Consultation open
As part of the 24/25 Annual Plan process, The Mayor and Councillors asked for a review of Lichfield Carpark. They raised important questions about the building’s performance, the effective use of public funds, and whether continuing to own the carpark aligns with the Council’s long-term strategies.
On 4 June 2025, Council decided to seek public feedback before making any decisions on the future of the carpark. You can watch the meeting here.
Council is considering two options for the future of Lichfield Carpark. With either option, there will be a need to improve the financial performance.
Council would retain ownership of the carpark but change the operating model to improve financial performance.
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Council would sell the asset and reallocate the funds to invest in other infrastructure or community assets, or pay down debt.
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If a decision was made to sell, the building can only be used for car parking and fees are likely to remain competitive to attract continuing usage.
With either option, there will be a need to improve the financial performance which might require raising fees, changing the mix between short and long term parking, or reducing services (e.g. security, cleaning).
Before making a decision on the future of Lichfield Carpark, the Council would like to know what you think.
The original Lichfield Street parking building was a familiar landmark for many Christchurch residents, first developed in the 1960s. For decades, it served the city's core retail precinct. However, the building sustained significant damage during the 2011 Canterbury earthquake, which ultimately led to its demolition.
It was a priority to rebuild the carpark as it was recognised that accessible parking would play a crucial role in the recovery of the central city. This was a key action from the Christchurch Central Parking Plan of 2015, a joint initiative between the Christchurch City Council and the Canterbury Earthquake Recovery Authority (CERA).
The new, modern facility was designed and constructed in 2016/2017 on the same site. It reopened to the public in November 2017. The new building is an eight-storey structure with 805 parking spaces. It also includes retail spaces on the ground floor to activate the surrounding streets.
The Lichfield Street Carpark is currently profitable, generating an operating surplus of approximately $1.5 million per year. However, when measured against the asset's book value of $50 million, this represents a 3% return on investment. This return is considered low, from a commercial perspective.
The Council's Investment Policy of 2024 states that for non-strategic assets like the carpark, the goal should be to achieve a commercial return. While specific returns vary, commercial properties in Christchurch are generally expected to generate a higher return on investment. For instance, recent data indicates that prime industrial properties in Christchurch have yields around 5.5-6%, and retail properties can also see similar or higher returns depending on their location and tenants. The current 3% return falls short of this expectation and is inconsistent with the policy's direction.
While the carpark has successfully supported the central city's rebuild, the Council's policy position has always been flexible about ownership, as long as the city's parking needs are met efficiently. The Council does not consider the provision of off-street parking buildings to be a core strategic activity.
Given the underperformance of the asset from a commercial standpoint, and the fact that its original objectives are now also being met by private sector carpark providers, the Council believes there is a strong case for exploring options for the future of the facility.
This process is about ensuring that ratepayer capital is used in the most effective way to benefit the community. Before making any decisions, the Council wants to hear from you. We need to understand the views and preferences of the community to help us determine the best path forward.
