TDHL confirms plan to demolish buildings in Timaru CBD

Wednesday, 20 September 2023

The buildings set for demolition include buildings from the former Majestic Theatre to the building which neighbours the Gladstone Board of Works Building.

A row of buildings purchased by Timaru council's holdings company five years ago are set to be demolished and will make way for a temporary greenspace in the CBD while a long term plan is decided.

Timaru District Holdings Limited chairperson Mark Rogers has confirmed a decision on the future of some of the buildings had been made.

Rogers said the buildings from 101 to 107 Stafford St, which includes the former Majestic Theatre, are “likely earthquake prone” and will be demolished with a public greenspace established.

“Demolition and provision of green space proves the dual benefits of usable public green space and resolving some of the initial development risk.”

A rendered image of what the greenspace will look like once the buildings on Timaru's Stafford St are demolished.

Rogers confirmed the holdings company has applied for a consent to demolish the buildings.

Asked when the work would happen, Rogers said that was yet to be determined.

“It is dependent on when the consent is issued. Ideally, we would like to advance this as soon as practical, as TDHL sees the community benefit in the green space.”

The buildings set for demolition include the former Majestic Theatre, centre. The bluestone building to the right of the theatre will not be demolished.

The Timaru Herald asked the council whether any consents had been applied for or issued for demolition or construction work on the properties on Friday. On Monday, the council’s media team responded: “We can provide you the information you have asked for on Wednesday.”

The council is yet to respond.

TDHL bought the properties from 101-123 Stafford St, opposite the Theatre Royal and a planned heritage hub, in September 2018 for $1.7million.

They include the former National Mortgage & Agency House, the former Union Bank of Australia, the Majestic Theatre, and buildings between that and the Gladstone Board of Works Building.

Timaru District Holdings Ltd general manager Frazer Munro said the plan to demolish the buildings and create a greenspace supports the revitalisation of the area. (File photo)

The demolition plans do not include the National Mortgage & Agency House, the former Union Bank of Australia which are located from 119-123 Stafford St.

The former Union Bank of Australia building, which is made of Timaru bluestone, was completed in 1877 and is unlisted but proposed to be Category B listed as part of the Proposed District Plan.

Rogers said properties from 117-119 Stafford St were being maintained with restoration options being investigated. The building at 123 Stafford St was being maintained, he said.

TDHL general manager Frazer Munro said the greenspace would support the revitalisation of Stafford St, which includes a significant redevelopment of the Theatre Royal and creation of a Heritage Hub opposite the sites.

Buildings on Stafford St, pictured in September 2018, at the time they were purchased by TDHL.

“The revitalisation of Stafford St is central to how TDHL is contributing to a vibrant and sustainable city

centre that will meet the diverse needs of the district’s residents for the next 30 years.

“The public greenspace is a key amenity to how we can help deliver this vision. Moreover, the buildings proposed to be demolished … are not heritage listed and through the recent District Plan heritage assessments did not have any heritage values identified.

“Really the greenspace option is a win-win for the people of Timaru,” Munro said.

Following Wednesday morning’s magnitude 6 earthquake centred near Geraldine, which gave Timaru a decent shake, Munro said there were no obvious signs of issues with the buildings.

“We have already completed an initial visual inspection of the buildings, checked in with the tenants and spoken with our structure engineer,” Munro said.

An artist’s impression of the hotel which was proposed for a 2000sq m site on Timaru's Stafford St. The hotel was deemed no longer viable in January.

Rogers said the earthquake had reinforced the importance of prioritising safety in all investment decisions, in conjunction with financial requirements.

“TDHL has a focus to manage and grow a sustainable intergenerational return that is aligned to the values of the shareholder and, as such, believes that taking such an approach will deliver the best long-term outcomes while meeting short-term imperatives,” he said.

When it purchased the properties in 2018, TDHL said it intended to “enable the sites to be combined and on sold to a developer as a single 3700 square metre site”.

Since then, it has called for expressions of interest from developers interested in purchasing the properties.

A proposal by Thompson Engineering and Construction to build a hotel on part of the site, was accepted in July 2022. However, in January 2023 TDHL confirmed it had bought the properties back with the company behind saying the hotel project was no longer viable.

In June, Rogers told the council they were reassessing the future of the buildings and said they were deteriorating. At the time he warned demolition was an option being considered.

Rogers told councillors demolition would enable them to offer larger footprints and easier sites to potential developers, which would be more conducive to that end of town.

During the same meeting, Munro said a precinct plan for the area identified key features and outcomes the council wanted to see from any development undertaken.

Proposals for the sites were assessed against that plan, he said.

On Wednesday, Rogers confirmed there were no firm offers “currently being considered” for the properties.