Legal fight to halt bulk retail

Wally Yovich and his supporters argue the council failed to adequately address the negative economic effects of the plan change on businesses in the CBD. Photo / John Stone

A group of businessmen are legally challenging a decision to rezone land in Whangarei to allow more bulk retail outlets - a move they say will affect business in town.

The move is spearheaded by former WDC councillor Wally Yovich, with support from the Chamber of Commerce and Industry Northland and local businessmen Tony Davies-Colley, Des Quinn, Ralph Calvert and Vince Cocurullo.

Papers have been filed in the Environment Court. The council has received an offer, believed to be of $10.5 million, to sell the Old Boys Rugby Club clubrooms and grounds at Okara, conditional upon designating the site a special zone to enable retail stores to open.

In December last year, council-appointed commissioners Les Simmons and John Childs approved Plan Change 130 allowing "big box" or bulk retail outlets, and said it would provide opportunities for economic growth and employment in Whangarei.

"The plan change will have positive effects by allowing a vacant area of land to be developed and potentially an existing retail area redeveloped, thereby allowing new bulk retailing to establish in one location," they said.

Council property manager Mike Hibbert said a "handful" of appeals had been lodged in the Environment Court against the plan change.

Mr Yovich and his supporters argue the council failed to adequately address the negative economic effects of the plan change on businesses in the CBD.

"The decision is inconsistent with stated council policy to maintain and strengthen the city centre as the primary centre within the district for shopping and employment," the group said.

In his submission to the commissioners last year, Mr Yovich said a hotel or a conference centre might better suit the Okara site, with its elevated topography, rather than retail stores. "The lack of sustained use for recreation of the current site rationale being used to promote the plan change is part of a self-fulfilling prophecy," he said.

A Northern Advocate survey of the CBD precinct in late December, including 10 streets and the Strand Arcade, found 40 empty businesses, with Rathbone, Cameron and James streets the worst affected areas.

A number of retailers had claimed that the main challenges included menacing teenagers, a district council that actively encouraged business to the bulk retail development at Okara, and inadequate parking, including coin-operated parking machines. The Environment Court has not set a hearing date.