Velo­drome cost soars to $22.9m

The Napier Mail - - FRONT PAGE - SI­MON HENDERY

A velo­drome and multi-use sports fa­cil­ity pro­posed for Taradale is now ex­pected to cost $22.9 mil­lion – up from an ear­lier es­ti­mate of $15m.

The in­creased cost is out­lined in a de­tailed busi­ness case for the pro­ject, com­mis­sioned by Napier City Coun­cil and due to be dis­cussed by coun­cil­lors at a meet­ing to­day.

The coun­cil is propos­ing fund­ing a third of the cost of the fa­cil­ity and the new pro­jec­tions mean the con­tri­bu­tion from ratepay­ers would in­crease from $5m to $7.7m.

But the pro­ject has a way to go be­fore it is ap­proved, with sig­nif­i­cant fundrais­ing needed to se­cure the re­main­ing two-third in­vest­ment of $15.2m.

In a re­port on the pro­ject pre­pared for to­day’s meet­ing, coun­cil staff say one pri­mary source of fund­ing will be the Lot­tery Grants Board Sig­nif­i­cant Projects Fund, with an ap­pli­ca­tion pend­ing for $3.5m.

The re­port said other sources of fund­ing would in­clude cor­po­rate spon­sor­ship, other lo­cal au­thor­i­ties, gam­ing trusts, com­mu­nity and pri­vate trusts and com­mu­nity fundrais­ing.

The pro­ject has pre­vi­ously been crit­i­cised as be­ing pre­dom­i­nantly a cy­cling fa­cil­ity which would ben­e­fit only a limit num­ber of par­tic­i­pants. But the coun­cil re­port said work on the pro­ject since it was first pro­posed, in­clud­ing pub­lic feed­back, have mod­i­fied the con­cept to make the de­sign more in­clu­sive to a range of ac­tiv­i­ties.

‘‘Rather than a sin­gle-use velo­drome with some ca­pac­ity to host ad­di­tional sport­ing codes, coun­cil is now propos­ing to in­vest in a re­gional in­door multi-use sport and re­cre­ation fa­cil­ity that in­cor­po­rates a velo­drome, lo­cated on land ad­ja­cent to Pet­ti­grew Green Arena.’’

The in­clu­sion of a velo­drome as part of the pro­posal ‘‘is due to the need to pro­vide the widest range of sport­ing par­tic­i­pa­tion op­por­tu­ni­ties for the widest range of age groups’’.

Be­cause cy­cling was a grow­ing sport, it was ‘‘al­most cer­tain’’ that a fa­cil­ity with­out a velo­drome would not se­cure Lot­tery Grants Board fund­ing, coun­cil staff said.

Ac­cord­ing to the busi­ness case, con­struc­tion of the fa­cil­ity would in­ject $60m into the lo­cal econ­omy and $3.6m a year would flow into Hawke’s Bay from visi­tors at­tend­ing sports tour­na­ments.

The fa­cil­ity would break even or gen­er­ate a small sur­plus each year, with op­er­at­ing costs be­ing off-set by rents from re­tail space within the com­plex.

While coun­cil­lors are due to dis­cuss the pro­ject to­day, staff have rec­om­mended they de­fer mak­ing any de­ci­sions un­til a spe­cial meet­ing sched­uled for March.

The coun­cil pre­vi­ously set aside $500,000 to fund the prepa­ra­tion of the busi­ness case for the fa­cil­ity.

PIHOTO: CRE­ATE LTD

An artist’s im­pres­sion of the multi-use sports fa­cil­ity, in­clud­ing a velo­drome, be­ing pro­posed by Napier City Coun­cil.

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