New Zealand to get new national convention centre
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New Zealand’s long wait for a national convention centre will soon be over, after Skycity Entertainment Group signed a deal to develop a major new MICE hub in Auckland.
The deal will see casino operator Skycity invest NZ$315 million (US$261m) in the development of the New Zealand International Convention Centre (NZICC), which will be located on a 14,000m² site in central Auckland’s Victoria Quarter. The new facility, which is expected to open in 2017, will be able to handle 3,500 convention delegates at one time and will employ an estimated 800 people.
“We are pleased that we have now reached agreement with the Government on the key terms of Skycity developing and operating the NZICC,” the company’s chief executive, Nigel Morrison said.
“This agreement delivers a major piece of tourism infrastructure for New Zealand that will boost jobs and tourism and drive long term economic growth, without requiring funding from taxpayers or Auckland ratepayers. It will deliver growth for Auckland International Airport, Air New Zealand and other airlines flying to New Zealand, taxi drivers, restaurant and bar operators, hoteliers, Waiheke Island, Queenstown and everybody else who in some way, shape or form provides a service to international visitors,” Morrison added.
As part of the deal, New Zealand’s government has agreed to extend Skycity’s Auckland casino licence for 35 years, running until 2048.
The decision to develop the NZICC was welcomed by Tourism Industry Association New Zealand (TIA), which has been at the forefront of calls for the national convention centre. TIA chief executive, Martin Snedden, said the facility would provide a substantial boost to New Zealand’s tourism industry.
“This will allow New Zealand to target a new and lucrative market, for large international conferences which we do not currently have the ability to host. We have lagged behind Australia and other international destinations which have major convention facilities,” Snedden said. “This is a completely untapped market segment for New Zealand, and will help us boost shoulder and low season travel.”
TIA also estimated that the national convention centre would boost New Zealand’s economy by more than NZ$90m per year, noting that conference delegates spend an average of NZ$318 per night, compared to the NZ$208 per night spent by international leisure visitors.
The announcement was also welcomed by Air New Zealand. The carrier’s CEO, Christopher Luxon, said the NZICC would “help reduce seasonal variations in demand for travel to New Zealand”.