Mayor rejects union claim over new council building costs

Glyn Lewers. PHOTO: ODT FILES
Glyn Lewers. PHOTO: ODT FILES
Queenstown Lakes District Mayor Glyn Lewers is pouring cold water on a New Zealand Taxpayers’ Union claim the council is planning a "backdoor deal" with Ngāi Tahu Property Ltd (NTP) to build an office building for itself.

This week NZTU investigations co-ordinator Rhys Hurley said in a media statement the council planned to "squander" $60.7 million on a new headquarters and its budget had blown out by nearly $10m from the original $51m budgeted.

"Ratepayers are being asked to foot the bill for a project that’s spiralling out of control and is completely unjustified," he said.

In its release the taxpayers’ union "revealed" the $60.7m figure came from an official information request.

However, Mr Lewers said that number had been in the council’s long-term plan since last year and the $10m increase was simply the result of building the cost of inflation into the project as the proposal continued to be worked on.

There had been no formal negotiations with Ngāi Tahu Property on a joint-venture development and the council was yet to decide if, or where, the building would go ahead, he said.

Dubbed "Project Manawa", the headquarters building is the first stage of a CBD civic and commercial centre. The complex will also include a performing arts centre, gallery, library and commercial properties that are proposed for land fronting Stanley St.

The council entered a partnership agreement with NTP in 2019 to begin work on a master plan for the site.

A year ago, it was narrowly voted to progress elements of the proposal, including land exchanges and seeking ministerial approval for the stopping of Ballarat St under the Public Works Act.

However, councillors instructed staff to hold off on negotiations with NTP, and to consider alternative locations outside the CBD.

Mr Lewers said the proposal would be further discussed at a public workshop on April 15.

 

 

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