Robin Schulz

Suggestions from Robin Schulz
Developer

Present Position:

• Many suburban and peripheral central city properties have resulted in demolition and clearance of improvements as a result of the Christchurch earthquake.
• Demolition has resulted in many businesses being closed and unable to relocate due to availability and affordability issues.
• It is important for the city’s integrity to have these sites utilised effectively.
• Necessary for the “small businesses” to be relocated under an affordable rental regime.
• Traditionally redevelopment in terms of the District Plan necessitates significant areas required to be set aside for off street car parking and significant capital contribution payments for infrastructure, etc.
• Assuming Earthquake and War Damage Comission, and insurance company funds available based on a replacement insurance basis, it is necessary to ensure these funds are utilised to redevelop site specific properties.

 Present Owner’s Position:

• Assuming replacement insurance is held, actual replacement on the affected or other site usually results.
• If indemnity policy held, pay out only may occur, resulting in no redevelopment.
• Owner is left with vacant land which more than likely will be resold.
• New owner has to fund redevelopment of site at additional cost.
• Redevelopment of site is at a significantly reduced plot ratio (footprint) under utilising the site compared with previous.

 Proposal:

• Council amend the current planning requirements in terms of redevelopment of commercial sites affected by earthquake damage resulting in clearance only.
• Amendments to include concession not to provide on site car parks, make capital contributions zero rated, require an architectural building standard to be met, conditional on present owner utilising insurance funds to replace building.
• Bonuses could be given for plot ratio, etc, if residential component is incorporated (but require off street car parking),  a rate rebate considered subject to criteria, and a building art bonus be incorporated if certain architectural features are replicated to mitigate against concrete box developments.

 General:

• It is essential that the damaged sites are replaced to preserve the integrity of the community.
• Re-establishment of old existing business, e.g. Thai restaurant, shoe repairs, etc, etc, have an opportunity of re-establishing their business.
• By utilising the current external insurance monies there is no significant additional financial cost to the present owner and could maintain rents at a present level.  The owner would benefit from a better building, higher capital value, greater equity from this scheme.
• Christchurch City Council receive considerable benefit (e.g. city enhancement, maintain rating base, etc) from proposal.
• An opportunity to encourage inner city living with residential components included.
• Opportunity to enhance an architectural standard with bonuses to possibly replace previous design or new theme, e.g. Napier earthquake adopted the Art Deco theme.
• Capital contributions are not required as the infrastructure is already in place and is being repaired by insurance monies.
• Provision of on site car parking, not necessary as present improvements prior to earthquake did not provide car parking and effects are relatively minimal.