Centreport Reaches Settlement on Commercial Properties

Centreport Reaches Settlement on Commercial Properties

CentrePort and its insurance partners have reached a final settlement on its commercial properties claim including the earthquake-damaged former BNZ building which has been earmarked for demolition.

The commercial properties claim has been settled for $170 million. This covers a lump sum settlement for the former BNZ building, Statistics House and Shed 35, and repairs to Customhouse, Shed 39 and other sundry properties.

The commercial properties claim is separate from the Port infrastructure claim which CentrePort is continuing to work on with its insurers.

The former BNZ building was badly damaged in the 14 November 2016 Kaikoura earthquake and has remained vacant since then. The BNZ terminated its lease on the building in March this year, having tenanted it since 2009.

“We appreciate the ongoing support of our insurers as we’ve recovered from the significant impact of the Kaikoura earthquake, which has reshaped our entire business,” CentrePort Chief Executive Derek Nind says.

“We plan to demolish the former BNZ building, based on the advice we have received as to its condition. This will allow us to advance the regeneration of our business and strengthen the land in and around Harbour Quays, while also maintaining the StraitNZ Bluebridge ferry service – a vital part of the Wellington Lifelines emergency capability.”

Mr Nind said the Harbour Quays land was an integral part of the port’s regeneration and resilience plans and would support its current growth trajectory.

“We need a larger footprint as we work through our regeneration plans and reconfigure our land and berth capability.”

CentrePort has previously demolished several earthquake-affected buildings on its land, including Statistics House, Shed 35, Shed 37, the Dimond building, the MSC building and the former NZ Rugby Union building.

Mr Nind says the decision on the former BNZ Building brings closure on a difficult time in the port’s history, while opening a new chapter for its future.

“We will now work with our neighbours and other key stakeholders to plan the building’s safe demolition and continue planning for CentrePort’s future,” he said. ENDS

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