Once a bustling part of downtown Dunedin, many of the buildings in lower Rattray St now appear tired and neglected. But the area still has its believers, Shawn McAvinue reports.
Matthew Morgan has a knack for spotting the next hot location, his wife Dr Kim Morgan says.
He once bought a home next door to a crack house in a ''rough and tumble'' neighbourhood in Denver, Colorado.
''Sixteen years later it was the hottest neighbourhood in the entire city,'' Dr Morgan says.
The American ex-pats are now opening a business in lower Rattray St, Dunedin.
''We are hoping this is the next hot area.''
The area is a mix of decaying buildings with glimmers of renovation.
Council heritage policy planner Dr Glen Hazelton says the state of some buildings is ''frustrating'' for the council and building owners who have renovated buildings in an attempt to improve the area.
''I think there are owners who try not to do that and hold things back,'' Mr Hazelton says.
''That is a real shame that people don't seem to care.''
The council can only apply pressure to an owner if their building is deemed dangerous, Mr Hazelton says.
Dangerous buildings usually get demolished for a car park. But a car park does not generate foot traffic for surrounding businesses.
''It impacts on the vibrancy and vitality of the area.''
The council has tried to engage with building owners in lower Rattray St but they have shown no interest in a collaboration, he says.
''It's fairly sad but we have tried.''
So, enter the Morgans.
Soaring sales of tacos and burritos from the Tex Otago food truck in the Exchange signalled to Kim and Matthew an appetite to open a new takeaway shop.
Johnnie's Southern Kitchen will open at 167 Rattray St later this year. Mr Morgan says lower Rattray St appeals because at both ends of the street are beautiful renovation projects - the historic Bank of New Zealand and Speight's Brewery and Ale House.
He expects the buildings between the projects to be renovated next.
''This street is just ready for it ... I think this is the next big thing.''
The ''renovation era'' started in the street when the Dragon Cafe was demolished in December last year and murals began getting painted in the Scenic Hotel Southern Cross car park this year.
''I'm going to ride the wave,'' Mr Morgan says.
Now is the time to open, he says, because if they wait, rents will rise and they will be priced out.
Dr Morgan says the building was once used to manufacture fizzy drink in the mid-1980s, so a resource consent is not required to manufacture and serve food. Mr Morgan says a three-year lease agreement for the ''diamond in the rough'' has been signed with the landlords - the Chin family - and includes a right to renew for another six years.
Crown Hotel proprietor Sam Chin says lower Rattray St has been dying.
His family's links to the street began when his grandfather, Chin Fooi, opened a Chinese laundry at 162 Rattray St in the 1920s.
His father, Eddie Chin, opened the restaurant, the Hong Kong Cafe, in the late 1950s and then Sunset Strip, where The Rolling Stones and The Beatles dined in the mid '60s. The family opened Tai Pei cabaret in the late 70s.
As a teenager, he recalled having to ring a doorbell three times to enter the Crown Hotel on a Sunday - a day when it was supposed to be closed.
''The place was chocka.''
He remembers arguing with his father on behalf of his siblings, unhappy the family owned nine buildings in the street and the children were always put to work.
He and his four brothers, Hing, Henry, Jones, Sonny and his sister, Sue, would be peeling potatoes in the cellar, while their friends played outside.
''I said, `You treat us like slaves, Dad. You don't pay us and we can't run away because we've got no money'''.
His father responded: ''I'm working for you. You're not working for me, as these buildings are yours, not mine.''
The family now owns five buildings in the street, Mr Chin says.
''We went belly up in 1995.''
The family sold 180 Rattray St, the former Carpet Court building, and 150 Rattray St, the building leased to Nab a Cab. The family also sold two buildings, which were demolished for a hotel car park.
The family still owns the Crown at 179 Rattray St, and another four buildings in the street including Lucky 7 Sauna at 166 Rattray St and Tai Ping Restaurant at 158 Rattray St - which was extensively damaged by fire in July 2013.
Mr Chin says he has a dream to reopen the Tai Ping.
''Where can you get a steak, egg and chips in Dunedin after 9pm? Nowhere.''
He estimates the cost to fix and fit out the building would be between $150,000 and $250,000, but the dream is on standby until the family can agree on its future.
The family is seeking a tenant for the sauna, he says.
''I'd like to see this street a bit more lively.''
He would like the next generation to continue the business but doubts they will, he says.
''It's too much work for the kids ... I'm busy 12 hours a day, seven days a week, I love working. It's not a good thing - bloody Asians - that's the trouble with them, they've got no life,'' he laughs.
Drake Leather Ltd owner Bill Drake has leased his shop from the Chin family at 170 Rattray St for the past eight years.
As the shops in the street have deteriorated, the foot traffic has fallen and sales have dropped, he says.
''There has been a big decline.''
He enjoys the new murals in the area but says the council needs to do more.
''It needs more than a few pictures on walls. It needs people. This whole town needs people - enthusiastic people.''
Mr Drake says health problems and the difficulty of relocating heavy machinery have prevented him from moving his business.
He recognises the Morgans' excitement with their new business and remembers feeling the same way.
Darling Realty owner Lincoln Darling says the state of lower Rattray St is ''rosier'' than it has been.
''It's definitely improving.''
He leases the building to Nab a Cab and rents out the six-bedroom flat above it.
He also owns the land, where the Barron's building once stood, which housed the Dragon Cafe.
The building has been demolished, and this year, he put the land on the market.
Developers have shown interest but as it is a demolition site, any developer has to wait a year after the demolition before rebuilding, Mr Darling says.
If the interested parties fall through, he will build on the site. To be viable, the build needs a commercial property downstairs and residential upstairs.
He was the former owner of 180 Rattray St but after two years of failing to find a tenant, he sold it to Lion, he says.
Lion spokeswoman Sara Tucker says the brewing company bought the property in October 2012, as part of the $40million Speight's redevelopment project.
The building provides storage space and easier access to the brewery.
Lion has invested ''significant money'' in the Rattray St area recently including brewery redevelopment, future-proofing of the Speight's Ale House building and weatherproofing 180 Rattray St, Ms Tucker says.
Lion has no future plans for the building, she says.
''As other buildings in the area will show, there are not many buyers in the market for buildings like these in the current environment.''
Lower Rattray St looks ''very tired and run down'' but Lion is committed to keeping 180 Rattray St ''tidy and presentable''.
