Developer in discussions over Showgrounds Hill site
Work on a development proposed for Timaru’s Showgrounds Hill site could begin as early as September, if the developer decides to go ahead with the project.
In November, the Timaru District Council’s holdings company, Timaru District Holdings Limited (TDHL), confirmed it had sold the 12 hectare site it purchased in April 2017 to Auckland-based Redwood Qt Limited, subject to due diligence, for an undisclosed sum.
At the time, Redwood Qt chairman Tony Gapes said the development could create 600 new full time jobs, and be similar to the Five Mile development that it had done in Queenstown.
Speaking this week, Gapes said they were still completing due diligence as to the viability of the development – a process which could take months. ‘‘We hope to complete our due diligence in the next few months and begin construction in September.
‘‘It is the best option with regard to the bulk earthworks on site, of which there will be a lot. The ground conditions are mainly clay so we need to do this work over the summer months,’’ Gapes said.
While they were yet to complete the purchase of the property, Gapes confirmed discussions with potential tenants were progressing.
‘‘We are dealing with several anchor tenants for the site who we cannot announce yet but they are exciting additions to the Timaru retailing scene,’’ he said.
There had been mixed responses to the proposed development, and Gapes acknowledged concerns which included a desire to protect Timaru’s CBD. ‘‘A vibrant CBD is vital to the success of any town or city however the nature of all retailing is changing, with many downtown areas becoming more driven by food, beverage and entertainment,’’ he said.
‘‘I think the Timaru council project in the Heritage district is a great example of a proactive council injecting life back into the CBD.
Under the district plan, the Showgrounds Hill site is zoned Commercial 2A, which allows for large format store development.
‘‘We have some very tight restrictions placed on what we can do on the Showgrounds site in our agreement with council so we can’t really accommodate the type of smaller retailers currently existing in the CBD,’’ he said.
‘‘We are dealing with several anchor tenants for the site who . . . are exciting additions to the Timaru retailing scene.’’
Tony Gapes, Redwood Qt chairman