One Cashel Square, a proposed 28,000m2 premium office, retail and hospitality precinct on the South West end of Cashel Square, adjacent to the Bridge of Remembrance and the proposed Justice Precinct has been released to the market.
LIZ MCDONALD The Press
Christchurch – A $200-million proposed development for the south-west end of Cashel Mall is an early collaborative landowner project under the new central city plan format.
One Cashel Square is a collaboration led by Christchurch-based construction management firm Apollo Projects and local investment bank Ocean Partners and includes existing landowners such as Miles Middleton, who owned the former DTZ Building.
One Cashel Square is a 28,000 m2 development incorporating retail, hospitality and premium office accommodation with a strong emphasis on interconnectivity and car parking.
As it is situated adjacent to the proposed justice precinct, One Cashel Square will be marketed as a logical location for legal, financial and banking companies and the complex could house up to 1,500 employees.
The Outline Development Plan for this location and other adjoining blocks of land in the commercial retail precinct was submitted to the Christchurch Central Development Unit (CCDU) on Tuesday in an effort to ensure that the objectives of the landowners are sympathetic to neighbouring areas.
Apollo Projects has managed the Outline Development Plan process for One Cashel Square. Apollo Projects Director Paul Lloyd welcomes the new framework where proposed developments will be across larger land areas.
“A development of this scale makes it possible to offer interconnected buildings providing efficient floor layouts, economies in the build process, car parking at the door, and common café courtyards to increase the quality of employees’ experience,” Lloyd says.
The CCDU and the Christchurch City Council chartered new territory when they called for developments in the commercial retail precinct to be part of a wider 7,500m2 Outline Development Plan.
“Our experience has been very positive when dealing with CCDU and the council, who have provided significant assistance and guidance in the development of our plan,” says Lloyd.
Middleton, who lost four CBD properties in the earthquakes, including the DTZ building on the One Cashel Square site, is delighted to have the opportunity to own a new building in the proposed development.
“One Cashel Square will enable our company to rebuild in the CBD where we have been long-term landowners and to be part of a world-class development which we believe will rapidly become the heart of the commercial district,” Middleton says.
The area of land proposed for One Cashel Square incorporates 13 existing owners and will require a radical change to land title boundaries, a move that is seen as essential to making progress with the rebuild.
Ocean Partners has been leading the land acquisition process and will manage the capital raising for the development.
One Cashel Square will provide an option for those landowners wishing to sell land, those wishing to remain involved in a passive investment capacity and those wishing to own buildings in their own right.
“There are a number of local and international investors interested in supporting opportunities like this. Having existing landowners committed to the project with their own capital has been an extra big tick,” says Tim Howe, a Partner with Ocean Partners.
“The Government commitment for 2,500 civil servants to return to the central city is further good news and will help to increase confidence within the investment community,” he says.
Experienced commercial property broker Merv Davies, of McIntosh Realty, is confident that the professional community will embrace One Cashel Square due to the high standard of accommodation on offer and the associated efficiencies of this integrated development.
“While many legal, banking and finance firms are enjoying below market rents in the suburbs, they are the first to acknowledge the benefits of being in an area adjacent to the people they do business with on a daily basis,” says Davies.
One Cashel Square
One Cashel Square is a collaboration between property owners including Miles Middleton, Christchurch-based construction management firm Apollo Projects and boutique investment bank Ocean Partners.
Ocean Partners is a boutique investment bank providing corporate finance advisory services to a range of local and international companies seeking to complete mergers, acquisitions, divestments and capital raisings in the New Zealand marketplace. In addition, the company operates a private family investment office which originates and manages investments on behalf of a small number of local and international private office clients.
Ocean Partners is investment manager for Moorhouse Central, a $21.5-million property on Moorhouse Avenue incorporating Countdown, Burger King, a pharmacy and a series of food outlets which is owned by 44 investors.
The directors of Ocean Partners include Tim Howe and Sarah Ott. Tim Howe is a former Corporate Finance Partner of the Ernst & Young New Zealand practice with a depth of experience in the local and international investment banking markets. Sarah Ott was formally an Executive Director with Ernst & Young Corporate Finance group and has extensive transaction origination and execution experience.
Further information about Ocean Partners and its approach to a variety of business issues can be found at www.oceanpartners.co.nz.