An industry group is warning proposed new height restrictions for buildings in Christchurch's CBD could threaten the viability of future hotel developments, and see some hoteliers to steer clear of the city altogether.
The New Zealand Hotel Council says the seven story height restriction signalled under Christchurch City Council's draft central city plan would significantly diminish return on investment for hoteliers, who would be forced to operate with fewer rooms.
"The plan is calling for a more compact CBD, which we support...but it does not take into account the unique way hotels operate."
The nine storey Crowne Plaza, which was badly damaged in the February earthquake, would be almost halved in size if it were to be rebuilt under proposed height restrictions, council spokesperson Bruce Garrett said.
"The draft plan talks about a height limit for the CBD of just seven storeys, which decreases to five storeys where the Crowne Plaza is located, then four storeys going out to the fringes of the four avenues.
