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The demolition of the 140m-long, 17m-high building began in September.
KiwiRail construction delivery chief operating officer Robert Gibbes said the demolition of two buildings on the site would make way for the new mechanical workshop and would be completed by mid 2022. The demolition of the remainder of the required buildings would be completed by early 2023.
The demolition had to be done in phases using a specialised method designed for asbestos removal.
The construction had been put out for tender and a timeline would be available once a main contractor was appointed.