Eyes on the future with supermarket redevelopment
A $15 MILLION development at New World Alexandra points to confidence in the Central Otago economy and prepares for new shopping trends, business owner Kevin Ryan says.
The development, which was completed last month, has seen the floor space of the Alexandra business almost double, from 2097sq m to more than 4000sq m.
Within that, the retail area increased from 1170sq m to 2000sq m, and bulk storage increased from 110sq m to 456sq m, Mr Ryan said.
The storage expansion was crucial as supermarkets adapted to changing markets, in which more and more shoppers bought goods online, Mr Ryan said.
‘‘We need to be able to store the goods that people purchase, either buying online and getting them delivered or using ‘click and collect’, where they purchase goods online but then collect themselves, often buying extra goods such as fresh meat and vegetables at the same time. Without the storage space, we wouldn’t be able to service those customers.’’
New World supermarkets did not offer online shopping at present but systems were being established and trialled for the eventual development and it was vital the storage space was in place before online shopping started, Mr Ryan said.
The $15 million Alexandra development comprised a $10 million rebuild of the Alexandra supermarket building and work in the car park area, which was funded by Foodstuffs; and a $5 million internal refit of the new store, which was funded by the Ryan family owners.
The Alexandra store had been built in 1984 and undergone three major and two minor renovations since then, Mr Ryan said. The new store has retained only a 22m section of one original wall. All other walls and the roof are new.
Earthquake strengthening was also done in the latest renovation.
One interesting feature of the development was a change in the motor room, which ran all the refrigeration and freezers in the supermarket, Mr Ryan said.
The new motor room has none of the old refrigerant gas pre viously used for refrigeration, but is fuelled by carbon dioxide in cylinders. It was the ‘‘latest and greatest’’ refrigeration system in the world, and the Alexandra supermarket was one of only a handful in New Zealand to have it, Mr Ryan said.
He said the Alexandra New World had reached its ‘‘optimum size’’, and further expansions to its footprint were unlikely, especially considering future growth may be in the online shopping sector.
New World Alexandra employs 170 full and parttime staff.