Foodstuffs yesterday said it expected the upgrade of its New World supermarket and the subsequent expansion of its car park on to a neighbouring Hanover St site, which it also owned, would be completed next year.
The Hanover St site houses Southern Community Laboratories (SCL), Dunedin Urgent Doctors and Accident Centre and the Urgent Pharmacy, which will be forced to move as a result of the plans.
The Otago Daily Times understands the four-storey Oamaru House building, which houses Henry's on the bottom floor and is also owned by Foodstuffs, will not be demolished as part of the plans.
Foodstuffs South Island general manager, property and retail development Roger Davidson said its car-parking facilities would be expanded on to its Hanover St site after a ''major upgrade'' of Centre City New World.
''We expect work to be completed in the fourth quarter of 2017.
''We have enjoyed a very good relationship with the tenants of Hanover St retail shops, and wish them well for the future,'' Mr Davidson said in a statement.
SCL chief executive Peter Gootjes said it would be moving out of the building late next year and had a new site in mind.
''We've got a place we are looking at.
''It's not signed or sealed, but it's looking promising.''
The plan was to co-locate at the new site with Dunedin Urgent Doctors and Accident Centre and the Urgent Pharmacy and it expected to make an announcement on the site soon.
The new site was not quite as close to Dunedin Hospital, but ''not all that far away''.
Dunedin Urgent Doctors and Accident Centre practice manager Martin Chamberlain said it had some ''plans in train'' but did not have to leave for about another year.
''We expect a reasonably smooth transition,'' Mr Chamberlain said.
It was part and parcel of being a tenant that sometimes you had to shift. It had moved at least twice previously.
Foodstuffs had given it plenty of warning and indicated it had plans for the Hanover St site more than two years ago.