Interest in buying old Central Post Office

"Several tenders" have been lodged for the purchase of Dunedin's nine-storey former chief post office in Princes St.

Bayleys Real Estate agent Robin Hyndman, who is handling the mortgagee sale for South Canterbury Finance (SFC), confirmed the interest when tenders closed at 4pm yesterday.

SFC, which is owed more than $7.5 million, was expected to take some time evaluating them.

Plans for development of the 1930s building into a Hilton Hotel were sunk when primary lender SFC stepped in and took over the building in late December from Auckland developer Dan McEwan, of the McEwan Group.

Mr McEwan has since been ruled bankrupt over a separate $978,000 debt.

Tenders for the sale of the 125-year-old former BNZ bank, on the corner of Princes and Rattray Sts, close next week.

Principal lender, the embattled Hanover Finance, has called in a loan against Auckland developer Mike McGurk, who said earlier this month he planned to refinance and continue with his plans for the $8 million to $10 million hotel development.

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