Buyer yet to be found for Mosgiel factory

Fisher and Paykel Appliances' Mosgiel site is still for sale. Photo supplied by Simon Hartley.
Fisher and Paykel Appliances' Mosgiel site is still for sale. Photo supplied by Simon Hartley.
Fisher and Paykel Appliances is yet to find a buyer for its expansive Mosgiel plant or locate a suitable city building to lease for its 130 engineers and a new call centre staff, but the latter will now be set up six months earlier than anticipted.

Early in July Appliances put its 16.5ha Mosgiel manufacturing site on the market, as it prepares to move its manufacturing facilities offshore with the loss of 430 jobs by May next year.

Yesterday was the closing date for offers.

Appliances vice-president of investor relations Paul Brockett said the company was in negotiations with two parties over the site, which has a rateable value of $23 million, but he was unable to give any further details other than that "nothing final" had been agreed.

Appliances has also yet to secure a lease on a building within Dunedin's CBD where it planned to relocate about 90 engineering staff, plus a new 40-person international call centre.

Mr Brockett said instead of opening the 40-person centre in April next year, it would bring forward the opening to October/November and initially employ 15 people at the Mosgiel site, to be moved into the city later.

The Mosgiel site includes workshops, warehousing, offices, a social room and training areas.

The main building's clear-span, 8m-high factory covers about 21,700sq m, or 2.17ha.

Aside from the Mosgiel site sale, F&P Appliances has 4ha of greenfield land for sale next to its East Tamaki plant, which suffered a similar fate to Mosgiel when 450 jobs were replaced by offshore manufacturing bases established during the past two and a-half years.

At the time, the redundancy and closure costs were estimated at around $50 million, but offset by a similar level of savings.

The capital expenditure of relocating offshore were about $100 million, which similarly would be offset by property sales in New Zealand worth up to $100 million.

 

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