Stop the Stadium

Otago Daily Times, 8 Nov 2008

It is hoped an extraordinary meeting of the Dunedin City Council on Wednesday will finally complete an agreement with the Carisbrook Stadium Trust clarifying the responsibilities of both organisations regarding the stadium project.

But deadlines for the service-level agreement, which would also determine how progress was reported, have passed before.

The agreement was part of one of the conditions the council set down in March, when it agreed to keep funding the stadium.

It was expected to be completed by May, and council chief executive Jim Harland said in early September he expected it it to be finalised in the following two weeks.

» Read more…

Scene, 17 October 2008

Stadium blitz test for backers

HAD enough of Dunedin’s protracted stadium debate? Yes? Then we’ve got bad news – stadium ads are coming to the back of a bus near you.

The Carisbrook Stadium Trust – under pressure to meet private funding thresholds to ensure public funding support, including almost $80 million from the Dunedin City Council – is about to go ballistic with marketing.

Stadium fever won’t just hit town but beyond, too – remember, this is now The Otago Stadium.

That’s the new brand name for the whole shebang until an overall naming rights sponsor is secured. Then it’ll become something else – Ngai Tahu Arena perhaps, or Kiwi Super Fund Park Kidding.

The trust won’t talk about these negotiations other than to say it’s in “advanced talks”.

Despite it’s comforting noises about being on track – it has registrations of interest for 49 per cent of the required $45.5 million in private funding – there must be sweat on a few brows.

As trust boss Ewan Soper says: “Now is the time for Otago and Dunedin to get behind this project.”

Translation: If you want it built, stick your blimmin’ hands in your pockets and commit to corporate boxes, memberships and sponsorships.

Soper’s right – now is a critical time. The Otago Stadium lives or dies come February when the council decides whether it’s satisfied with private funding commitments.

But that’s just one threshold – don’t forget the stadium’s total maximum cost mustn’t exceed $188m and other funders must come to the party.

Now’s the hour Otago – want it or not?

Channel 9, 14 Oct 2008

The Carisbrook Stadium Trust announced new developments in private sector funding this afternoon, as well as a new name for the proposed stadium. From today the trust is calling the proposed stadium, The Otago Stadium…

» See the video… (1:53 min)

Otago Daily Times, 14 Oct 2008

With its February deadline fast approaching, the Carisbrook Stadium Trust is confident it can achieve the minimum 60% of private-sector funding required to gain final approval to build the stadium.

Formal contracts were sent to interested parties last Friday, and as of yesterday, 20% had been returned, equating to $22.2 million or 49% of the target, trust chief executive Ewan Soper said.

On September 29, the Dunedin City Council set a target of 60% of public funding to be achieved before February for the project to continue….

Seating and membership products would bring in $41.5 million, and the sale of sponsorship products, $14 million….

Contrary to other media reports, donations, although welcome, were not part of the fundraising strategy.

Only $30 in donations had been received by the trust during the last financial year….

Mr Soper said the stadium would act as a “catalyst” for development in the city despite the economic conditions.

Who is paying?

The $188 million budget for the stadium is expected to be funded by:

• Otago Regional Council: $37.5million.
• Community Trust of Otago: $10 million.
• University of Otago: $10 million.
• Dunedin City Council: $85 million.
• Private sector: $45.5 million.

» Read more…

Related:
» Carisbrook stadium: Funding Row prompts rude email response
» Email embarrasses stadium trust

Otago Daily Times, 30 Sep 2008

The Dunedin City Council has moved to tighten the conditions it has set the Carisbrook Stadium Trust and other parties to meet before it would give the final approval for the Awatea St stadium - but has agreed only to a watered-down version of amendments asked for by three councillors.

Political grouping Greater Dunedin - Crs Dave Cull, Kate Wilson and Chris Staynes - went to a meeting of the council yesterday with a list of seven amendments to conditions the council set in March.

The three have generally opposed the stadium but proposed the amendments, they said, to decrease the risk the project posed to ratepayers….

Trust chairman Malcolm Farry last night said the trust could meet the timeframes included in the amendments that were carried, but the one relating to the rugby union was “unhelpful”.

Opposition group Stop the Stadium president Bev Butler said the move was a good attempt by Greater Dunedin to reduce the “enormous risk” posed by the project, but the council had fallen behind the Otago Regional Council in placing tight conditions on the trust.

The Greater Dunedin councillors wrote a series of amendments to the original conditions which were designed to give the trust a list of milestones to reach as it continued the project.

The amendments added timeframes and funding targets.

» Read more…

Related:

» Swing over stadium

» Otago Daily Times backtracks on Trio’s swing

Letter to the Editor, Otago Daily Times, 25 Sep 2008

Having taken a prominent part in the administration of the initial Dunedin Indoor Stadium, I have been following the issue of the proposed Awatea Street stadium with much interest. In earlier days, we had little or no ratepayer funding support and had to contend with many of the issues now facing the new promoters.

Although I can boast a lifetime of enthusiastic support for the welfare of the Dunedin (and Otago and Southland) communities, it does appear to me that the present project is overambitious in terms of ratepayer funding. Any analysis wil show that the per capita ratepayer commitment towards initial capital funding - and perhaps even more important still maintenance expenditures - far exceeds that adopted in the northern centres, including Hamilton. And there will be significant drainage of available community trust gifting and container port earnings that could be diverted in other directions.

In addition, the potential attendance “catchment” for the combined Otago and Southland provinces falls well short of the conveniently located populations surrounding Christchurch, Wellington, Hamilton and Auckland. Furthermore, the temporarily accommodated tertiary education student population can at best provide only seasonal attendance potential. I could provide some comparative figures but will leave that to others.

The operating expenses will necessitate relatively high ticket prices and this will rule out attendance of many at the more high-profile functions. I concur with regional councillor Michael Deaker that the likely occupancy rate for this vast arena will be very low as compared, for example, with that of the Westpac Stadium in Wellington.

Dunedin (and Otago) have other much more pressing priorities for local-body funding support that this rather extravagant venture. I still believe Carisbrook could be suitably upgraded at a fraction of the cost and that the university/polytechnic authorities could make better use of the property now assembled. It is time to pull the plug now.

Jolyon Manning
Alexandra

The Press, 25 June 2008

The Otago Regional Council has confirmed its crucial $37.5 million contribution to a new $188m stadium in Dunedin, despite a last-ditch attempt to delay the decision.

At a full council meeting today, councillors voted nine to one to confirm stadium funding in its long term community plan and include conditions recommended by the Finance and Corporate Committee on June 11.

Bryan Scott was the lone opposing voice.

Earlier Michael Deaker moved an amendment attempting to delay the decision, sending the matter back to the committee for further analysis – sparking an animated 50-minute debate.

Deaker said significant issues had been raised since the committee meeting, including a $10m jump in the private sector funding target to $55.5m and an apparent initial failure by the Carisbrook Stadium Trust to find a naming rights sponsor.

He did not believe investment in the stadium was the prudent management of funds council was obligated to undertake, as set out in the Local Government Act.

» Read more…

From DScene, 8 Aug 08

Community Trust Otago’s 2008 annual result, to be released this month, will reflect world financial volatility.

Conservative policy and reserves will keep donations flowing.

But any application for $10 million for the proposed sports stadium might now take harder selling.
The trust gave $260,000 to the Carisbrook Stadium Trust for feasibility studies, and earlier gave $60,000 to the Carisbrook Working Party.

Community Trust Otago trustees agreed in principle, after debate, they would consider an application for $10m, subject to conditions.

» Read the whole article