Bringing back the downtown shine
2023 is proving to be a year of rejuvenation for Auckland’s embattled city centre. For its businesses renewed optimism is definitely in the air.
Despite Covid’s three-year assault on the fortunes of Auckland’s CBD businesses and several rounds of destructive weather, 2023 is promising to be a year of rejuvenation for the embattled city centre. Renewed optimism is definitely in the air.
Before Covid came along to test us in 2020, many would argue that the gloss had already departed the City of Sails’ CBD. However, now the pandemic’s cloud has lifted, a new, clearer and brighter picture of the city centre’s future is becoming evident.
“Optimistic” is how Viv Beck, Heart of the City’s chief executive, describes the mood amongst businesses.
“Despite the immediate economic pressures that businesses are facing, we are buoyed by positive leasing and ongoing investment, which demonstrates confidence in the future.
“Overall spending has been tracking up since the border reopened. The December 2022 quarter was 85 percent of the same quarter in 2019 and spending in December was 91 percent of December 2019.”
Beck says the biggest misunderstanding in the media has been that the city centre’s future as a central place of work is under threat, and that generally it’s shine has worn off.
“In reality, there is very good demand for quality commercial spaces, and we continue to hear about businesses wanting to bring their teams to the city – for the amenities, transport connections and general buzz.”
Beck is also buoyed by the diverse range of events and activations scheduled for Auckland, and the amount of public and private investment that is continuing to be poured into the CBD – particularly in the waterfront and midtown areas being regenerated by the Auckland Council group, in anticipation of the completion of the City Rail Link (CRL).
“The CRL will create a more connected place to do business and bring more people here,” she adds. “Investment in the city centre will continue to create an increasingly attractive place, and construction will become less prominent and disruptive as the CRL is completed.”
Attracting leading retailers
Big retail brands are putting their money where their mouth is over the revitalised CBD.
Partridge Jewellers is so confident of the main strip’s pulling power on shoppers, particularly since the Lower Queen Street redevelopment, that it recently opened its third store there.
Madeline Saxton-Beer, their marketing and communications manager says it was the continued investment from global luxury brands in lower Queen Street that convinced them. And they wanted to ensure their brand’s place in the street’s future.
With the return of cruise ships to Auckland, she says even though tourism plays a limited part in the business, they’re fortunate that many of the brands carried by Partridge Jewellers are sought after on an international level.
“We have been operating on Queen Street for more than 20 years and have developed a strong clientele from the local market thanks to our existing stores,” explains Saxton-Beer. “We’re excited to count ourselves as a New Zealand, sixth-generation, family-owned business whose name sits comfortably amongst some of world’s biggest in luxury retail. We will continue to deliver an exceptional luxury experience in our own, local way.”
At 131 Queen Street, Australian-based SC Luxury has also joined the growing cluster of luxury brand shops in the redeveloped section of Auckland’s city centre. Owner and ex-Aucklander Ian Cavit has been impressed by the improvements to the harbour/downtown area too.
“Developments around the Viaduct Basin, Britomart, Commercial Bay, Lower Queen Street and on the old CPO site are world-class and Aucklanders should be proud of them,” he says. “They’ve given downtown Auckland a lot of soul which in turn has attracted restaurants, cafes, luxury hotels and retail outlets.
“It’s exciting. I see this area being a focal point of international standards.”
Cavit says the opportunity to tenant the original iconic Milne & Choyce building, which has been given a complete restoration, was too tempting to pass up.
“We are surrounded by other luxury shops and galleries and have great exposure. It’s also good to be different.”
Meanwhile Midtown
With the revitalisation of downtown Auckland, Wynyard Quarter and Karangahape Road almost complete, attention is now focusing on midtown Auckland. With shovels almost in the ground this year, Victoria Street is destined to become a tree-lined avenue or ‘Linear Park’ called Te Hā Noa by the end of 2024, complete with new public spaces and infrastructure.
All this revitalisation has attracted one of this country’s favourite music stores, Real Groovy, to the Midtown quarter.
Opening in late January this iconic brand’s new store reflects its non-conformity, philosophy and passion.
Managing director Chris Hart says they could see that the area would become a thriving shopping precinct when the CRL was completed. “And right now, rents are realistic, which made it an attractive proposition.
“We’ve long believed that there needs to be an easily accessible space for independent, locally owned specialist and boutique stores: the kind that enriches the fabric of a vital metropolis,” he says.
“The proximity of this site to what may be the busiest portal of the busiest station in the country was compelling. When we started looking in September, pedestrian traffic was double that of our previous location and in the last six months it’s doubled again.”
Hart’s message to customers coming into Auckland’s central city is that, while there will continue to be disruption for some time yet, the end result will definitely justify the means.
“The city centre in general, and Midtown in particular, has a bright future.”
Story by editor Glenn Baker.