Commercial plan takes f light

Palmerston North Airport is hoping to take advantage of the buoyant local economy, moving its commercial property plans to the next step.

And the airport team already has its eyes on further development to take advantage of the proposed regional freight ring road.

The airport has enlisted Bayleys to market 6.5 hectares of land along Airport Drive and Railway Rd. Dubbed the Ruapehu Business Park, the land is split between two different zones, with sections being offered for sale and lease, with design-and-build lease options available.

Some of the sections are less than a minute from the airport terminal, and are all are less than 10 minutes from the city centre.

Airport chief executive David Lanham said they had been working for years to get into the position to market the land.

That included getting a council plan change to have a specific zone under the District Plan, giving the airport the ability to develop there, and bringing in staff with experience in corporate management.

‘‘People probably looked at [the land] thinking we were not doing anything with it, but there have been many, many hours of work going on over the years – thinking planning, legal stuff – behind the scenes,’’ Lanham said.

The business park would make the airport much more like its competitors.

‘‘Most modern airports have revenue from two streams – aeronautical, such as landing charges, and property holdings to give two stable revenue streams,’’ he said.

‘‘We have recognised for a few years now a real need to develop the non-aeronautical side of the business.’’

The airport had some ideas of what it wanted on specific lots, mainly to keep nearby residents happy, but there was also some flexibility, he said. The city’s economy was going through a purple patch, especially in transport and logistics, which the airport wanted to tap into.

The airport was one of the big three hubs for postal service, Lanham said. ‘‘That’s only going to grow more, with the parcel game expanding with online shopping.’’ All this activity would take place on the south side of the airport, but Lanham said they were also eyeing up the northern side for development.

That area may be a better way to link in to the proposed regional freight ring road, he said.