The council formally abandoned the half-built Harington St Transport Hub earlier this year. Photo / File
The council formally abandoned the half-built Harington St Transport Hub earlier this year. Photo / File
Five months after abandoning the half-built Harington St Transport Hub, Tauranga City Council has not yet decided what to do with it, as costs head north of $20 million.
The indecision has prompted criticism from a CBD real estate boss who says the council is "hamstringing" future development.
In aclosed-door meeting on Wednesday, council staff recommended demolishing the defective structure.
After the meeting, general manager of infrastructure Nic Johansson told the Bay of Plenty Times the council did not make a final decision.
"The future of the structure and site will be subject to a further report from the chief executive on potential options.
"That process is not expected to be completed until late in the calendar year and in the meantime, no final decision will be made."
Johansson said demolition was still on the table, as was the possibility of selling the site.
"Work will continue to determine the cost and timing of demolition as an option, but those matters have yet to be finalised and are contingent on the outcome of the reporting process referred to above."
The council has previously estimated it would cost about $7m to demolish the structure - a cheaper option than its $36m estimate to fix the defects.
Construction of the seven-storey CBD parking building was halted in September last year over major structural and foundation issues found after a beam twisted during a concrete pour.
It decided to formally abandon the project in June, with $19m already spent from a planned budget of $29m.
Johansson said the total accrued costs as of September were $20.5m.
The hub was expected to have 250 parking spaces for cyclists, 53 for motorbikes, 535 car parks, 15 mobility parks, electric charge points for cars and e-bikes, and showers and lockers.
The council had hoped to build a seven-story hub with parking for 550 cars as well as cycling facilities. Image / Supplied
In August the council decided to take legal action over the failed building, initiating civil proceedings in the High Court against some parties involved in the project, in an attempt to claw back some of its losses.
Johansson said the council started down the court route after being unable to reach an agreement with the designers of the building during a confidential and without prejudice mediation in August.
The council received a confidential update from legal advisors in Wednesday's meeting.
Depending on what the council decides to do with the structure, it might include the 40 Harington St site as part of its work to refresh the master plan for Tauranga's civic precinct, a collection of council-owned sites between Durham St and The Strand in the CBD.
Ray White Commercial team's managing director Philip Hunt said the delay in the progress of the site was disappointing.
"The council officers, councillors and mayor need to know that they are hamstringing, completely, the future development of the CBD by not making a decision."
The transport hub was originally going to be a positive step for the CBD but "at the moment, they are bleeding the CBD by procrastination".
"They have a responsibility to replace those car parks that have been taken. At the moment, we are losing tenant after tenant from the CBD to a complete lack of car parks.
"We just need the council to make a decision."
The Kingsview Apartments are next door to the site and body corp manager Clive Tippins said it was "certainly an eyesore" in its present state.
He understood one of the future options for the site was to demolish the construction, level the site and make the area green space.
It was an option he and apartment owners looked forward to.
"That would be fantastic from our point of view."
Tippins has made several submissions regarding the project in recent years, mainly to do with proposed heights of the project.
"It looks like it will probably have to come down. We are delighted. The sooner it happens the better but these things do take time."
In response to Hunt's concerns, Johansson said councillors and staff completely understood the frustration felt by Hunt and others.
"However, our first duty is to ensure that when a decision is made, it is robust and will provide the greatest possible benefit to the whole community.
"To achieve that, we need to take the time required to look at and assess the available options, so we can make sure the Harington St site will deliver maximum value to the people of Tauranga and will assist in meeting the CBD's long-term parking needs."
