Auckland Plans conference centre

10 September 2007

Source: National Business Review

Plans are being finalised to build New Zealand's first large international-standard convention and exhibition centre in the Auckland CBD - depending on funding.

Auckland City Council has "future-proofed" a site bounded by Wellesley and Albert streets, Mayoral Drive and Aotea Square for a $300-400 million facility that would accommodate up to 3500 delegates.

It would compete with Australian cities for lucrative major meetings New Zealand cannot currently host because existing venues are too small.

Council general manager for city development John Duthie said the project was being driven by a group established 18 months ago to investigate the feasibility of a world-class centre. It grew from a visitor strategy included in Auckland Regional Council economic development agency AucklandPlus' Metro Plan.

Members of the group include Auckland City Council, Conventions and Incentives New Zealand, the Committee for Auckland (a group of business people keen to promote and advance the city), Auckland Regional Council and AucklandPlus.

"We agree that New Zealand needs a convention centre of international standard and that it should be in Auckland, which has the support and infrastructure," Mr Duthie said.

"We developed a strong business case and found it would add at least $55 million annually to the economy. This is about creating new business that would come to New Zealand because of the venue.

"It would put us on the Australasian circuit," in competition with similar-sized centres in Brisbane, Adelaide, Perth and Cairns. Sydney and Melbourne would still have the market to themselves for bigger conferences of up to 5000 delegates, Mr Duthie said.

"The question then was location - the centre needs to be near hotels and within walking distance of CBD facilities.

"We looked at the waterfront but this is a very large building and it would need a lot of land, so that option was not feasible.

"We think Aotea is a good location and the council has future-proofed a suitable site - the land is the council's contribution and we have agreed this will not be funded by ratepayers."

Mr Duthie said the centre would take around three years to design and build.

"If this is to work it will need support from central government," he said. "Delegates tend to travel to other areas, spreading the economic benefits to all of New Zealand, and if we are to have the centre it will need a lot of people to contribute to it.

"This is the first tangible step toward a world-class and -sized venue that will generate significant income to the economy."

AucklandPlus visitor strategy project leader and Committee for Auckland and convention centre group member David McConnell said central government could underwrite the centre and provide the majority of funding.

"Auckland City Council is putting the land in and we will consider other revenue streams such as a bed tax, as there would be benefits to the hotel trade," the managing director of McConnell Group said. "We would look at other funding options based on benefits to different sectors.

"But first we need central government leadership and support."