FAQ - Delivery of the Anchor Projects
1. Who will be responsible for the delivery of anchor projects?
CERA’s CCDU is responsible for overseeing the overall implementation of the Recovery Plan, and of the anchor project programme. Leadership of individual projects, and other parties’ involvement, will vary from project to project. In some cases further analysis will be needed to work out the best delivery options; it is likely that some projects will have a single delivery agency, while others will have joint delivery or multiple parties responsible for delivery. Where appropriate the lead agency or agencies will work with the private sector and philanthropic sector to increase opportunities for these parties to be involved in the projects.
The following roles and responsibilities have been identified for the early anchor projects:
- The Frame will be implemented by CCDU. CCDU will work with CCC, Environment Canterbury, the New Zealand Transport Authority, Te Rūnanga o Ngāi Tahu, and the private and philanthropic sectors.
- Te Papa Ōtākaro/Avon River Precinct – this will be jointly implemented by CCDU, CCC and Te Rūnanga o Ngāi Tahu. These agencies will also work with Environment Canterbury and the philanthropic sector.
- The Metro Sports Facility – this will be implemented by CCC. CCC will work closely with CCDU, Te Rūnanga o Ngāi Tahu, Environment Canterbury and the private and philanthropic sectors. CCC and CCDU will jointly issue a RFP for the urban design and construction of the facility in August 2012.
- Convention Centre Precinct – this will be led by CERA in partnership with CCC, the Ministry of Business, Innovation and Employment, Te Rūnanga o Ngāi Tahu. These agencies will work closely with the private sector. CCC and CCDU will jointly issue a RFP for the urban design and construction of the facility in August 2012.
2. Who is going to pay for the anchor projects?
The projects will be funded by a number of parties, including central and local government, the private sector and the philanthropic sector.
3. Will the government’s eventual commitment to the anchor projects exceed the $5.5 billion Canterbury Earthquake Recovery Fund (CERF)?
The final Crown cost for earthquake related expenses is not yet known. There is uncertainty on a number of matters, including the damage to underground infrastructure and insurance recoveries from residential red zone property acquisition.
4. What is CCC’s financial commitment?
The projects in the Recovery Plan are based on those in CCC’s own draft Central City Plan, so the Government expects CCC to make a substantial financial commitment to these projects, especially in the case of civic assets like the Convention Centre and the Metro Sports Facility.
5. Why can’t the private sector or philanthropic sources fund and deliver all of the anchor projects?
Funding and procurement options for the anchor projects vary depending on their nature, risks, cost, underlying economics, priority for delivery and proposed ultimate ownership structures.
There will be extensive opportunities for private investment, including philanthropic funding, in some of the anchor projects. For example, a public-private partnership delivery structure, with demand underwrites or concession type arrangements may be suitable for certain projects.
Nevertheless, given the scale of the disaster in Christchurch, central and local government funding and delivery is vital to restore confidence and help to restore the basic amenities and functions required of a mid-sized, developed economy city.
6. What investment opportunities will arise as a result of the Recovery Plan?
The Recovery Plan outlines a number of key opportunities for private sector and philanthropic investments in the central city.
For example, there is an opportunity for private sector participation in the procurement process and potentially financing, operating and owning some of the anchor projects (and associated developments). There are also opportunities for philanthropic sources to invest in anchor projects.
In addition, the Recovery Plan is designed to maximise the opportunities for supporting or private sector investment. For example, the anchor projects will be located and configured in a manner that supports the private sector, e.g. retail, hospitality, food and beverage, and commercial property.
The CCDU’s Investment team will also be engaging extensively with the private and philanthropic sectors to encourage participation and investment.
7. How do I find out more about the investment opportunities and how I can participate?
The CCDU website is a good source of information regarding the current design brief and functional specification of key anchor projects.
Additionally, CCDU’s “Invest Christchurch” team is keen to discuss your participation in the central city recovery.