The NZ Transport Agency’s Palmerston North office was evacuated on June 13 after it was revealed the building is earthquake prone.
Stonewood Group New Zealand’s plans to turn the old FMG building into a four-star hotel has been thwarted to allow NZTA to lease the building following the evacuation.
“We were just preparing for project commencement when we got a call from NZTA’s leasing agent asking if we would be prepared to hold up the project to help out NZTA staff who at that point were homeless,” group director Michael Chow says.
Structural investigations were carried out on the Palmerston North office Ashley Street building, before advising NZTA that the building is below 34% of the New Zealand Building Standard.
The Palmerston North hotel will be put on hold to house NZTA.
Michael Chow runs the group with his brother John Chow, who shared the news to his LinkedIn followers.
Stonewood Group New Zealand has plans to develop 10 hotels throughout the country by 2023.
“It’s not an easy decision as our team has been working on the hotel project for some time,” John Chow commented on his LinkedIn post.
The old building remains closed until further notice.
