Two major transport milestones have marked 2026: financial close on the $3.6 billion Ara Tūhono Northland Corridor public-private partnership, and the opening of Auckland’s $5.5 billion City Rail Link.

Projects of this scale are usually discussed in terms of funding, engineering and construction. Less visible is the extensive property work required to secure the land, access and legal rights needed to get them built.

Land requirements sit at the heart of major transport projects. Unresolved property issues can weaken a bid, delay construction and create significant financial exposure. Addressing them early gives project sponsors, consortiums, contractors and funders greater certainty about the programme and the risks ahead.

Simpson Grierson’s Real Estate team has advised on both Ara Tūhono Northland Corridor and the City Rail Link. The projects show how land and property issues can shape infrastructure delivery across different procurement and acquisition models.

PPPs and the allocation of land risk

The PPP for the Warkworth to Te Hana section of Ara Tūhono Northland Corridor reached financial close in July 2026. At $3.6 billion, it is New Zealand’s largest roading PPP and involves approximately 26 kilometres of new motorway. Simpson Grierson’s Real Estate team advised across the design and construction and equity sponsor workstreams.

With public-private partnerships likely to remain part of the procurement options for vertical infrastructure delivery, the allocation of risk for land-related matters will continue to be a significant issue for project contractors. While the Crown is responsible for acquiring the land required for future road corridors, gaps in the acquisition programme or unresolved property interests can have serious consequences for the project.

Land considerations on a PPP include a wide range of issues: for example, rights relating to riverbeds, forestry land subject to the Emissions Trading Scheme, local road interfaces, signage, Overseas Investment Act requirements and easements and other interests. These issues are identified and assessed during due diligence to inform the agreed risk allocation between the parties and also the bid price.

For a consortium bidding for a PPP, understanding these property issues early is essential to assess how they may affect critical path timing in the construction programme, the bid price, and overall risk profile within the upstream and downstream documents. The same need for early certainty applies where land must be acquired for a major public project, as the City Rail Link demonstrates, as discussed below.

City Rail Link: securing land for a generational project

The opening of the City Rail Link has reshaped Auckland’s rail network. The new route includes two underground stations and the significant redevelopment of two existing stations, improving access through the central city and enabling faster, more frequent services.

Before construction could proceed, the land required for the route and stations had to be identified, acquired and made legally available for the project.

Simpson Grierson’s Real Estate team assisted with the acquisition of land under the Public Works Act 1981. Working with our litigation colleagues, the team also helped resolve significant compensation claims by affected landowners, including through litigation where required. More recently, the work has included the legalisation and development of station land.

The work illustrates how property requirements can continue to evolve throughout a project, from initial acquisition through construction to the legal arrangements needed for the completed infrastructure.

For projects requiring the acquisition of privately owned land, that process is commonly carried out under the Public Works Act.

Navigating the Public Works Act

Under the Public Works Act, affected owners are generally entitled to full compensation and to be left in no better or worse financial position because of the acquisition. Determining what that means in practice can be complex, particularly where a project affects many properties or businesses.

Authorities need to negotiate fair compensation while maintaining certainty about when the land will become available. Where agreement cannot be reached, the Act provides a compulsory acquisition process.

Each stage of that compulsory acquisition process must be completed correctly. Errors can require parts of it to be repeated, potentially delaying access to the land for more than a year and affecting the wider delivery programme.

The Eastern Busway provides another example of the scale of the property acquisition task. This $1.4 billion rapid-transit project in East Auckland required several hundred property acquisitions over several years. Simpson Grierson’s Real Estate team assisted with those acquisitions and worked alongside our planning and environment colleagues, who secured the designation.

On projects involving acquisitions at this scale, property planning and acquisition needs to run alongside the designation and delivery programme rather than follow it. Securing the necessary land can take considerable time. As approval pathways become faster, there is a growing risk that property planning and acquisition will not keep pace with consenting, design and procurement.

Fast-track approvals put greater pressure on property planning

The Fast-track Approvals Act is intended to shorten the consenting process for eligible projects. Faster consenting does not necessarily mean faster access to the land needed to deliver a project. The relevant land and property rights must still be identified, secured and made available within the project programme.

Compressed statutory timeframes place greater pressure on project teams to address property issues earlier. Matters that may once have been worked through over several months could now need to be resolved within weeks.

While the Public Works Act has been recently amended to allow greater incentives to be paid to owners who agree to sell their land within prescribed timeframes, and this will be useful in more quickly securing land for a project, there remains real risk of delay to a project where the necessary land cannot be secured in a timely manner.

Land ownership, access, easements, acquisition requirements and third-party interests should be considered alongside planning, design, procurement and funding. Leaving that work until a project has progressed through consenting can limit the options available and place unnecessary pressure on the delivery programme.

Bringing real estate expertise in early

New Zealand’s infrastructure pipeline is expected to generate further transport projects, PPP opportunities and applications under the fast-track regime. Each will have its own property requirements, but the practical approach remains consistent: identify the land needed, understand the interests affecting it and establish a workable acquisition and access strategy early.

For public authorities, early property planning helps protect the delivery programme and supports fair, well-managed acquisition processes. For consortiums, sponsors and contractors, it provides a clearer view of the risks that may affect the bid, construction programme and commercial arrangements.

If you are planning, procuring or bidding for a transport or infrastructure project, involving real estate advisers early can help identify and address property issues before they affect programme timing or costs.

Get in touch

To discuss the land requirements, acquisition strategy or property risks for an upcoming project, contact a member of Simpson Grierson’s Real Estate team.

Special thanks to Senior Associate Will Barnes for assisting with this article.