February 7, 2025 • 7 mins
Sky City says a February opening date for its International Convention Centre is prudent.
The Centre was initially planned to open in 2020, but a major roof fire in 2019 - followed by the Covid-19 pandemic - set the project back substantially.
Fletcher Building will now hand it over in June.
Chief Operating Officer Callum Mallett says the next stage of commissioning and operational work will take several months.
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Speaker 1 (00:00):
Right. The sky City International Convention Center in Auckland has
been delayed again, with the opening date now set February
twenty twenty six. Sky City have cited delays with Fletcher
Building as the reason behind the pushback, with Fletcher Building
saying last June that it was aiming to finish the
building by the end of the year. Calum Mallett is
sky City's chief operating officer, and he is with us.
(00:22):
Good evening, good evening. Hey, can you just confirm to
me when will the convention center be completed and when
will it be handed over to you? And when will
it open? Hopefully sure?
Speaker 2 (00:36):
So, Flector Building are targeting at June twenty twenty five
dates for their completion. We will then take over the
building and commissioning and operational reading this work that will
take a few months, and so for that reason we
think it's been prudent to announce a February twenty twenty
(00:58):
six opening, which allows for some contingency and really importantly
gives certainty not just to our team, but most importantly
to our customers, so they can have certainty for their
booknds moving into twenty twenty six.
Speaker 1 (01:12):
Okay, got you that timeline all makes a lot of sense. Now,
are you concerned that the completion may not be done
by June this year?
Speaker 2 (01:23):
Look, there's no question it's been a challenging project and
has continued to be delayed. But we know that Fletchers
believe that June is a date that they will absolutely
have the building finished by. And as said, you know,
we've got some contingency to make sure that if it
goes a little later than that, we still have the
(01:45):
appropriate time we need to do the commission and operational
work for that February twenty six opening.
Speaker 1 (01:52):
These completion dates and lightning dates are already much later
than what you had expected, Is Fletcher the sole reason
for this delay?
Speaker 2 (02:02):
Oh? Look, it's certainly been a challenging build francester And
for Fletchers and ourselves still working very productively on making
sure that the building is finished, but that also importantly
that it's finished for the absolute standard that we are
in New Zealand should expect. You know, from February twenty six.
(02:23):
This is going to be an amazing building for Auckland
and for New Zealand. So welcome over thirty thousand international
delegates every year and about half a million visitors from
around New Zealand and Auckland every year. It's going to
be a really important part. We hope and expect for
(02:43):
the community to have graduations and to comfort dinners for
conferences and to watch the others their shows, et cetera. So,
you know, working with Fletchers to deliver that bolly and
then making sure that we do the commissioning appropriately to
give the very first guests the best experience we can
(03:05):
is paramount to us.
Speaker 1 (03:06):
So this isn't turning into a blame game. You are
looking forward with positivity to getting it open and getting
things in action.
Speaker 2 (03:16):
Yeah. Look, there's no question that is later than we
and we'd hope anyone would have liked. But we're really
excited today to be able to talk about the February
twenty sixth date and actually give a strong date for
our customers and for the world to know about so
that we can attract the magnitude and importance of conferences
(03:37):
that we want to New Zealand. So we're really excited
about that.
Speaker 1 (03:41):
And look, callum, just before we do look forward, is
this costing you with the delays? Have you missed out
on key events just because how late it has been opening.
Speaker 2 (03:51):
Absolutely no question, and there were some events later in
this year that, unfortunately we have needed to communicate to
those organizers that we can no longer to their conferences
and for that we're really sorry and disappointed. But absolutely
it's cost Sky City revenue, but it's also cost the
wider tourism industry, whether it's airlines, whether it's hoshels, whether
(04:12):
it's event organizers considerably as well. And you know, it's
no secret obviously that the New Zealand tourism industry has
got its challenges. At the moment, we're only back to
eighty five percent of international tourists that we were pre
codd and certainly business events across the country and certainly
the ends that I See City a really important driver
(04:34):
of that, and you know, we look forward, you know,
with real hope of what part we can play in that,
and you know, the recent change of Tourism Minister and
the government's new approach around or really focused approach around
growth absolutely marries perfectly with what we're wanting to achieve
at the ends of I See See So yes, it
(04:54):
has cost us revenue, but equally we're excited about what
it will offer us come twenty two.
Speaker 1 (05:00):
Well, I think a lot of Aucklanders will be behind
you as well, because we've had to be very patient
with the changes to roading, and you know, while it's
been built, you know, there's been there's been a lot
on the city as well, So it's going to be
wonderful to have that area kind of opened up and complete. Again.
Are you managing to attract some big key events to
the convention center?
Speaker 2 (05:20):
Yes, absolutely, we've had a sales team in case for
some time. They sell globally and you know, we're really
excited about the pipeline of large scale international conferences that
we're managing to attract for twenty six, twenty seven and
twenty eight. They will have a significant economic attack on
New Zealand upward to one hundred million dollars a year.
(05:43):
Throughout the industry is associated in and around the ends
that ICEC and associated with tourism. So where as I
said before, it's the airlines, hotels, it's transport, it's certain
beverage suppliers. It's going to have a big impact on
a good week there. We expect to have fifteen to
twenty thousand visitors going through the ends that ICEEC and
(06:03):
multitude of events, both conferences and theater space. It's got
an almost three thousand tax theater, multiple binners, etc. So
it's going to have a big impact. Yes, we appreciate
everybody's patients with some of the construction that's gone on,
and we're super excited about being able to showcase the
(06:24):
end product to everybody where. Hopefully when people walk through
that center and go and have events at the center,
they will all think, like we do, that the weight
will be worth it.
Speaker 1 (06:34):
Callum. Just finally, you mentioned the difficulty of the tourism
industry has been dealing with is it good to have
the Horizon Hotel open? What's the demand being.
Speaker 2 (06:42):
Like, Look, we're delighted to have the Horizon Hotel open.
It is obviously a really important piece of the end
that ICEE see puzzle for us across the precinct. Feedback
from customers has been really good. Demand has been good.
Albeit as we've discos Francisco, the tourism industry and the
(07:03):
supply of hotels in Auckland, we've got a number of
new properties have opened across the last five years, which
is fantastic media. It's a lot to certainly it's a
challenge at the moment with relatively low occupancy and ADRs
in the industry, and it's things like the end and
I see s like the government wanting growth, wanting to
(07:25):
bring in more major events that the hotel industry certainly
needs at the moment, and so we're looking forward to
being able to provide that important preced infrastructure and February
next year.
Speaker 1 (07:36):
Callum mallach, thank you very much for your time. Calum's
sky City's chief operating officer. For more from Hither Duplessy
Alan Drive, listen live to news talks.
Speaker 2 (07:46):
It'd be from four pm weekdays, or follow the podcast
on iHeartRadio
Right. The sky City International Convention Center in Auckland has
been delayed again, with the opening date now set February
twenty twenty six. Sky City have cited delays with Fletcher
Building as the reason behind the pushback, with Fletcher Building
saying last June that it was aiming to finish the
building by the end of the year. Calum Mallett is
sky City's chief operating officer, and he is with us.
(00:22):
Good evening, good evening. Hey, can you just confirm to
me when will the convention center be completed and when
will it be handed over to you? And when will
it open? Hopefully sure?
Speaker 2 (00:36):
So, Flector Building are targeting at June twenty twenty five
dates for their completion. We will then take over the
building and commissioning and operational reading this work that will
take a few months, and so for that reason we
think it's been prudent to announce a February twenty twenty
(00:58):
six opening, which allows for some contingency and really importantly
gives certainty not just to our team, but most importantly
to our customers, so they can have certainty for their
booknds moving into twenty twenty six.
Speaker 1 (01:12):
Okay, got you that timeline all makes a lot of sense. Now,
are you concerned that the completion may not be done
by June this year?
Speaker 2 (01:23):
Look, there's no question it's been a challenging project and
has continued to be delayed. But we know that Fletchers
believe that June is a date that they will absolutely
have the building finished by. And as said, you know,
we've got some contingency to make sure that if it
goes a little later than that, we still have the
(01:45):
appropriate time we need to do the commission and operational
work for that February twenty six opening.
Speaker 1 (01:52):
These completion dates and lightning dates are already much later
than what you had expected, Is Fletcher the sole reason
for this delay?
Speaker 2 (02:02):
Oh? Look, it's certainly been a challenging build francester And
for Fletchers and ourselves still working very productively on making
sure that the building is finished, but that also importantly
that it's finished for the absolute standard that we are
in New Zealand should expect. You know, from February twenty six.
(02:23):
This is going to be an amazing building for Auckland
and for New Zealand. So welcome over thirty thousand international
delegates every year and about half a million visitors from
around New Zealand and Auckland every year. It's going to
be a really important part. We hope and expect for
(02:43):
the community to have graduations and to comfort dinners for
conferences and to watch the others their shows, et cetera. So,
you know, working with Fletchers to deliver that bolly and
then making sure that we do the commissioning appropriately to
give the very first guests the best experience we can
(03:05):
is paramount to us.
Speaker 1 (03:06):
So this isn't turning into a blame game. You are
looking forward with positivity to getting it open and getting
things in action.
Speaker 2 (03:16):
Yeah. Look, there's no question that is later than we
and we'd hope anyone would have liked. But we're really
excited today to be able to talk about the February
twenty sixth date and actually give a strong date for
our customers and for the world to know about so
that we can attract the magnitude and importance of conferences
(03:37):
that we want to New Zealand. So we're really excited
about that.
Speaker 1 (03:41):
And look, callum, just before we do look forward, is
this costing you with the delays? Have you missed out
on key events just because how late it has been opening.
Speaker 2 (03:51):
Absolutely no question, and there were some events later in
this year that, unfortunately we have needed to communicate to
those organizers that we can no longer to their conferences
and for that we're really sorry and disappointed. But absolutely
it's cost Sky City revenue, but it's also cost the
wider tourism industry, whether it's airlines, whether it's hoshels, whether
(04:12):
it's event organizers considerably as well. And you know, it's
no secret obviously that the New Zealand tourism industry has
got its challenges. At the moment, we're only back to
eighty five percent of international tourists that we were pre
codd and certainly business events across the country and certainly
the ends that I See City a really important driver
(04:34):
of that, and you know, we look forward, you know,
with real hope of what part we can play in that,
and you know, the recent change of Tourism Minister and
the government's new approach around or really focused approach around
growth absolutely marries perfectly with what we're wanting to achieve
at the ends of I See See So yes, it
(04:54):
has cost us revenue, but equally we're excited about what
it will offer us come twenty two.
Speaker 1 (05:00):
Well, I think a lot of Aucklanders will be behind
you as well, because we've had to be very patient
with the changes to roading, and you know, while it's
been built, you know, there's been there's been a lot
on the city as well, So it's going to be
wonderful to have that area kind of opened up and complete. Again.
Are you managing to attract some big key events to
the convention center?
Speaker 2 (05:20):
Yes, absolutely, we've had a sales team in case for
some time. They sell globally and you know, we're really
excited about the pipeline of large scale international conferences that
we're managing to attract for twenty six, twenty seven and
twenty eight. They will have a significant economic attack on
New Zealand upward to one hundred million dollars a year.
(05:43):
Throughout the industry is associated in and around the ends
that ICEC and associated with tourism. So where as I
said before, it's the airlines, hotels, it's transport, it's certain
beverage suppliers. It's going to have a big impact on
a good week there. We expect to have fifteen to
twenty thousand visitors going through the ends that ICEEC and
(06:03):
multitude of events, both conferences and theater space. It's got
an almost three thousand tax theater, multiple binners, etc. So
it's going to have a big impact. Yes, we appreciate
everybody's patients with some of the construction that's gone on,
and we're super excited about being able to showcase the
(06:24):
end product to everybody where. Hopefully when people walk through
that center and go and have events at the center,
they will all think, like we do, that the weight
will be worth it.
Speaker 1 (06:34):
Callum. Just finally, you mentioned the difficulty of the tourism
industry has been dealing with is it good to have
the Horizon Hotel open? What's the demand being.
Speaker 2 (06:42):
Like, Look, we're delighted to have the Horizon Hotel open.
It is obviously a really important piece of the end
that ICEE see puzzle for us across the precinct. Feedback
from customers has been really good. Demand has been good.
Albeit as we've discos Francisco, the tourism industry and the
(07:03):
supply of hotels in Auckland, we've got a number of
new properties have opened across the last five years, which
is fantastic media. It's a lot to certainly it's a
challenge at the moment with relatively low occupancy and ADRs
in the industry, and it's things like the end and
I see s like the government wanting growth, wanting to
(07:25):
bring in more major events that the hotel industry certainly
needs at the moment, and so we're looking forward to
being able to provide that important preced infrastructure and February
next year.
Speaker 1 (07:36):
Callum mallach, thank you very much for your time. Calum's
sky City's chief operating officer. For more from Hither Duplessy
Alan Drive, listen live to news talks.
Speaker 2 (07:46):
It'd be from four pm weekdays, or follow the podcast
on iHeartRadio
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