‘This is not a fire sale’: Struggling Papanui RSA to sell clubrooms

Thursday, 10 October 2024

The Papanui RSA has put its headquarters for sale after posting financial losses.

The Papanui RSA in Christchurch is selling its premises as it strives to stay afloat in the face of financial losses.

At its recent AGM, the cash-strapped organisation agreed to a motion from its executive to sell its Harewood Rd buildings and land.

The club then reassured members on its social media page: “Contrary to rumours we are NOT closing. Just downsizing our premises.

A commemorative meal under way at the Papanui RSA headquarters in 2013 to mark the Korean War ceasefire.

“We are asset rich and cash poor. This is not a fire sale.”

The large property sits behind shops at the northern end on Papanui Rd and the southern end of Harewood Rd.

It includes 847m2 worth of buildings on a 4166m2 piece of land with a commercial zoning and three separate street entrances.

It will be sold by tender, with an October 16 deadline. It has a 2022 rating valuation of $950,000.

In the meantime, the club has reduced its meal service hours to trim operating costs “as we continue to manage the RSA finances through this challenging period”, a message to members says.

The club’s general manager, Tim Marsh, said no decision has been made about where the club will meet if the premises changes hands.

The Harewood Rd property has a commercial zoning.

The sale follows the Christchurch Memorial RSA in the central city having to sell its Armagh St headquarters after its restaurant business Trenches collapsed after amassing large debts.

The Christchurch Memorial RSA now holds meetings and social events at the Richmond Club.

Wayne “Buck” Shelford, president of the Royal New Zealand RSA, has in the past told RSA clubs they should focus on their core roles of remembrance and support, not running bars and pokies.

The Papanui headquarters includes a large main bar and restaurant, function room, meeting room and smaller rooms. All have been leased out in addition to being used by club members.

Poppies for the annual Anzac Day RSA fundraiser.

The club’s most recently filed financial return show it made a loss of $170,000 for the year to the end of June 2023. This followed a loss of $53,000 the previous year, after expenses rose by $75,000.

The club’s income came from bar and food sales, subscriptions, gaming machines, and rents.

Proceeds from Anzac Day poppy sales and other donations are spent on welfare for current and past service people and families.