PHOTO: Reading Cinema complex Wellington. FILE
The Reading Cinema complex on Wellington‘s Courtenay Place, a once-vibrant entertainment hub, has remained vacant since its closure in 2019 due to earthquake risks. This prominent site has been the subject of various redevelopment discussions and proposals aimed at revitalizing the area.
Council’s Attempted Acquisition
In an effort to stimulate development and address safety concerns, the Wellington City Council proposed a deal in early 2024 to purchase the land beneath the cinema complex from its owner, Reading International, for $32 million. The plan involved the council acquiring the land and leasing it back to Reading International, thereby providing the company with capital to redevelop the quake-prone building. The agreement included a clause allowing Reading to repurchase the land at the original price within ten years, meaning the council would not benefit from any capital gains.
Wellington businessman Eyal Aharoni has purchased the Reading Cinema site. Photo / Supplied
This proposal sparked significant debate among council members and the public. Some councillors criticized the arrangement as “corporate welfare,” expressing concerns over the use of public funds to support a private entity. Others viewed it as an innovative approach to rejuvenate Courtenay Place, an area that had experienced decline in recent years. Mayor Tory Whanau was a prominent advocate for the deal, emphasizing its potential to revitalize the district.
Despite extensive negotiations, the council announced in April 2024 that it had terminated discussions with Reading International, citing an inability to achieve the best possible outcome for Wellington residents.
Listing and Sale of the Property
Following the collapse of the council’s deal, Reading International listed the property for sale in July 2024. The site, encompassing approximately 1.5 hectares of flat, freehold land in Wellington’s central business district, was marketed as “Wellington’s most important development opportunity,” offering substantial potential for developers with vision.
The property’s prime location and the recent adjustment of the height limit to 42.5 meters increased its appeal, suggesting that a development at this full height could provide valuable views over Wellington Harbour.
After several months on the market and negotiations with various interested parties, Wellington-based Primeproperty Group emerged as the successful purchaser. The company’s director, Eyal Aharoni, confirmed the acquisition but declined to disclose specific plans for the site’s redevelopment, citing confidentiality agreements.
The sale included the cinema complex and several adjacent sites, comprising 1.5 hectares of flat CBD land. Photo / JLL
Potential for Redevelopment
The sale of the Reading Cinema complex to a local developer has generated optimism about the site’s future. Given its substantial size and central location, the property offers numerous possibilities for redevelopment, including residential apartments, commercial spaces, or mixed-use facilities. The increased height limit further enhances the site’s potential, allowing for more ambitious architectural designs that could contribute to Wellington’s urban landscape.
While specific redevelopment plans have not been publicly disclosed, the involvement of Primeproperty Group, known for its portfolio of prominent sites in the capital, including the recent purchase of the abandoned Amora Hotel, suggests a commitment to significant urban development projects.
Community and Economic Implications
The revitalization of the derelict cinema complex is anticipated to have positive implications for the Courtenay Place area and Wellington as a whole. A well-executed redevelopment could rejuvenate the local economy, attract businesses, and enhance the vibrancy of the district. Additionally, addressing the site’s earthquake-prone status will improve public safety and contribute to the city’s resilience.
The community’s response to the sale has been cautiously optimistic, with residents and business owners hopeful that the new development will breathe life back into the area. However, some concerns remain regarding the nature of the redevelopment, potential disruptions during construction, and the preservation of the site’s historical significance.
SOURCE: NZHERALD