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Number of pages: 02
Date: 06 October, 2008

Final Two Shortlisted For Events Centre Build

Two firms are to compete for the right to design and build a proposed $16 million multi-purpose regional events centre at Whangarei’s Okara Park.

A 10-member joint Northland Regional-Whangarei District Council steering group has narrowed what had been a group of five contenders to just two finalists – Mt Eden-based NZ Strong and East Tamaki-based Argon Construction.

Over the next month the two firms will negotiate the detail of the multimillion dollar design-build contract with the Councils.

Northland Regional Council Chief Executive Officer Ken Paterson and his District Council counterpart Mark Simpson will spearhead the negotiations and expect to report back to their respective Councils in mid-November. Their report is expected to include a final recommendation as to which of the companies should be awarded the contract.

The Regional Council has agreed to fund a $13 million capped stake in the proposed centre – subject to conditions – and the Whangarei District Council a $3 million share.

Mr Simpson says the three unsuccessful companies that had been in the running included Whangarei-based Kerr Construction, Ebert Construction (which operates nationally from regional offices in Wellington and Auckland) and Manukau City-based Hawkins Construction.

Mr Paterson says while all three had provided excellent proposals, they had been non-compliant in some areas, for example seating numbers, and all had exceeded the non-negotiable $16 million capped budget.

However, Mr Simpson says regardless of which firm is ultimately awarded the contract, initial indications are that at least 10 Northland-based companies will secure work on the centre, either as suppliers or in a subcontracting role.

Assuming the negotiations progress favourably, the successful firm is expected to be awarded the contract within the next several months, with construction underway by early 2009.

ENDS

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