[ad_1]
An excellent parcel of bare land in Plaza de la Catedral fetched what is believed to be a record price at auction.
The land is the former ANZ site bordered by Cathedral Square, Strand Ln, and Colombo and Hereford streets.
Emerald Development Ltd, a company owned by an investment entity based in the British Virgin Islands and run by Christchurch businessman Pheng Pheng Ang, bought it for $ 8.1 million.
The same group already owns the Spark office building across the street under the company name Nexus Point Ltd, and also owns a nine-story apartment building on Armagh St, west of Durham St.
READ MORE:
* Dunedin should avoid turning its center into a ‘wasteland’ like Christchurch Cathedral Square.
* Site intended for the construction of Shigeru Ban again for sale in the Cathedral Square
* Christchurch Cathedral Square to dress up
* Retailer of tourist articles buys a key site in the Plaza de la Catedral
Previously, the former ANZ site was used as a building designed by Japanese architect Shigeru Ban, who designed the transitional Anglican cathedral.
Redson Corporation intended to develop the two-story building to house its tourist goods and souvenir retail business, Aotea Gifts.
LIZ MCDONALD / Stuff
The old ANZ site sold for $ 8.1 million.
However, the effects of the Covid crisis on their business made them unable to go ahead with the project and they put the land up for sale in October.
Colliers’ real estate agent Nick Doig said the auction attracted five bidders and about 50 bids.
The price was a record for the city, equivalent to more than $ 6,000 per square meter, he said.
Redson bought the land for $ 6.65 million in 2017 after the previous owner, Central City Estates, abandoned its plan to replace the ANZ building demolished after the earthquakes.
Last year, Redson sold a 50-square-meter strip to the city council in order to expand Strand Ln.
Supplied
This building designed by Shigeru Ban for the site in 2018 will now not be built. (Artist impression)
Redson director Richard Hanson said selling the land was a relief and meant the company could focus on its tourism business.
While the price was considerably more than what was paid in 2017, he said the company had spent “a lot of money” on engineering, architecture and licensing.
“Unfortunately we will not see the building we planned. But we were pleased to have the option to take the [financial] pressure, which many people in the tourism industry do not have. ”
Doig said the value of Cathedral Square was “a long-term thing. The square will only get stronger. “
Ang could not be reached for comment, but industry sources said that with little demand for new office space in the central city, a hotel development was a likely outcome for the site.
Commercial land appraiser Will Blake of the Knight Frank appraisal firm said he did not know of any land in the city that had sold at a higher price.
“It certainly shows that some people have confidence in the city center. It is one of the most notable sites due to its location in the Plaza de la Catedral “.
Blake said the highest prices had been paid for riverfront land near Cashel St. in recent years.
“We are seeing much stronger signs that things will happen around the plaza. With the [Te Pae] The convention center will open next year, there will be much more activity there. “
The sold site is adjacent to the former main post office, a heritage building that is subject to a lease option by two entrepreneurs who have plans to open it as a hospitality and visitor complex called The Grand.
