The economic downturn has had a brighter side for the University of Otago in helping contain or cut costs for some of its building and redevelopment projects.
At yesterday's university capital development committee, the university was praised for its efforts in reducing initially budgeted costs on several projects, in at least one case by more than 20%.
Construction work was physically complete on the university College of Education project, with the final cost expected to be $3.1 million.
This was $1,161,000 under budget, a report from the university Property Services division noted.
The redevelopment work involving various buildings at the college complex followed the recent merger between the former Dunedin College of Education and the university.
The report noted that a quantity surveyor was continuing to work with the contractor and consultants on the final account for extension and upgrade work at the university's Wellington campus.
A final cost of about $18.6 million was forecast for the project, which would be more than $1.5 million under budget.
Further work, on the Owheo Building at the Dunedin campus, was due to be completed for the second semester this year, with the project cost forecast to be about $1 million under budget.
Barry MacKay, the director of Property Services, said the university had in some instances benefited from going to the market at the right time, with a keenly competitive spirit evident among contractors.
A "little bit of a recession" had had its positive side, with a considerable range of prices offered by potential contractors.
Quantity surveyors were also proving "incredibly valuable", including in helping the university manage its building costs.
The university had enjoyed significant benefits, but the same level of savings might not continue in future, he said.