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Dean Humphries, Jones Lang LaSalle Hotels' executive vice-president, who was appointed to sell the property exclusively said Hilton Hotels would manage it for the new owner as part of its operations here, which also include Hiltons at Taupo and Queenstown.
Brian Fitzgerald, an investor, said the property belonged to a number of parties including Willeston Capital.
"It's a great time to sell, never better. You won't sell just because of Rugby World Cup but it's performing well," Fitzgerald said.
Auckland Council records shows the Hilton, at 141 Quay St, was valued at $44.6 million in July 2008.
Its top floor is the quarter-acre apartment of bankrupt property developer David Henderson, whose Kitchener Group developed all six buildings on the wharf, creating bars, restaurants, covered carparking, apartments, offices and the hotel. Henderson still lives in the apartment, despite attempts to sell it for about $10 million.
All the wharf properties are on terminating leases, set to run for another 84 years, so that after then the buildings have no legal right to occupy the wharf space.
Hilton's restaurant White has been shut for some time as it undergoes a refurbishment and is expected to have a new name when it reopens.
Humphries said the ground-floor Overseas Passenger Terminal in the building was part of the sale deal.
Humphries said the ground-floor Overseas Passenger Terminal in the building was part of the sale deal.So. Here we have the agent acting on behalf of the owners, talking up the alternative uses of what we know as Auckland's Overseas Passenger Terminal. So. Auckland didn't get a cinema, or a museum, or much else in the way of public waterfront amenity on Princes Wharf. The cruise ship industry has turned its nose up at the facilities it has had access to and use of for close to a decade. And now it's apparently for sale. So where are they going to go? Read further on in the story...
"This also acts as a conference and exhibition centre for the hotel.
"Auckland Council has indicated that the passenger terminal will move to Queens Wharf in the 2012-13 cruise ship season, which will therefore allow the hotel to utilise this space more efficiently during future cruise ship seasons."
The caption that ran with this Fonterra story: The dairy industry has a lot to smile about given New Zealand's advantages....At our annual investor conference last week, one of the presentations was from Fonterra. Feedback from the 600 private client attendees was that this was one of the most interesting talks of the day....
The first point made by Jonathan Mason, Fonterra's chief financial officer, was that New Zealand is a great place for dairy farming, if not the best in the world. The key reason is simple. We have an abundance of water, which makes us great at growing grass and gives us a distinct cost advantage over many countries.
According to Water NZ, New Zealand receives the same amount of rainfall that lands on the entire Australian continent each year, despite Australia being 28 times our size. This ample rainfall underpins New Zealand's position as a low-cost producer of protein.
Our rainfall averages 2m a year, more than double the 0.8m world average.....
The Canterbury Plains themselves have relatively low rainfall and the normally fast-draining characteristics of the soils and rock mean large seasonal fluctuations in the soil moisture content.
Rainfall recharge is therefore critical to maintain groundwater levels and thus the supply of water in these drier areas during spring and summer.
The mean annual rainfall ranges from as little as 300mm in a small area of Central Otago to over 8000mm in the Southern Alps. The average for the whole country is high, but for the greater part lies between 600 and 1500mm. The only areas with average rainfalls under 600mm are found in the South Island to the east of the main ranges, and include most of Central and North Otago, and South Canterbury.
This level of rainfall has a huge bearing on our ability to provide pasture for grazing dairy cows and gives us a strong competitive advantage over other parts of the world that have to supplement their stock with various types of feed, which are usually grain-based. While few local dairy farmers use grain-based supplements, as much as 90 per cent of the rest of the world's dairy cows rely on this, and face its consequently higher cost structure....
Australia and some parts of South America and South Africa operate in a similar way to us, and certain areas in the United States have begun to adopt our model. However, New Zealand still offers a superior environment. We have a stable political landscape and a reputation for safe, high-quality food products in our favour, too....
A co-operative owned by 10,500 farmer shareholders, Fonterra is the world's largest exporter of milk powder, has revenue of $17 billion and operating earnings of $1 billion. It has 432 tankers across 17 depots, operates 86 plants in New Zealand and has the largest milk dryers in the world. It uses 11 New Zealand ports to send 140,000 containers each year to its millions of customers in 140 different countries.
While New Zealand only accounts for about 2 per cent of world dairy production, we export 95 per cent of this. This is in contrast with most other dairy producing nations around the world, where the vast majority is consumed domestically.
Unsurprisingly, China is a key export market, taking nearly a third of Fonterra's milk products last year.... China's growing demand for high-value agricultural products bodes well for New Zealand. The local agricultural sector, blessed as it is with high rainfall, is well placed to benefit from a China that is expected to become a major importer of food....
In addition to the growing demand, water shortages could see China become a major food importer in future. China has only one-third of the freshwater per capita of the global average and, unfortunately, the worst water shortages often coincide with the populous northern region.... As urbanisation continues, a higher proportion of fresh water will be required for residential consumption, further limiting what is available for use in agriculture.
Any land-based venture is not without risk and cyclical ups and downs are to be expected. It should also be noted it does not provide specific exposure to dairy farms or the commodity milk price - rather, it is a manufacturer and marketing company of dairy products. However, the long-term growth potential for Fonterra is enormous.


































"Where is Auckland Council's Waterfront Masterplan?" is the question I asked nobody in particular as I read NZ Herald's apparently innocuous news item about the sale of the Hilton Hotel on Princes Wharf. ".....The five-star boutique Hilton Auckland has been put up for sale in an international campaign but its American operator will continue to run it and the property will stay a Hilton.That made me sit up. The Overseas Passenger Terminal on Princes Wharf is apparently up for sale along with the Hilton Hotel. Makes sense I suppose. One careful owner since 2001. Lock and stock and barrel up for sale.
Dean Humphries, Jones Lang LaSalle Hotels' executive vice-president, who was appointed to sell the property exclusively said Hilton Hotels would manage it for the new owner as part of its operations here, which also include Hiltons at Taupo and Queenstown.
Brian Fitzgerald, an investor, said the property belonged to a number of parties including Willeston Capital.
"It's a great time to sell, never better. You won't sell just because of Rugby World Cup but it's performing well," Fitzgerald said.
Auckland Council records shows the Hilton, at 141 Quay St, was valued at $44.6 million in July 2008.
Its top floor is the quarter-acre apartment of bankrupt property developer David Henderson, whose Kitchener Group developed all six buildings on the wharf, creating bars, restaurants, covered carparking, apartments, offices and the hotel. Henderson still lives in the apartment, despite attempts to sell it for about $10 million.
All the wharf properties are on terminating leases, set to run for another 84 years, so that after then the buildings have no legal right to occupy the wharf space.
Hilton's restaurant White has been shut for some time as it undergoes a refurbishment and is expected to have a new name when it reopens.
Humphries said the ground-floor Overseas Passenger Terminal in the building was part of the sale deal.
Humphries said the ground-floor Overseas Passenger Terminal in the building was part of the sale deal.So. Here we have the agent acting on behalf of the owners, talking up the alternative uses of what we know as Auckland's Overseas Passenger Terminal. So. Auckland didn't get a cinema, or a museum, or much else in the way of public waterfront amenity on Princes Wharf. The cruise ship industry has turned its nose up at the facilities it has had access to and use of for close to a decade. And now it's apparently for sale. So where are they going to go? Read further on in the story...
"This also acts as a conference and exhibition centre for the hotel.
"Auckland Council has indicated that the passenger terminal will move to Queens Wharf in the 2012-13 cruise ship season, which will therefore allow the hotel to utilise this space more efficiently during future cruise ship seasons."
The caption that ran with this Fonterra story: The dairy industry has a lot to smile about given New Zealand's advantages....At our annual investor conference last week, one of the presentations was from Fonterra. Feedback from the 600 private client attendees was that this was one of the most interesting talks of the day....
The first point made by Jonathan Mason, Fonterra's chief financial officer, was that New Zealand is a great place for dairy farming, if not the best in the world. The key reason is simple. We have an abundance of water, which makes us great at growing grass and gives us a distinct cost advantage over many countries.
According to Water NZ, New Zealand receives the same amount of rainfall that lands on the entire Australian continent each year, despite Australia being 28 times our size. This ample rainfall underpins New Zealand's position as a low-cost producer of protein.
Our rainfall averages 2m a year, more than double the 0.8m world average.....
The Canterbury Plains themselves have relatively low rainfall and the normally fast-draining characteristics of the soils and rock mean large seasonal fluctuations in the soil moisture content.
Rainfall recharge is therefore critical to maintain groundwater levels and thus the supply of water in these drier areas during spring and summer.
The mean annual rainfall ranges from as little as 300mm in a small area of Central Otago to over 8000mm in the Southern Alps. The average for the whole country is high, but for the greater part lies between 600 and 1500mm. The only areas with average rainfalls under 600mm are found in the South Island to the east of the main ranges, and include most of Central and North Otago, and South Canterbury.
This level of rainfall has a huge bearing on our ability to provide pasture for grazing dairy cows and gives us a strong competitive advantage over other parts of the world that have to supplement their stock with various types of feed, which are usually grain-based. While few local dairy farmers use grain-based supplements, as much as 90 per cent of the rest of the world's dairy cows rely on this, and face its consequently higher cost structure....
Australia and some parts of South America and South Africa operate in a similar way to us, and certain areas in the United States have begun to adopt our model. However, New Zealand still offers a superior environment. We have a stable political landscape and a reputation for safe, high-quality food products in our favour, too....
A co-operative owned by 10,500 farmer shareholders, Fonterra is the world's largest exporter of milk powder, has revenue of $17 billion and operating earnings of $1 billion. It has 432 tankers across 17 depots, operates 86 plants in New Zealand and has the largest milk dryers in the world. It uses 11 New Zealand ports to send 140,000 containers each year to its millions of customers in 140 different countries.
While New Zealand only accounts for about 2 per cent of world dairy production, we export 95 per cent of this. This is in contrast with most other dairy producing nations around the world, where the vast majority is consumed domestically.
Unsurprisingly, China is a key export market, taking nearly a third of Fonterra's milk products last year.... China's growing demand for high-value agricultural products bodes well for New Zealand. The local agricultural sector, blessed as it is with high rainfall, is well placed to benefit from a China that is expected to become a major importer of food....
In addition to the growing demand, water shortages could see China become a major food importer in future. China has only one-third of the freshwater per capita of the global average and, unfortunately, the worst water shortages often coincide with the populous northern region.... As urbanisation continues, a higher proportion of fresh water will be required for residential consumption, further limiting what is available for use in agriculture.
Any land-based venture is not without risk and cyclical ups and downs are to be expected. It should also be noted it does not provide specific exposure to dairy farms or the commodity milk price - rather, it is a manufacturer and marketing company of dairy products. However, the long-term growth potential for Fonterra is enormous.