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Home / New Zealand / Wellington

What’s next for Chocolate Fish cafe after Sir Peter Jackson Shelly Bay development

Ethan Manera
Ethan Manera
Wellington Reporter·NZ Herald·
9 Oct, 2025 05:00 AM3 mins to read

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Sir Peter Jackson (inset) owns the site of Shelly Bay's Chocolate Fish Cafe.

Sir Peter Jackson (inset) owns the site of Shelly Bay's Chocolate Fish Cafe.

The owners of a popular Wellington cafe forced out of its tenancy to make way for Sir Peter Jackson’s Shelly Bay development say it may not be the end of the road for the eatery.

Penny and John Pennington last week said they were devastated to learn their landlord, Jackson and his partner Dame Fran Walsh, were ending their cafe’s lease of the popular site after 15 years.

“Despite our requests, we haven’t yet been given the opportunity to speak with Peter and Fran directly, and we are asking for that chance,” a now-deleted social media post by the business said.

Yesterday, the cafe owners publicly apologised to Jackson and Walsh, saying the famous film-makers were not responsible for the decision, and they were wrong to say so.

They said it was instead an operational decision of the cafe’s landlord, Wingnut PM, and apologised unreservedly and sincerely to Jackson and Walsh for claiming it was their decision to end the tenancy.

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Jackson and Walsh are the sole shareholders and directors of Wingnut PM.

John Pennington said while he and his wife have not spoken with the famous couple directly about the situation, “we made the big mistake of naming them”, he said today.

Chocolate Fish Cafe owner John Pennington on the earthworks in front of the business at Shelly Bay in 2023. Photo / Mark Mitchell
Chocolate Fish Cafe owner John Pennington on the earthworks in front of the business at Shelly Bay in 2023. Photo / Mark Mitchell

Jackson and Walsh said in a statement through WingNut PM on Saturday that “occupancy discussions” had been ongoing since early 2024 with the owners of the Chocolate Fish Cafe.

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“The Shelly Bay development involves a significant private contribution, intended to reinvigorate the city and provide a public amenity for all Wellingtonians to enjoy,” the statement read.

“To deliver on the vision, a complete refurbishment of the historic Submarine Barracks building that the Chocolate Fish Cafe presently occupies is necessary.”

“These ongoing renovations make it impossible for the cafe to remain open beyond January. Wingnut PM had offered to support the owners so the cafe could remain open into the summer period.”

A spokeswoman for the couple would not answer further questions about their plans for the project or building specifically.

The billionaire couple purchased the prime waterfront real estate in Wellington after a controversial $500 million housing development planned by developer Ian Cassels was scrapped.

An artist's impression of the proposed development at Shelly Bay.
An artist's impression of the proposed development at Shelly Bay.

In 2023, the couple asked the community to bear with them as they worked to return Shelly Bay to its “natural beauty”.

The Herald reported earlier this year that Jackson was planning to create a museum and exhibition space, as well as residential accommodation in a historic building on the site beside Chocolate Fish.

A resource consent application to Wellington City Council, seen by the Herald, detailed Jackson’s plans for the existing officers’ mess building.

Shelly Bay. Photo / Mark Mitchell
Shelly Bay. Photo / Mark Mitchell

As for the future of the cafe, Pennington hinted at a potential relocation.

“Penny and I love what we do and and we are getting apparently endless amounts of offers and suggestions. We would hope that we can go right through [to the] 31st of January and then make some decisions, if we haven’t already, by then.”

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Before operating in Shelly Bay, the business was located at nearby Scorching Bay, but Pennington said the couple would likely look further afield for a new venue.

“I would have to think it would be elsewhere,” he said.

“Shelly Bay’s a special spot,” Penny Pennington said.

Ethan Manera is a Wellington-based journalist covering Wellington issues, local politics and business in the capital. He can be emailed at ethan.manera@nzme.co.nz.

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