Tauranga City Council Mayor Mahé Drysdale has moved to reassure ratepayers that concerns expressed by a number of parties relating to recent property transactions are being thoroughly considered. 

“Questions have been raised about the sale of the Council-owned Marine Precinct and the purchase of 160-176 Devonport Road,” Drysdale said on Friday.

“Council elected members understand the community’s views and have since spoken to and continue to engage with multiple parties and stakeholders.”

Tauranga City Council sold the precinct at Sulphur Point for $13.987m to Christchurch developer Sam Rofe.

The 2.98-hectare precinct, also known as Vessel Works, was valued between $18.63m and $19.24m and is zoned for port industry. Some sites within the precinct are already privately owned.

Rofe approached the council in late 2023 with a proposal to buy the precinct with a vision of it becoming a “premier superyacht refit destination”.

The sale conditions meant most of the working boat operators would need to relocate from their precinct berths.

As part of the sale, the council also agreed to fund up to $29.2m to develop an alongside wharf and replace the existing Bridge Wharf.

The decision – made under the Government-appointed commission – has been criticised by precinct users and newly elected councillors.

At an extraordinary council meeting in October, marine precinct users aired their frustrations over the “unconscionable” sale and being forced to leave the precinct.

Tauranga mayor Mahé Drysdale. Photo: Alisha Evans

In a statement released last week, Drysale said they have investigated these transactions internally, gathered legal advice and continue to work with the Office of the Auditor-General. 

“While no evidence has been found of personal wrongdoing, as elected members, we are supportive of independent scrutiny of significant property transactions and I have written to the Office of the Auditor-General to express full support for any review or investigation they might deem necessary, so that we can ensure that all proper processes, legislation and policies have been followed and that ratepayers’ best interests have been considered,” Drysdale said. 

He said that while the Marine Precinct sale has yet to be formally settled, legal advice indicates that there is a binding agreement in place. 

“While the recently elected Council may have made different decisions on both of these inherited transactions, we are committed to achieving the best possible results for all stakeholders and we will continue to work proactively with all parties involved in these matters,” Drysdale said.