Two Lakeview apartments sell for $33 million - but ratepayers left in the red

Mar 20, 2024

NZME's One Roof property publication has reported the sale of two Lakeview apartments for more than $33 million.

New Zealand Sotheby’s International Realty managing director Mark Harris told OneRoof the buyer had been waiting for a high-end opportunity like Lakeview  to come along.

He wouldn’t disclose the buyer’s identity, except to say they had New Zealand residency and split their time between North America and Queenstown.

The 475sqm penthouse suite, which is set to offer clear views of the district’s mountain ranges and lakes, comes with five bedrooms, five-and-a-half bathrooms and a 37sqm balcony.

The buyer will also have use of a private wine cellar, gym and wellness centre and the option of a sauna.

Lakeview was originally presented to QLDC ratepayers as including significant affordable housing and as an investment that would be profitable for the council.

So far the Lakeview project has cost ratepayers around $100 million development costs with zero actual income.

The original development costs were budgeted at less than $20 million but various blowouts, including the discovery of asbestos, has caused the budget to climb towards $100 million.

The Lakeview costs have already been responsible for a specific local rate rise.

The council owned Lakeview land is worth $42 million but council CEO Mike Theelen, under sole delegated authority, decided to instead give the Australian developers 20 years to pay for the land with a top up from "super profits" that have so far been kept secret along with the QLDC's commercial agreement for the project.

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