SkyCity Entertainment Group is unlikely to be able to host APEC's leaders' week in November 2021 after the fire at New Zealand International Convention Centre, a presentation just out has indicated.
SkyCity has just posted an in-depth presentation on the NZX from its investor day being held in Adelaide today and although it did not specifically mention APEC, it did say conferences in two years would be impacted.
"Expect fire and damage to result in material delays to completion dates. Delays likely to impact ability for NZICC to host conferences in 2021. Impact beyond 2021 not yet known. Immediately priority on recommissioning NZICC car park for staff and reopening Nelson St entry/exit," the presentation said.
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Fletcher Construction now has control of the NZ International Convention Centre, hit by last month's devastating fire, but it will be "some time" before the full extent of the damage is assessed, its owner says.
"There is currently no access to NZICC car park for staff and the Nelson St entry/exit remains closed - reduced customer car parking capacity," the presentation says.
"Fletcher construction has resumed control of site. Team appointed to investigate cause of fire. Some time until extent of damage assessed and engineering/insurance reviews completed."
But SkyCity also cited its looming Government deadline to finish the centre.
"SkyCity has until 1 January 2023 to complete the NZICC under existing commitments with NZ Government. At this stage, no change to contractual position with Fletcher Construction," it said, adding that Fletcher was legally "required" to finish the project.
SkyCity and Fletcher were committed to delivering the building to meet the Government's requirements, it said.
And SkyCity reiterated that it had appropriate insurance: "Indemnity against loss or damage suffered to the NZICC and/or Horizon Hotel. Fletcher Construction and subcontractors are insured parties under the policy for their respective rights, interest and liabilities."
The policy covered contract works and additional sums for consultant fees, debris removal and cost inflation for unbuilt elements at time of the incident, SkyCity said.
Chairman Rob Campbell made opening remarks about the fire, which started on October 22.
Yesterday, Fletcher Building issued a statement indicating it had a long path ahead of it at the NZICC.
"Fletcher is working to determine the impact of the NZICC fire on the project's delivery timeline and costs, the timing of insurance proceeds and project cash flows, and any potential impact on the Construction provisions announced in February 2018," it said.
"The company confirms that based on information currently available it remains within these provisions," it said.
It then indicated it might stay silent on the issue until its half-year results in the six months to December 31, 2019, to be issued in February.
"The company will continue to give active consideration to this matter as additional information becomes available, and expects to be in a position to provide a further update at its half-year results announcement in February 2020," Fletcher said yesterday.
At the end of last month, Fire and Emergency NZ said 10 different organisations were conducting a co-operative investigation into the NZ International Convention Centre fire.
Ron Devlin, region manager, gave that number in a statement on October 29 but only specifically named police, insurers and other Government agencies.
The Herald has reported how the 10 involved in the fire probe could possibly be:
• 1. Fletcher Construction;
• 2. SkyCity;
• 3. Fire and Emergency NZ;
• 4. NZ Police
• 5. Chubb;
• 6. QBE NZ;
• 7. Berkshire Hathaway;
• 8. Willis Towers Watson;
• 9. WorkSafe NZ;
• 10. Local/central Government rep.
A teenager - possibly an apprentice - is believed to have accidentally left unattended the blowtorch that sparked the devastating SkyCity fire, bringing central Auckland to a standstill.
A teenager, working for a sub-contractor, is understood to have caused the fire. He was called for a smoko break and only remembered when he was away from the roof that he may have forgotten to turn off the gas blowtorch being used to help install waterproof membrane.
He was returning to the roof to check the blowtorch but by then the fire had started.
"The poor guy is in tatters ... he's completely shattered," one person said.