Business North September 2020

| 41 Volume 19 | Issue 3 businessnorth DEVELOPMENT » Traverse Group Puhoi firm optimistic in challenging times Traverse Group has been developing and selling down on two projects. One on Solan Drive, Waimauku, 6km west of Kumeu, North Auckland, and the other on Mahurangi West Road, Puhoi. Sue Russell S ince being established in 2005, family-run Traverse Group - based just north of Auckland in Puhoi - has evolved into three companies, that work collectively and at times independently in medium-size rural-residential property development projects located from North Auckland, through to Whangarei. Kent Fearon, son of founders Paul and Bitten Fearon, concentrates on Traverse Construction which he and wife Kelly took over in 2010. Traverse Property and Traverse Investments complete Traverse Group. “I’m the general manager and project manager. Our civil construction has always been a bit of an enigma with 80% of the work undertaken on our own projects. We often do work for purchasers of our developed sites,” Kent explains. The company has been developing and selling down on two projects. One on Solan Drive, Waimauku, just over 6km west of Kumeu, North Auckland, and the other on Mahurangi West Road, Puhoi. “The Mahurangi West project has been very successful and we are very happy with the overall quality and finish of our product. “Around 70 acres of native bush has been cove- nanted as part of the project with some large stands of Kauri. We love to see native bush preserved for generations to come, and for the environmental benefits it brings,” says Kent. Another project in Puhoi saw the covenanting of over 250Ha of native bush. Reflecting on 2019, Kent says a number of prop- erty developers had a tough year. He put this down to an abundance of land opening up for develop- ment and sale. “We tend to concentrate on larger sites, upward of 1600sqm and its been pleasing to see that we had a very strong December and January which continued through to the lockdown.” Kent describes the property market as buoyant but says currently people are waiting to see, given the uncertainties around Covid-19 and its longer- term impact. “It’s an interesting time with the sort of property we develop and sell. “While interest rates have been very good, converting that through to a sale has proven more challenging, however overall we are happy with how business is going.” Eventually, Kent says, the roading issues facing west North Auckland commuters will become an is- sue and potential impediment to seeing that region thrive, even though there is a significant amount of bare land opening up. As for the 5-10 year strategic plan, Kent says that Traverse Group is preparing to position itself for the next building boom. “Once this begins it will last for the next five years or so, I believe.” He also says that the civil works side of the business over ensuing years will cease being a significant activity, with property development the main focus. “We’re expecting there will be some sort of move of the ports which may well have a massive impact on the Whangarei region.” Kent feels the size of the company is about right and doesn’t wish to see it growing much larger. It works well, he says, for the company and its cur- rent size to make use of outside consultants, rather than employing them within the company. House and land options are beginning to be a fo- cus of activity, with Kelly looking after the document side of it for construction. “Part of her role is the design and project management side, once a project is fixed. These are where her skillset really contributes to our overall success as a family business.” Lay Dodd Accountants have the depth and breadth of services of a major accounting firm, but with the personal touch that only a locally owned firm can deliver. At Lay Dodd we understand that people are unique, businesses are unique, and your situation is unique. To this end we are dedicated to providing timely, accurate solutions tailored to suit individual needs. Our team of focused, friendly accountants available at Lay Dodd offers a wide range of expertise and experience in the world of business, taxation, financial planning, and wealth creation. Ground Floor, 3 Owens Road, Epsom, Auckland PO Box 28 898, Remuera, Auckland 1541 09 623 7770 / Fax 09 623 7779 info@laydodd.co.nz www.laydodd.co.nz