Lincoln University and CBRE, a commercial real estate service provider,
have conducted research to investigate the impacts of the Canterbury
earthquake on the commercial office market in Christchurch. The 22
February 2011 Canterbury earthquake had a devastating impact on
Christchurch property with significant damage caused to land and
buildings. As at January 2012, around 740 buildings have either been
demolished or identified to be demolished in central Christchurch. On
top of this, around 140 buildings have either been partially demolished
or identified to be partially demolished. The broad aims of our research are to (i) examine the nature and extent
of the CBD office relocation, (ii) identify the nature of the occupiers, (iii)
determine occupier’s perceptions of the future: their location and space
needs post the February earthquake, and the likelihood of relocating
back to the CBD after the rebuild, and (iv) find out what occupiers see
as the future of the CBD, and how they want this to look.
Prior to the devastating 2010 and 2011 earthquakes, parts of the CBD of Christchurch, New Zealand were undergoing revitalisation incorporating aspects of adaptive reuse and gentrification. Such areas were often characterised by a variety of bars, restaurants, and retail outlets of an “alternative” or “bohemian” style. These early 20th century buildings also exhibited relatively low rents and a somewhat chaotic and loosely planned property development approach by small scale developers. Almost all of these buildings were demolished following the earthquakes and a cordon placed around the CBD for several years. A paper presented at the ERES conference in 2013 presented preliminary results, from observation of post-earthquake public meetings and interviews with displaced CBD retailers. This paper highlighted a strongly held fear that the rebuild of the central city, then about to begin, would result in a very different style and cost structure from that which previously existed. As a result, permanent exclusion from the CBD of the types of businesses that previously characterised the successfully revitalised areas would occur. Five years further on, new CBD retail and office buildings have been constructed, but large areas of land between them remain vacant and the new buildings completed are often having difficulty attracting tenants. This paper reports on the further development of this long-term Christchurch case study and examines if the earlier predictions of the displaced retailers are coming true, in that a new CBD that largely mimics a suburban mall in style and tenancy mix, inherently loses some of its competitive advantage?
