple and a friend from Tutukaka decided to buy it, and initially put in a couple of studios to live in.

Their tenants upstairs included a hairdresser, an accountant, a real estate agent and a graphic artist.

But when those tenants decided to move somewhere else, the new owners put in a resource consent for four residential apartments – two-bedrooms and two-bathrooms each.

Each apartment is 100 square metres. Jackson and Whittaker live in one, and rent out the others at $600 a week.

“Whangārei now has so much to offer as far as restaurants, bars… The Town Basin is stunning. Whangārei is now ready for residential apartments. Shops are starting to fill up and we’re getting new businesses coming in,” Jackson said.

New residential apartments in the inner city, he said, were ideal for working couples.

WDC strategic planner Hamish Sykes said the inner city has been identified as a strategic priority or opportunity to bring life back into the city, but the price points for residential apartment affordability were a major barrier.

“It was strongly recommended in order to get more investment into the city centre – there’s a strong role for council to also invest in public amenities,” he said, referring to projects like the refurbished bus stand and new developments at The Town Basin.

Generally, the allowable size of conversion into residential apartments in the inner city range from 35sq m for those with one habitable room, and 45 sq m or larger for those with more than one such room.

The benefits of the conversion include increasing potential income, as inner-city apartments in Whangārei generally attract a higher rent than the average rent for commercial spaces.

There is a growing demand for both residential sales and rentals in the inner city, coupled with a move towards working from home.

Another benefit is that such a move creates a modern home with good access to services and amenities provided in the city, no traffic congestion, and savings on travel time.

Rate reduction and capital gains on sale of the property by adding a residential unit are other benefits.

Under WDC rules, residential conversion refers to changing the use of an existing building or part of a building from its current or previous use into residential use.

It often involves converting the internal upstairs space within a commercial building into an apartment or apartments.

It does not include the construction of a new apartment building or significant alteration/modification to an existing building.

In the Whangārei town centre, residential conversion is permitted in the top floors of commercial buildings within the city centre zone – creating a mixed-use building.

Depending on the size of the available space in the building, more than one apartment, taking into consideration the internal circulation and servicing space required, can be developed.