Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Savvy Plan Behind New Dunedin Reading Cinema

RDI - Savvy Plan Behind New Reading Cinema Replacing Hoyt's Dunedin Movie Theater


A completely refurbished six-screen Reading Cinema in Dunedin presents a savvy story in the New Zealand movie theater competitive landscape not fully appreciated by the media.

In 2007, Reading International (NASDAQ: RDI), which owns the Reading Cinema theater chain, among several others, stealthily purchased the real estate underlying Hoyts’ Octagon theater in Dunedin, New Zealand and secretly became Hoyt’s landlord. Reading International's real estate segment collected rents from Hoyts for seven years until the 20-year lease expired.

As the lease's expiration approached, Reading was in the favorable position to demand substantially higher rents from its competitor or, alternatively, take over possession of the theater and open a new Reading Cinema. Hoyt’s opted to close the theater and perform the required work to return the building to its original state - including taking out seats and other equipment.

All this paved the way for Reading’s new AUS$5.5MM six-screen cineplex that just reopened, July 25.

Reading’s six-cinema complex seats 750 people, about 30% fewer seats than when Hoyts occupied the building. In this more comfortable roomier setting, two of the six auditoriums have been upgraded to premium ''dine-in'' cinemas with plush “wide-body” seats with two drink holders and a swivel table. A new kitchen, offering freshly cooked foods, was built behind the ticket counter.

Otago Daily Times
July 25, 2014
Emphasis on space, comfort as cinema opens
http://www.odt.co.nz/news/dunedin/310511/emphasis-space-comfort-cinema-opens

Otago Daily Times
July 20, 2013
Hoyts to close Octagon cinema
http://www.odt.co.nz/news/dunedin/265530/hoyts-close-octagon-cinema

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

ETS Review: Modelling Documents Released

Three technical documents are being released to help New Zealanders engage with the Emissions Trading Scheme (ETS) review, Climate Change Minister Paula Bennett says. More>>

ALSO:

Northland: Govt Plan Targets Transport, Web, Maori Assets

The government has released a 10-year plan to attract investors and lift economic growth in Northland, a region that perennially underperforms the rest of the country even while being endowed with natural beauty, productive land, minerals, a potential workforce, scope for manufacturing, forestry and aquaculture, and proximity to Auckland. More>>

ALSO:

Statistics: Unemployment Rate Falls To 5.3 Percent

The unemployment rate fell to 5.3 percent in the December 2015 quarter (from 6.0 percent), Statistics New Zealand said today. This is the lowest unemployment rate since March 2009. There were 16,000 fewer people unemployed than in the September ... More>>

ALSO:

Employment: Labour Urges Talley’s To End AFFCO Lockout

Labour has urged Talley’s to resolve the ongoing industrial dispute with AFFCO workers which is having a severe effect on the employees, their families and their communities, Labour’s Workplace Relations spokesperson Iain Lees-Galloway says. More>>

ALSO:

Three Kings: Govt To Oppose Appeal Blocking $1.2B Auckland Housing Plan

Environment Minister Nick Smith and Housing New Zealand have joined legal proceedings in support of Auckland Council and Fletcher Building opposing a bid by community groups to only allow low-rise housing in a $1.2 billion housing redevelopment on the disused site of the Three Kings quarry. More>>

ALSO:

Transport: Jetstar Expands Regional Network With Three New Routes

More New Zealanders than ever before will have access to Jetstar’s affordable flights when new services take off today from Auckland to New Plymouth and Palmerston North, and Nelson to Wellington. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news