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Lyttelton Port buys land in Woolston

Contributor:
Fuseworks Media
Fuseworks Media

Wellington, July 1 NZPA - Lyttelton Port of Christchurch (LPC) has purchased 7.3 hectare of industrial land adjacent to its CityDepot site in Woolston.

The port did not disclose the purchase price but said it was a multi-million dollar transaction.

Many ports are developing inland sites with good transport connections. Port of Tauranga has a so-called inland port in Auckland and Ports of Auckland has had several attempts at developing inland sites, the latest being at Wiri.

CityDepot is 6km from the port. It has the capacity to store up to 7000 containers and has a road and rail interchange.

"CityDepot is a key part of LPC operations and the port's future business and long-term plans," chief executive Peter Davie said.

"The Curries Road land availability and proximity to CityDepot made it a logical strategic investment."

The operation at CityDepot had grown significantly in the last year through the addition of a number of new customers, he said.

He did not name any customers but last year the port signed a new commercial contract with dairy giant Fonterra for the transport of dairy products for export through its container terminal.

The port said then that the contract would result in a substantial increase in the volume of product from Fonterra's Clandeboye plant near Timaru exported through Lyttelton.

That contract also involved an enhanced partnership with KiwiRail and increased the use of rail rather than road for Fonterra's exports in the central South Island.

"This investment recognises the need for more land strategically located for the long term, which will enhance the logistics options for our customers," Mr Davie said.

The purchased land, which is zoned industrial, has existing tenants generating market revenues.

LPC is considering a merger with Port of Otago Ltd.

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