Upgrade plans still grounded

Plans to create a high-end retail and entertainment precinct and hotel at a dilapidated inner-city landmark have been given the stamp of approval by officials.

The plan would restore Palmerston North’s No 1 eyesore, the High Flyers building on the corner of The Square and Main St, to its former glory.

Recourse consent was granted in December 2017, but no work has begun and the building has deteriorated, becoming a home for vandals and rough sleepers. A resource consent is valid for five years.

The former Post Office building, which later became a nightlife hot spot, is owned by Palmerston Post. Its director and major shareholder is Alan Moyes, from affluent Auckland suburb St Heliers.

The resource consent was granted to Aston Investment Ltd, of which Moyes is also director and major shareholder. Whether his proposed development takes off is yet to be seen, as Stuff understands the property is going through a sale process, although property records still show Palmerston Post as the owner. Moyes declined to comment yesterday.

This week the Palmerston North City Council has also confirmed it recently paid $1675 out of its Natural and Cultural Heritage Fund to board up broken windows on the Main St-side of the building. The fund pays grants towards the maintenance and preservation of heritagelisted buildings, such as the High Flyers one.

Because the sale to the prospective new owners is yet to be confirmed, that money was paid directly to the builders.

This was explained in an email from the city council in December, released under the Local Government Official Information and Meetings Act. The names of the parties in the exchange were blanked out.

‘‘I understand that you are not yet the legal owner, but that you are in the process of potentially acquiring the property,’’ the email from the council said.

‘‘A pragmatic approach has been taken regarding your original funding request, given that [the] ownership change appears to be imminent.’’

And, as Stuff revealed this week, the building is subject to a Dangerous Building Notice, saying it is unfit for occupation.

The resource consent application was filed in December 2016. It sought to remove the toilet and stairs at the rear of the building, and the patio protruding on to The Square footpath, installed in 2010. It would also earthquake strengthen the building.

Windows on the street front would be made larger and there would be a grand plaza, as well as a basement floor conference facility and 42 car parks.

‘‘The applicant of this proposal plans to reinstate the former Palmerston North Post Office to its former prominence by refurbishing it to accommodate space for several high-end retail outlets, restaurants and cafes on the ground floor with through access via a gallery-atrium that connects to a brand new hotel lobby, with the entire first floor to contain all the hotel rooms,’’ the application said. ‘‘An additional seven shops are to be located at the back of the site.’’

The hotel, on the first floor, would have 52 rooms, some with views over the grand plaza. The consent was granted, subject to conditions, without public notification.