Hospitality chain takes over Lyttelton Club

Otago Daily Times

20-05-2025

The financially troubled Lyttelton Club will be taken over by the Armadillos restaurant chain from August.
The 153-year-old club will lease its Dublin St premises to the South Island hospitality chain, which has committed to retaining all current staff. Details on membership options for existing club members are expected to be announced in the coming months.
Under the new arrangement, the club will operate as The Lyttelton Tavern and Armadillos Lyttelton as part of the South Island-based chain.
A meeting was held in March to discuss future options for the club after the governance committee said it lacked enough support from members and could not remain open.
'Despite (our) best efforts, there is not enough support for the club to remain open. We understand circumstances can change, but the lack of engagement and involvement from the broader membership base has ultimately led to this decision,' governance group member Steve Gallop said in an email to members in February.
Speaking to The Star this week, Gallop said a 'declining and ageing membership' meant leasing the building to Armadillos was the best financial option.
After The Star revealed in February the club's plans to close, governance group member Dwayne Pool said the original email 'said nothing about the club closing or being in financial difficulty' and claimed the media misrepresented the situation.
However, the email clearly stated the club would be weighing up options, but 'either way, the Lyttelton Club will close'.
It is not the first time the club has experienced financial woes. It came close to shutting in December 2022 due to pandemic-related pressures and insurance issues.
Leasing was a proposed option in the March meeting along with a full sale or turning the building into a community centre.
Under the new arrangement, some areas of the building, such as its private function venue, may stay under the operation of the club but this has not yet been determined, Gallop said.
The exact structure and future of the club as an entity is also up in the air and will be decided on by members before the August rebrand.
'We feel this is an exciting new opportunity for Lyttelton and it means the building will continue to be used by the community,' Gallop said.
The venue will be renovated and will feature a new menu.
A new patrons club will also be launched, offering benefits to long-time members and newcomers alike, with more details to come.
The venue will remain open during the transition.
'We're thrilled to be joining the Lyttelton community,' said Tony Crosbie, Armadillos Hospitality Group managing director.
'This venue has a rich history and loyal following, and we're committed to maintaining that strong community feel while giving the space some modern touches.'