Steel & Tube premises nearly ready

Storeman-distribution Phil Mattocks stocks shelves in Steel & Tube’s new building. Photo: Gregor...
Storeman-distribution Phil Mattocks stocks shelves in Steel & Tube’s new building. Photo: Gregor RIchardson.
The latest development by Port Otago subsidiary Chalmers Properties is nearing completion, with the premises being leased by Steel & Tube expected to be fully stocked by the end of March.

In a separate move for Chalmers Properties, it put up a freehold industrial property for sale, next to the Edgar Centre in Dunedin, with vacant possession.

The $9.45million conversion of the site for Steel & Tube is for  warehousing and offices.

The 4650sq m building is on an 8000sq m site in Fryatt St.

Steel & Tube’s area manager for Dunedin and Invercargill, Blair Bezett, said the new space more than tripled the area of the steel distribution company’s previous two Dunedin sites.

"We’re expecting to be fully functioning by the end of March," Mr Bezett said.

Not only was the space available "massive", there was also a large yard, car park and for the first time, a trade shop open to businesses and the public, Mr Bezett said.

The new distribution centre  employed 25 people at present, but once sales increased  he planned to expand the workforce.

Steel & Tube project manager Robyn Cameron said the company was consolidating its outlets in several places across the country, including two developments in Christchurch.

While the Dunedin site came in on budget, it was about two months behind schedule, following issues with neighbours over foundation requirements.

She expected the formal opening to be in June.

Old warehouses on the site, formerly occupied by Northern Southland Transport and CRT Seeds, were demolished in March last year.

The freehold site for sale in Portsmouth Dr  was 8428sq m with an existing 3240sq m building which was built in the 1980s as a coolstore facility, Colliers director Dean Collins said.

● The Steel & Tube building is the second design/build/lease development by Chalmers Properties in Dunedin. In December 2014, it had a $4 million Chep development in Sturdee St.

simon.hartley@odt.co.nz

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