en.Wedoany.com Reported - Over the next five years, New Zealand's South Island will receive more than NZ$500 million in investment for the expansion of food, manufacturing, and construction supply chain and infrastructure. The funds will be injected into Christchurch's Hornby Quadrant, which is planned to be integrated into a NZ$5.5 billion, 860-hectare regional manufacturing and export logistics network. This network aims to connect Canterbury with the country's largest inland port and the largest planned industrial development zones in Otago and Southland.

The Hornby Quadrant, with over 150 hectares of industrial land, is one of New Zealand's largest industrial parks. Currently only half built, it already serves as a distribution hub for a significant portion of consumer goods and building materials in the South Island. The new Stage 4 development, covering 30 hectares, will be supported by national property and construction company Calder Stewart to assist Mainland Group (formerly part of Fonterra's consumer business), United Steel, and other major operators in building manufacturing and distribution facilities to expand the local supply chain. Once fully developed, Stage 4 is estimated to be worth over NZ$500 million. The entire area is projected to be valued at over NZ$3 billion upon completion.

Several fast-moving consumer goods and distribution companies have already established a presence, including: Foodstuffs South Island's distribution center, six subsidiaries of Fletcher Building, Sleepyhead, Penske, OJI Fibre Solutions, My Food Bag, and Dairyworks. Among them, Dairyworks distributes approximately 80% of the nation's cheese through its cold storage warehouse. Upon full development, the park is expected to employ thousands of workers across multiple industries and generate 70 megawatts of renewable energy from rooftop solar systems, enough to power 9,350 homes.

Ben Stewart, Property Director at Calder Stewart, stated that while land in Canterbury may appear abundant, much of it is unzoned, lacks necessary infrastructure, or is too far from major transport hubs for large-scale development. He also noted that the increasing prevalence of automated warehousing technology is driving consolidation among industrial operators, as companies leverage larger, more advanced facilities to centralize operations, reduce overhead costs, and improve supply chain efficiency. He said: "The rapid advancement of automated search and retrieval technology is encouraging businesses to seek locations that can support larger-scale, higher-intensity operations. At the same time, Christchurch faces land supply constraints similar to Auckland, and while there is potential for westward expansion, much of the available land remains unzoned."

This investment comes amid a shortage of commercial land in Christchurch, where land prices have doubled over the past five years to nearly NZ$500 per square meter. Experts believe this trend could limit the attraction of future large-scale investments in the region. The project is expected to create hundreds of new jobs.

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