- The former Bruce Woollen Mill in Milton was sold "as is where is" after Miltown Properties Ltd's liquidation.
- Owner Ezra Eini's redevelopment plans were halted by heritage restrictions and legal issues over tyre storage.
- Miltown Properties owed over $600,000, and Eini was fined for breaching environmental standards.
A landmark Otago mill with a history stretching back more than 125 years has been sold "as is where is" after a failed revival, stalled redevelopment plans and the liquidation of its owner.
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The former Bruce Woollen Mill in Milton, where some of the early Swanndri designs were manufactured, was sold following the liquidation of Miltown Properties Ltd, the company owned by Dunedin businessman Ezra Eini.
Eini first listed the property for sale in April, but it was relisted as a liquidation sale several weeks later after the collapse of his company.
He had told OneRoof that he was selling up because heritage restrictions had prevented him from progressing redevelopment plans for the 8.7ha site.
According to the first liquidator's report, by Simon Dalton, of Gerry Rea Partners, Miltown Properties Ltd owed over $600,000 to creditors, including Nova Energy, the Inland Revenue Department, Clutha District Council, Otago Regional Council and Leli Coluccio.
The 8.7ha site sits on the edge of town and generates $185,000 a year in rental income. Photo / Supplied
The report said that Eini intended to bring the company out of liquidation, but that no application had been made to the High Court, "and one is not expected".
Real estate agent Peter Ryder of Kelleher told OneRoof that he couldn't comment on the property because it was a liquidation sale, but he confirmed it had been sold.
The sale is another chapter in the long and often turbulent history of the Milton landmark.
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The mill was established in the late 19th century and rebuilt after a fire in 1901. According to records held by Te Papa Tongarewa, Swanndri founder William Broome had some of his early designs manufactured at the site, helping cement its place in New Zealand’s clothing history.
For more than a century, the mill was a major employer in South Otago and produced a wide range of woollen goods. It later operated under different owners before eventually closing, with attempts to revive manufacturing at the site ultimately unsuccessful.
A consortium including Wool Equities Ltd and a group of manufacturers and wholesalers re-established Bruce Woollen Mill Limited in 2012 with plans to restart production. However, the venture failed.
However, by 2022, the properties in Edward and Elderlee streets, Milton, were in the ownership of Eini's company Miltown Properties, and demolition work began on the main derelict three-storey 1887 building at the mill site.
The woolsheds were used for processing Swanndri’s wool in the early days of the iconic New Zealand company’s history. Photo / Supplied
Eini told the Otago Daily Times that he had planned to demolish the building, move the surrounding car wrecking business to the rear of the site, and build new development along the frontage.
However, Heritage New Zealand Pouhere Taonga advised that demolition work could not continue without an archaeological authority and advised that work should stop immediately.
In November 2024, Miltown Properties Ltd and Eini were prosecuted by the Otago Regional Council over the storage of end-of-life tyres at the Milton site.
The charges related to storing tyres in breach of national environmental standards and in contravention of an abatement notice issued by the council. The defendants pleaded guilty to eight charges.
The company had been told it needed resource consent to store the tyres at the site, but the number of tyres continued to grow. Council enforcement officers visited the property and observed a truck unloading more tyres onto an existing pile.
Following complaints, the council issued an abatement notice in November 2022. At that point, there were an estimated 2500 tyres on site. By March 2023, the council estimated the number had doubled, with further increases by April 2023. Miltown Properties Ltd was ordered to pay $15,600, and Eini was ordered to pay $36,400, plus legal and related costs.
In May, Eini told OneRoof that he originally bought the property in 2012 because he saw potential in Milton as a cheaper alternative to Dunedin for industrial uses. He said the location between Dunedin and Queenstown Lakes made it attractive for businesses, including those involved in infrastructure, trucking, food delivery and storage. However, his redevelopment plans had become impossible because of heritage constraints.
In his listing on OneRoof, Ryder said the former woollen mill presented “a rare opportunity to secure a substantial and well-known property on the edge of town".
He said the land was predominantly zoned industrial, had around 70m of State Highway 1 street frontage, and was "anchored by two striking classic brick buildings", offering 2.03ha of floor space.
“With multiple access points and a prominent roadside profile, the site offers genuine flexibility for a range of future uses,” Ryder said.
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