Restaurants close in Ashburton amid financial downturn
By local democracy reporter Jonathan Leask:
Ashburton's mayor worries more businesses face closure as tough economic times hit the district.
The Speight’s Ale House closed last week, while restaurant Armdadillo's, which is across the road, closed earlier this year.
New eateries opening in the area and rising costs of running the business were cited as reasons for the ale house closure.
Owner Tony Potts believed there were too many eateries in the town competing against each other, and he would not be surprised to see more closures.
Ashburton mayor Neil Brown agreed.
“A business shutting down is always a concern,” Brown said.
“People in Ashburton have a great variety of choices and possibly there are too many eateries in Ashburton, which is detrimental to the people running those businesses – the same number of people spread across a greater number of businesses can’t be sustained forever. People will go where they like.
“I’m not sure what else council can do apart from supporting them through our economic development agency, and attracting more tourists.”
The cost of living crisis was biting, and with two quarters of negative growth leading to a recession, it was tough economic times, Brown said.
The library and civic centre, Te Whare Whakatere, opened earlier this year in the CBD and contains an espresso bar.
The council was cautious of making sure it didn’t compete with existing businesses and had local café One Ninety Nine relocate from within the CBD, Brown said.
The council spent $15 million on the re-vitalisation of the town centre just two years ago.
In the meantime, the number of vacant shops scattered around the CBD – the area bordered by Havelock, Cass, Moore, and East streets, is increasing.
The council’s plan change 4 in 2021 aimed to strengthen the role and function of the CBD as the primary commercial, retail, recreation, cultural and entertainment centre for the district.
It hasn’t stopped big box retailers setting up on the fringe of the CBD.
The River Crossing precinct opened at the end of 2022, with Kmart and several eateries, while on the other side of SH1 Briscoes shifted out of the CBD to set up next to a new Rebel Sport, with a Chemist Warehouse also opening next door in 2023.
Business Canterbury’s Mid Canterbury business adviser, Jason MacRae, said the arrival of big box stores and national brand eateries was a sign that Ashburton was growing and was seen by the rest of the country as a great place to do business.
“Unfortunately, the timing of this increased competition has aligned with local businesses facing the cumulative impacts of rising costs, dwindling consumer demand as household budgets also feel the bite of inflation, and the lingering effects of labour shortages.”
A report by Infometrics in December found that the value of electronic card spending in Ashburton's CBD had been relatively consistent since October 2021.
Figures released to the council last week showed tourism spend was on the increase.
Brown was sceptical about the reliability of the numbers, but chief executive Hamish Riach said the focus should be on the trend, which was an increase in tourism.
Poll: Should we be giving the green light to new mining projects? 💰🌲
The Environmental Protection Authority announced this week that a proposed mine in Central Otago (near Cromwell) is about to enter its fast-track assessment process. A final decision could come within six months, and if it’s approved, construction might start as early as mid-2026.
We want to know: Should mining projects like this move ahead?
Keen to dig deeper? Mike White has the scoop.
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53.1% Yes
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46.9% No
‘Tis the season to not get scammed ...
As Christmas gift shopping moves increasingly online, scammers are ramping up their activity across the country.
Dunedin’s Investigation Support Unit is seeing more and more people fall victim to scams and other fraudulent activity, particularly on Facebook Marketplace.
There are a few ways to avoid the scams and keep yourself safe doing online trades this holiday season, says Southern District Service Delivery Manager Senior Sergeant Dalton.
🔒 “A good first step when looking to purchase something on Marketplace is to check when the seller’s Facebook profile was created. If it’s very recent, there is a higher risk that they have just created this account for a one-off fake item.”
🔒 Another important step is to make sure the seller’s profile name and bank account name match up. “We’re seeing a lot of scammers claiming their bank account name is different because it belongs to their partner or family member - that’s a huge red flag."
🔒 “When you’re selling, never trust a screenshot anyone sends you showing that payment has been made. Check your own bank account to make sure a payment has gone through."
🔒 “Quite frankly, it’s best for all parties to agree to pay, or be paid, for items in cash and in-person. Ideally in a public place with CCTV coverage."
🔒 "If you’re buying a car, check Carjam.co.nz to see if it’s stolen or if there’s money owed on it.”
A reminder: Suspicious activity can be reported on 105
Poll: Pedestrian access is being extended to the Ōtakaro Avon River - good idea?
Pedestrian access from one of Christchurch’s favourite streets is being extended all the way to the Ōtakaro Avon River. This new 12m-wide pathway will give you a direct, easy route from the street to the river promenade ... perfect for a stroll, a coffee run, or just soaking up the riverside vibes.
We want to know: In your view, what makes a city people-friendly?
What else should our urban areas be doing to support better community connections?
Curious about the full plans? You can check them out here.
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93.3% Yes
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6.7% No
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