Wellington, Oct 1 NZPA - The Newmarket Business Association is welcoming the return of ownership of a 5.2ha brewery site in Newmarket, Auckland, to Lion Nathan Ltd.

The sale of the Khyber Pass Road property for $162 million was agreed in 2007 before the global financial crisis. Lion is still moving to a new site in South Auckland but the buyers have been unable to progress development plans on the Newmarket property.

Yesterday Lion Nathan said it is buying Great Northern Developments Ltd (GNDL), a joint venture owned by AMP Private Equity Real Estate Fund II (APEREF II), an AMP Capital Investors-managed fund, and Haumi Development Ltd Partnership. Haumi is owned by the Abu Dhabi Investment Authority (ADIA).

"With Lion Nathan now buying back the site, they will ensure that the site is kept tidy as they always have. Lion Nathan has a long history of being great corporate citizens in Newmarket and this is a good outcome for the community," said acting chief executive of the Newmarket Business Association Lea Worth.

Lion Nathan said it was confidence GNDL will be able to attract good investment interest and that ultimately the redevelopment of the site will be accomplished.

"We look forward to working with future developers on getting the commercial, residential and retail mix right. Newmarket is fast becoming Auckland City's second commercial district and getting the best possible outcome for this huge brewery site is paramount to Newmarket's success," Mrs Worth said.