Uncertainty for Business in Christchurch CBD

Many Cantabrians are eager for the city’s CBD to reopen which would certainly see a sense of normality return to thousands of lives. But the city buzz of retail, dining, socializing and the occasional errand may be a thing of that past as many businesses look to reopen in other parts of Christchurch.
The Certified Builders Association has stated that if insurers don’t pick up the slack and cover the Christchurch rebuild, then residents and businesses will relocate and setup elsewhere.

It is an alarming thought but it’s also becoming reality as many property owners are using their insurance money to buy new buildings in other parts of New Zealand.
The new seven-storey height restrictions have forced developers like Miles Middleton to build elsewhere, with his 14-storey Westpac building set to be demolished. Middleton owned a total of four high-rise buildings in the city and said if the height restrictions stand then he will be forced to take his insurance pay-out to Auckland or Brisbane.
Middleton also added that income is one of the main reasons that many developers, will look to build elsewhere, while their Christchurch properties are repaired.
"I would love to rebuild here, but at the end of the day I don't want to go broke."
Other businesses, including 55,000 business workers that once inhabited multi-level buildings in the city have relocated within Christchurch to business parks and suburban areas around the city which are rapidly evolving into commercial havens.
The BNZ building situated on the corner of the Christchurch Square is set to be demolished, with the bank saying they cannot continue to wait and see if the city is a safe place to rebuild. Instead they have taken up a lengthy 10-year lease at the Sir William Pickering Drive business park in Burnside which has become inundated with new tenants. An estimate of 100 businesses and 10,000 employees, including the airport, are now thought to be working out of the Burnside/Russley area since the February quake.

With many businesses on the move, you have to think about the employees who have either been made redundant or who have left the city altogether.
Thousands of people have fled the city for other parts of the country and overseas ventures; and a Deliotte survey conducted over the past few weeks shows that 81% of the 1235 surveyed say they want to continue their careers in Christchurch, with 58% stating they they are committed to staying in the city for the long haul.
The survey also indicated that the rebuild of the CBD is not at the forefront of everyone’s mind, with housing repairs and rebuilds the new top priority. A survey in April suggested the repair of Christchurch city was important, but has now somewhat fallen off the radar.

However, in order for businesses to consider moving back into the central city, many considerations need to be made. Canterbury Business Leaders’ Group (CBLG) chairman Don Elder, says there should be a partnership between top business leaders and the council in order to fulfil future reinvestment in the city.
The CBLG was formed immediately following the February 22 earthquake and represents 150 organisations and institutions. Between 50 and 80 per-cent of all future reinvestment made in the city would be made by these firms, however, with the council snowed under with various earthquake issues, the CBLG and the council have been unable to enter talks but Elder says he will persist with the council to discuss their common goals.
But it’s not all bad news, real estate firm Harcourt’s have confirmed that they will be the first to rebuild in the Christchurch CBD, with their former five-storey Grenadier premises on Madras Street having already been demolished.
With construction due to start in six weeks, Harcourt’s hope to have rebuilt by February 2012, one year on from the fatal 2011 quake.

Cantabrians have also been assured they will be able to get their shopping fix, with Cashel Mall to be transformed into shipping container central, with 27 temporary shops moving into the heart of Christchurch in time for Christchurch’s social event that is Cup and Show Week.
The shipping containers will be arranged in a horseshoe, lining both sides of Cashel Street. Two two-storey cafes will also open in the containers, one which will have a liquor licence.  

With close to 1000 commercial buildings to be demolished in the Christchurch central city, we can now look to the future and build the new Christchurch.
Christchurch residents were able to have their say on the website shareanidea.co.nz where suggestions of a green city were high on the agenda with the possibility of light rail to transport people to-and-from Canterbury University.
With so many empty spaces around the city, it could be as many as 10 years until we see businesses rebuild and the Christchurch CBD return to prosperity.