Further blow to the West Coast – Jacksons Tavern

25 May 2017

Further blow to the West Coast – Jacksons Tavern

In complete contrast to the property boom across much of the country, the historic and iconic Jacksons Tavern on SH73 on the South Island’s West Coast is going up for auction on 15 June with a declared reserve of only $200,000 – half it’s rateable value, and only a fraction of what the owners have spent on it since 2010.

The owners purchased the property for just under $500,000 in 2010 and have recently spent hundreds of thousands of dollars improving it. However trade declined following the 2011 Canterbury earthquake, and their tenant defaulted on rent payments in 2013.

The Christchurch-based owners reopened in November 2014 under their own management, but inexperienced in hospitality and finding remote management difficult, closed again in February 2016. It became clear to the owners that to be viable the tavern required an owner-operator based on site. Unable to find anyone else to buy or lease the property, the owners have now decided to cut their losses.

The renovated building is around 500 square meters in size, includes a 4 bedroom living quarters, and sits on 1 hectare of land. The sale will also include the extensive fitout and fixed chattels. The property sits at the gateway to the West Coast on SH73, the main highway connecting the West Coast with Christchurch. The tavern’s history dates from the late 1800’s when it was used as a stop for travellers to and from the West Coast goldfields.

In 2015 the owners approached Development West Coast (DWC) with a proposal to operate a gateway visitor centre at the location, believing its location 20 minutes west of Arthurs Pass as you entered the West Coast from Canterbury an ideal location to promote West Coast tourism. DWC was set up as a Charitable Trust in 2001 to manage invest and distribute income from a fund of $92 million received from the government following the cessation of native logging. However the proposal received little interest.

The owners expect its days as tavern may have ended, and that the buyer on auction day may use the tavern as a house, bach or alternative business.

ENDS

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