Fixed price of $683m for stadium

A $683 million fixed price has been negotiated for the proposed Christchurch Multi-Use Arena, Te Kaha, the Christchurch City Council has announced.

It was revealed last month that the budget for the 30,000 seat covered stadium had blown out by $150 million from $533 million to $683 million.

Because of volatility in the commodities market, lead contractor for the project, BESIX Watpac, could not offer a fully fixed price at the time.

However, Te Kaha project delivery chair Barry Bragg said after “working through the risks” with the Australian construction and civil engineering company, they submitted a revised submission that provided a fixed price tag.

The $683 million price tag remains unchanged.

Bragg said securing this contract meant there was a “very, very low” chance of ratepayers having to stump up more money in the future, if councillors decide to spend an additional $150 million now.

Under the finalised contract, BESIX Watpac would have responsibility for all project risks.

Delivery date for the Te Kaha Multi-Use Arena is April 2026. Image: supplied
Delivery date for the Te Kaha Multi-Use Arena is April 2026. Image: supplied

Christchurch city councillors will decide on Thursday whether to spend another $150 million and get on with the project, pause to re-evaluate it, or scrap it altogether.

They will consider the results of public consultation, which showed 77% of the nearly 30,000 people who submitted want the council to go ahead.

Bragg said if the council decided to proceed with the project, and they approved the board's recommendations, then a letter of acceptance would be executed by council as principal to the contract on Friday July 15, the last day before the BESIX Watpac proposal expires.

Ground improvement works continue on the central city site. Delivery date for the Te Kaha Multi-Use Arena is April 2026.

- By Geoff Sloan
Public Interest Journalism funded through NZ On Air