Wednesday 4th of May 2005

Quick turnover of vacant leases and an apparent lack of space for new businesses to build into appear to be behind the trend.

First National agent Geoff Dentice said Marlborough's fast growing economy made it an attractive destination for chain stores looking to make the move into smaller markets.

"I'm forever getting inquiries from national tenants who want to come here but there's nowhere to put them.

"They tend to look at us before other smaller areas which is a great thing. But (the property situation here) is a bit of a hindrance."

Where large retail properties have become available in recent years, national stores like The Number 1 Shoe Warehouse and Harvey Norman have been quick to snap them up.

Harcourts principal John Davis said there were a few vacant shops around Blenheim at the moment, but thought they would fill up reasonably quickly as the economy remained strong.

The spruced-up town centre which encouraged more foot traffic had made it easier to attract businesses compared with four years ago when sites remained vacant for months, he said.

His company is auctioning three "prime corner" sites tonight including The Criterion Hotel, a situation he described as an unusual "bonanza" for investors.

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