Wellington City Council May Demolish Municipal Office Building After Budget Explosion

Wellington City Council (WCC) is now considering demolishing its municipal office building to prop up the future of a highly touted National Music Center.

The Herald revealed in October that the cost of remodeling the building had soared to $ 84 million, more than double initial estimates.

The council issued a statement this afternoon at the same time that next week’s Policy and Strategy Committee was released.

One of the items on the agenda recommends that the councilors continue with the demolition of the municipal office building, located in the civic square of Te Ngākau.

The original plan was for the council to strengthen it to at least 67 percent of the New Construction Standard and improve construction services.

The University of Victoria and the New Zealand Symphony Orchestra would condition the floors above ground and lease them at market rates for 25 years.

The agreement meant that the building would become home to the University’s New Zealand School of Music and the orchestra, creating a National Music Center.

But design work has revealed that the cost of strengthening the building would now cost $ 84 million.

The escalating cost has to do with the foundation of the building. The reinforcement is already a complex scheme for an old building on poor reclaimed land.

The projected income generated by the rental income would be insufficient to fully recover the base construction cost.

Tenants have indicated that they cannot afford rent prices above market level, resulting in a shortfall of funds for the city council.

That would have to be subsidized by taxpayers to the tune of up to $ 3.8 million each year for the term of the 25-year lease and beyond.

But even if the building were reinforced, there is no guarantee that it will be usable after an earthquake, much less the threat of climate change, including rising sea levels.

The Civic Square is a heritage site, which means that the city council would have to request consent to demolish the Municipal Office Building.

Councilors are asked to set aside $ 750,000 in the upcoming Long Term Plan for the demolition consent process. This would then be brought to the public for reference.

Mayor Andy Foster said the National Music Center was an exciting partnership.

“It will greatly strengthen our reputation as a Creative Capital and bring more life to the heart of our city: Te Ngākau Civic Plaza.”

Foster said the decision on the fate of the building would be difficult for councilors.

“Under planning regulations, the MOB is considered a major building within the compound. This would require resource consent to demolish it and build a new structure. Planning laws set a high standard for demolitions to pass, which may cause costly and long delays. “

The council recently settled an insurance claim for the adjacent Civic Administration Building, after a four-year dispute with insurers. He received a payment of $ 38 million.

Foster said the demolition of both buildings would provide more opportunities for the future of Civic Square, which needed to be resilient.

“Buildings need to be accessible and encourage activity in and around them. There may be opportunities to view rooftop locations and accommodate a variety of activities that attract a wide range of people to the site.

“It should be adaptable, beautiful, a place for events, music, entertainment, protests, celebrations, a place to enjoy and be proud, a place for everyone, a place for life.”

As the council reflects on the future of the two buildings, the projects to strengthen the City Hall and the Central Library continue to advance.