Questions over safeguards in place to protect Timaru’s CBD

Saturday, 13 September 2025

Questions over the safeguards in place to protect Timaru’s CBD from small format retail being developed at a shopping centre on the outskirts of the town, saw a Timaru councillor warned for the second time during Tuesday’s council meeting.

Councillor Stu Piddington asked Timaru District Holdings (TDHL) chair Mark Rogers and general manager Frazer Munro about consent variations requested by the developer of The Showgrounds after the duo delivered the latest quarterly report for the company.

TDHL, which is the Timaru District Council’s financial arm, entered into a Sale and Purchase Agreement to sell the town’s former showgrounds land to a developer in October 2019 with a revised agreement issued a year later.

After news of the agreement, members of the community rallied and appealed to the council to pause the sale, with a public meeting which filled the Caroline Bay Hall held to air concerns.

At the time, mayor Nigel Bowen said any decision to pull out of the deal would have huge legal and financial ramifications.

On Tuesday, Piddington said a number of retailers had approached him with concerns about several smaller lots “of about 80 to 118m²’’ planned for the development.

“These guys are passionate about the main street,’’ Piddington said.

“They’re trying to save it and their concern is if there are a dozen small shops open there, travel agents, retailers, jewellers, other people will go.’’

The website promoting tenancies at the The Showgrounds says Stage 2, which is due to open in March 2027, had been granted resource consent with one major anchor tenant, 10 large bulk retail and 12 small tenancies.

The third stage was due to open in August 2027, and was “still in the planning” but would have a hotel, more retail and a kids playground.

Piddington said he understood “there was something to protect the CBD” in place and asked what the case was with that.

Munro said the matter was “primarily a consenting issue’’.

Piddington asked if there were any protections in the sale and purchase agreement.

“Because that was always promoted throughout,’’ he said.

Munro said there were protections, but it was a consenting matter, first and foremost.

Piddington probed further asking what the protections were, saying there did not appear to be any.

“I’m not trying to be awkward, I’m just trying to get an answer to a question,’’ he said.

Munro said there was not a simple answer, describing the situation as “quite complicated’’ because of the range and nature of activities at the complex.

“Once the consenting process has been finalised then we’ll be in a better position to be able to answer that,’’ Munro said.

Rogers said there were covenants in place in regards to the development.

“As Frazer points out, there are a range of different factors in the contract and as they relate to any covenants,’’ Rogers said.

“It’s the consenting issue that needs to work through first before we need to go and look at those covenants at all, if needed.’’

Piddington asked if councillors would be able to have any input, or if the 12 smaller shops were granted it would be “fait accompli’’.

“Look, we’ve got some good people that have fought for the main street that say ‘well, if 12 shops open out there, I’ll throw my hands up and go and join them because while I’m passionate about the CBD, I also run a business and it might be a better option’.’’

Munro said it would be depend on the nature of the retail outlets so “we’ll wait to see what happens with the consent’’.

Mayor Nigel Bowen said given it was a “live’’ matter there was probably “some risk in getting into too much detail’’ at the meeting.

“Because there’s a chance that while your best interests are protecting the CBD, that could in fact be used against the CBD from the developer in the future, so I think I’d just be cautious.’’

Piddington said he was just relaying questions he had been asked by members of the public.

Bowen said he understood, as the owner of a business in the CBD and having his own concerns.

“But I think we’ve just got to be careful talking about things in a public environment when, you know, some of these elements are ahead of planning.

“I personally would like to have faith that the perimeters within a district plan will hold up,’’ Bowen said.

The Timaru Herald has asked the council for a copy of the latest consent application lodged by the developer.

Piddington and Bowen are both running for mayor in the upcoming local body elections, with Piddington also standing for council in the Timaru ward.