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Wednesday, July 10, 2013
FIRST PUBLISHED SEPTEMBER 27, 1879
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Ashburton real estate market running hot
Taking a stand on legal highs
By Sue Newman
Tinwald’s First and Last Dairy owner Ben Sun has taken a stand against synthetic cannabis.
Photo Kirsty Clay 090713-KC-078
Dairy owners ditch drugs to protect community By Myles Hume Dairy owners Ben and May Sun have taken a stand against synthetic cannabis, even though they will lose more than $20,000 a year. Legal highs were once a serious money-maker for their small Tinwald business, The First and Last Dairy, generating up to $500 in weekly turnover with a growing customer base. Mr and Mrs Sun admitted it was “pretty profitable”, taking a 50 per cent slice of legal high sales. But it was all too good to be true for the small business. “We observed what kind of people were coming in to get this stuff, we saw some mature adults looking for stuff for relaxation,” Mrs Sun said. “But we also saw some problems
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We also saw some problems with those
people at the grassroots and younger people who don’t have a very decent job and don’t have an organised life
with those people at the grassroots and younger people who don’t have a very decent job and don’t have an organised life.” They were stuck in a bind, wanting to satisfy customers but uneasy about the impacts the harmful substances were having on the community. Earlier this year they decided to pull synthetic cannabis from the shelves. It was a decision they have not regretted since, and has been
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backed by the country’s decisionmakers who are set to pass the third and final reading of the Psychotic Substances Bill tomorrow. By as early as next week, manufacturers of legal highs will have to prove the safety of the products before they are sold in New Zealand. Strict prohibitions will also be placed on under 18-year-olds regarding sale to, possession of and consumption.
“When you think about those who are affected, I definitely feel happy they are doing this. They might be able to get it somewhere else or underground, but at least it won’t be easy for them to access and buy,” the Tinwald dairy owner said. Investigations by the Guardian have found Bel Air Dairy and Coin Save, next to each other on East Street, sold legal high products recently. When the owner of the Bel Air Dairy was contacted, he said they had stopped selling synthetic cannabis as of yesterday. He said it was “not an important” part of his business. Ashburton Community Alcohol and Drugs Service (ACADS) manager Chris Clark hoped blanket restrictions on synthetic cannabis “would make a huge difference”.
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“I think it will have an effect, it won’t be as readily available for those using it.” However, Mrs Clark said what would happen in the near future was “a bit of an unknown”, whether they would see less referrals for addicted users, or more who could not cope with the dry up in available substances. Ashburton Mayor Angus McKay backed the Government’s stance on synthetic cannabis. Timaru Mayor Janie Annear has taken drastic action, naming and shaming the town’s businesses who continued to sell the product. Mr McKay said he would not be taking action, because “the Guardian have already done it”. The final reading of the bill should pass tomorrow night, before the law comes into effect next week.
Red hot demand for houses in Ashburton is seeing some signed up within a week of listing, often selling for more than $20,000 above their asking price. With a market that was short on listings, multiple offers are common as qualified buyers vie to sign up properties, Ray White manager Jill Quaid says. The median selling time for houses in the Ashburton District in June was just 27 days and with a LIM report taking 15 working days to process, that indicated a very short time lapse between list and sale, she said. “Listings that are coming to the market now, if they’re priced correctly, they’re selling; they’re often under contract within a week.” Multiple offers added a complex layer to the market, but under new real estate guidelines there were clear protocols for agents dealing with these. They were based around transparency and ensured all parties knew exactly what was happening, Mrs Quaid said. “It creates an awful market for real estate agents, but Ashburton companies are complying with the rules.” The median selling price in June, according to REINZ statistics was $265,000, but rather than being a true indication of the average price of a home in the district, the median price reflected whether the bulk of sales were higher or lower valued homes, Mrs Quaid said. “With a market where there are usually around 50 sales in a month, it’s difficult to get an accurate median. You only need about five between $200,000 and $250,000 for it to drop and two or three between $400,000 and $500,000 for it to go up. “If you take a longer term view, the median price would be around $280,000.”
Quotable Value, however rates property values according to an average value based over a three month period. And for Ashburton that has seen prices tip over the $300,000 mark to $301,419. Over the past 12 months values have grown in the district by 9 per cent, a growth rate exceeded only by Auckland and two areas in Christchurch. Ashburton’s market was still being affected by cashed up Christchurch buyers wanting to relocate, Mrs Quaid said. “You only need one or two of these buyers to affect the market because they’re buying houses without releasing other houses onto the market.” While the market was very tight in terms of listings, she anticipates this will change over the next six months as spec homes in the Braebrook subdivision come onto the market. In a seller’s market, buyers had to be well prepared if they wanted to secure their home of choice, she said. “They need to make sure they’ve got all the boxes ticked, their finances should be arranged and their builder booked. It’s competitive out there.” Rather than describing the market as hot, Property Brokers manager Hamish Niles said it was a “sensible” market. “We are seeing a bit of multi offer stuff going on and that makes it hard, but it’s not just price, its conditions, so sometimes it’s not just price that wins. We’re seeing more and more buyers now coming to the market well prepared to buy.” While mid-priced properties were in hot demand, there was also strong interest at both the lower and upper end of the market, Mr Niles said. Ashburton shares a market that is short on listings with most of Canterbury, which, along with Auckland, is listed as having an acute property shortage.
photo kirsty Clay 090713-kc-079
Local real estate offerings are being snapped up quickly.
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