Wanaka's town centre is ticking over quietly and several multistorey buildings are in the pipeline. But how far should town centre development spread? Reporter Marjorie Cook explores some of the issues.
Developer Duffy Krook, of Sydney, has recently suggested Wanaka's commercial zone could be extended into the Brownston St high-density residential zone, beyond the present block hemmed in by Ardmore, Dungarvon and Brownston Sts.
Arguments in favour are that much of the residential side of Brownston St is already occupied by businesses working from adapted houses; consistent rules would eliminate ad hoc resource consent applications; and increased traffic over time will make living there an unappealing prospect.
Wanaka Community Board chairman Lyal Cocks is not buying it, having recently completed work on the Three Parks development, a transport plan and town centre character guidelines.
Land has been set aside for a second commercial and retail area on the outskirts of town.
It is conditional on regular "health checks" to ensure development is staged and sustainable, although the first "health check" has yet to be done.
"There is also a lot of undeveloped land in the existing town centre ... If you move the town centre boundary, you take those rules with you - for example, car parking - and that doesn't fit with the transport plan," Cr Cocks said.
Brownston St traffic would become a big problem if commercial and retail businesses lined both sides of the street, he said.
"So to come in and change the zone on the [residential] side to satisfy one landowner, we are reluctant to support that right now. But we are happy to look at it in the district plan review. We are looking at all the zones and we've told Duffy that, and we're happy to keep talking to him," Cr Cocks said.
The Sustainable Wanaka Charitable Trust, which opposed Three Parks, has not formed a position on extending the zone.
John Beattie, who presented the trust's submissions on Three Parks, said this week he personally wanted a robust debate.
Mr Beattie believes, with several speed bumps now forcing motorists away from the lakefront, commerce would be pushed "out the back" of the retail block, so discussion about the long-term designation of Brownston St should be encouraged.
Supporting the zone change is Paterson Pitts principal planner Robin Patterson, who acts for Mr Krook.
Mr Krook has two irons in the Brownston St fire - a two-building, multi-level redevelopment on the corner of Brownston and Chalmers Sts (no tenants are signed) and the conversion of a former church into a cinema and cafe for Cinema Paradiso. Both are on the residential side of the road.
Mr Patterson has noted a development benchmark of sorts was set several years ago for the residential side of Brownston St when resource consent was granted for the multi-level Southern Star Apartments at 42-50 Brownston St. (The Hamilton-based developer went into liquidation in 2009 and the site remains undeveloped.)
Back then, neighbour Acton Smith argued the street's future arterial status, plus lack of car parking and other transport issues, were good reasons to turn the hotel down.
Mr Patterson argues Brownston's arterial status helps the zone-change cause.
"There are now only four or five suitable sites for development in the central business district ... The council's role is to decide where land uses should be in the town, and zone them appropriately.
But how high is that in the council's priorities?" Mr Patterson said.
A combination of the Three Parks threat and the recession means developers are proceeding cautiously.
Wanaka residents Gavin and Deborah Humphrey own 72 Ardmore St, which was demolished this week to make way for a simple, two-level building next to the Four Square supermarket.
"Hanging over everyone's heads is Three Parks. How far should we be developing and how far do we go? It will be strong competition," Mr Humphrey said, when contacted this month.
Finding tenants is an issue, especially when some recently built offices in Helwick St are clearly vacant. Some developers, such as Mr Krook, are proceeding without contracts, but the developers of 93 Ardmore St have the support of a Christchurch-based tenant.
Central Property valuer Iain Weir, who is project managing 93 Ardmore St, believes tenants are ready and waiting.
"The CBD is feeding off what's happening with the local population. If you have a growing population, in terms of visitors and residents, that naturally flows on to the commercial area," he said.
The strong local economy had required more retail and office space, bars and restaurants, consulting rooms and light-industrial workshops, Mr Weir said.
But since 2009, he has noticed more resistance to rent increases because of tighter trading conditions and a greater choice of properties.
