Friday 4 December 2020

New Premises for Newcastle Council Blowout Expected Costs by $10 Million

BY DAKOTA TAIT 

The City of Newcastle has announced they spent a total of $17.6 million on a relocation to newly leased premises at Stewart Avenue in Newcastle West - more than $10 million more than suggested by reports in late 2017.

The budget blowout include a $8.3 million office space allowing 450 staff members to work under the same roof, a $2 million Local Emergency Operations Centre, $3.2 million on a digital library, and $1 million on the Council Chamber.

Another $2.7 million was also paid to Graphite Projects for their work on all four of the project areas.

City of Newcastle CEO Jeremy Bath said the relocation would create a better work environment, more efficient systems, and improved services for residents and ratepayers.

“Relocating our City Administration Centre to Newcastle West has provided our staff with a new fit-for-purpose office featuring modern amenities, a flexible design, community areas and meeting rooms to encourage better communication and collaborative decision-making,” Mr Bath said. 

“This space has been designed to double as the Council Chamber when meetings occur twice each month and is equipped with technology that allows for the community to directly participate in Council meetings without the need to leave their home."

Despite criticisms of the cost, Mr Bath said the City of Newcastle were "frugal" compared to nearby councils. 

“Lake Macquarie City Council is spending $17.8m on their fit-out, Mid Coast Council has budgeted $20m and Maitland’s project is budgeted at $28m,” Mr Bath said.  

“The $8.3m spent on our relocation is evidence of the frugal approach we have taken, while the move itself also allowed us to identify cost effective co-locatable opportunities such as the Digital Library and LEOC, which if built elsewhere would have come at a considerably larger expense.” 

Mr Bath also claimed that the sale of former Council properties would help raise funds for community assets and work toward the revitalisation of the Civic cultural precinct.

The Council's former Roundhouse site will reopen in early 2021 as the city’s first five-star hotel after being sold in late 2018 for $16.5 million (plus GST).  

Newcastle Lord Mayor Nuatali Nelmes said the relocation was in line with plans to shift the CBD west as part of the Greater Newcastle Metropolitan Plan.  

“This area is rapidly transforming into Newcastle’s new CBD. We’re pleased to be part of this strategic shift, which is not only revitalising a long dormant part of the city but is also allowing new life to be injected into our civic cultural precinct and some of our most treasured community facilities,” Cr Nelmes said. 

“This is designed to provide the best value to our residents and a seamless experience for all community members."

https://newcastle.nsw.gov.au/