Riverside Market - from ‘harebrained’ idea to heart of the city

Saturday, 28 September 2024

It was a “harebrained idea” which became a destination. An ambitious enterprise which has given a shot in the arm to central Christchurch, and a leg up for tiny businesses.

Riverside Market is 100 businesses, seven days a week, 10,000 visitors a day, a third of a city block, and has just turned five years old.

It threw open its doors to a hungry public on September 28, 2019. Locals and visitors quickly took to the indoor-outdoor mix of fresh food suppliers and eateries, restaurants, performance spaces and laneway shops.

Time magazine’s World’s 100 Greatest Places of 2021 list included it as a Christchurch highlight.

Mayor Phil Mauger says he is “over the moon” that Riverside was built, and it helps give the city a “mini-Melbourne” feel. “I take my hat off to them.”

“Everyone I talk to comments on what a great place this market is, and how it’s brought so much vibrancy to the central city.”

Riverside’s origins go back to 2017 when founders and owners, Richard Peebles, Mike Percasky, and Kris Inglis, decided the city needed a food market, and were inspired by what they had seen overseas.

They had already joined forces to create the successful Little High group of eateries on High St.

Visiting the famous markets of Melbourne to garner ideas, they learned none were profitable and all were propped up by council subsidies.

“We came back a bit nervous. But we had done our numbers on the back of Little High, and we knew it could work on a grander scale,” says Percasky.

Typically, food markets overseas are on the edges of central business districts where land is cheaper. Christchurch’s zoning rules meant right in town was the only option.

Their first task was to convince Crown rebuild company Ōtakaro, to sell them the prized City Mall spot opposite the Bridge of Remembrance. Ōtakaro had amalgamated the land in line with the earthquake-recovery blueprint, and wanted a development which would invigorate the mall.

“They wanted a retail stand (ground floor shopping) with corporate offices above. People said our concept wouldn’t work. But we had done the research,” says Peebles.

He credits then Ōtakaro chief executive Albert Brantley with backing their vision, Christchurch City Council for supporting it, and lenders ASB Bank for “taking a punt”.

“And the tenants,” says Percasky, including those who came from Re:Start food trucks.

“We found little mum and dad operators who were unique. Some of them have been very successful and have since opened up other offerings.”

They deliberately avoided corporate tenants, turning down McDonald’s and other big brands.

The land price was $11.5 million, and the whole development, built new from scratch, was an $80m project.

“It was a harebrained scheme,” says Peebles.

“To buy the most expensive land in Christchurch to put in tiny wee tenants with less than six-month leases.”

The trio rejected modern and non-natural materials for the look of their market hall, chasing the aged and layered industrial look of markets they had admired elsewhere.

Timber forming the stalls was milled from old wharf ironbark from Lyttelton, and bricks salvaged from a High St demolition. Giant basket-style lampshades came from Southeast Asia. Two giant clock faces once sat atop the demolished railway station.

Most of Riverside’s early tenants are still there five years later.

Some have not only grown but thrived with what Peebles calls “the secret sauce”, and now own other food businesses both in Riverside and other locations.

The tiny Empire Coffee stall can sell several hundreds of cups a day, or up to 1000 during special events.

Mia Zhao and husband Andy Shiau started their food business with the Eight Grains stall at Little High, and jumped at the chance to join Riverside.

Their stable of businesses now includes Ramen Ria, Midnight Shanghai, Gelato and Tea, and Cantina Bar, all at Riverside, plus several others across the city. From a small family operation, they now have 150 staff.

Zhao says they have been surprised at how quickly they have grown. Riverside’s foot traffic means there are always people walking past and some will be tempted to try new things, she says.

“It’s going very well. It was unexpected. There are a lot of visitors and locals, and we have a lot of regulars.

“If we weren’t here we probably would have stayed with just one or two businesses. We learned so much so quickly.”

In three months after Riverside launched, foot traffic in the area doubled compared with the previous year, according to city council data.

Along with The Terrace hospitality strip, it drew evening customers from Victoria and St Asaph streets, but also boosted the central city overall.

Spending figures from economic development agency ChristchurchNZ showed a $12.5 million jump in inner city spending in the three months after Riverside’s opening compared with the same period the previous year. That’s a 12% increase.

Cath Carter, ChristchurchNZ’s general manger of urban development, says Riverside has become a “vibrant heart” for the city centre, supporting local businesses and drawing people into town.

“Thoughtful developments like this are important for Christchurch, creating places where people can gather and enjoy the best of our city’s hospitality.”

It has not all be plain sailing at Riverside. Covid arrived in early 2020, and tenants had to be helped through. The post-Covid economic downturn also hit turnover.

Peebles, Percasky and Inglis say they sometimes defer or subsidise rent if businesses need help to stay afloat. They also subsidise operating expenses to the tune of $100,000 a year.

While many outlets have thrived, the fresh food operators have not been as successful as they hoped.

A less dense central city population means few shop daily for meat, produce, and other fresh items, the way Europeans do, Peebles says.

He says winters are tough, and plans are afoot to cover the laneways to encourage people to linger.

Not doing so at the start was a costly mistake, he admits.

They are also keen to lease the Oxford Tce exterior from the city council, so they can establish a stage and more easily host performances and stage events.

The car park alongside works well, but also attracts court visitors from across the road. More than one defendant has gone to jail, leaving behind their vehicle for Riverside to tow.

A successful business incubator at the market has been The Pantry, a collective where small producers can rent as little as one shelf and share duties manning the stall. Riverside is about to launch a similar model for butchery products.

A trompe l’oeil mural paying tribute to the city’s history, designed by Josh Thompson of Madeknown and revealed in 2021, has been widely photographed and won the Design Institute of New Zealand’s social good award.

Looking down Cashel St, Peebles says the City Mall is in great shape, and credits Ballantynes as having anchored it after the earthquakes.

Convention centre Te Pae, with its huge visitor numbers, has been “a game changer” especially on weekdays, and cruise visits give the city a major buzz even though passengers don’t spend a lot, he says.

“We’ve gone from the worst central city in New Zealand to now being the envy of all the other cities.”

The mall outside Riverside has the central city’s highest pedestrian count with typical numbers of 10,000 to 14,000 a day, according to the city council. The count has hit 38,000 during the Bread and Circus buskers festival. Other peak days have been during yachting SailGP and cultural festival Tīrama Mai.

Regular events have become an important part of the Riverside vibe. General manager Rachel Gould runs a busy calendar including cultural and school dance and music displays, band gigs, a fire and spice food festival, a Halloween party and celebrations for Matariki, Diwali, Pride Week and Mothers’ Day.

Gould says this year’s mid-winter Christmas proved so popular it will run over four days next year.

“We want people to see this place as a community hub. You get a lot of families and the kids have a great time. Some of the ethnic events are a really good chance for groups to showcase their culture.”

This weekend’s fifth anniversary event will be a little different.

Riverside will be hosting its own birthday party, and is inviting the public to help it celebrate. Activities will range from Peace train rides to cupcake icing for youngsters.

Riverside’s owners say that with its multiple small tenants, Riverside has proven to be management intensive and its rental return less secure, and thus more costly to run than an office tower.

“We could definitely have made more money,” says Percasky of their choice of business.

“But if you asked if we’d do it again, I’d says yes in a heartbeat.”

Peebles says the five years have been hard work but fun. “It’s the pride of ownership, and seeing how much people enjoy it. It’s a real buzz.”