Liz McDonald, Canterbury museum costs blow out, opening delayed, The Press, 14 November 2024
Costs to redevelop Canterbury Museum have blown out by over $40 million, and its reopening has been pushed out to 2029.
The cost escalation also means the project might have to be paused before it is finished, museum chairman David Ayers said on Thursday.
The previous $205 million budget has now escalated by $42m to $247m, a jump of 20.5%. The museum was expected to reopen in 2028, six months earlier than now forecast.
The four councils responsible for the museum – Christchurch city and Waimakariri, Hurunui and Selwyn districts, were briefed this week on the update.
A group of 20th century buildings have already been demolished on the site. They will make way for a new building with a large atrium, wrapping around the main 1870 and 1877 buildings and connect them to the restored Robert McDougall gallery.
Ayers said construction tenders were “well above the museum’s anticipated budget”.
“We’re really disappointed with the increase, given our strict cost control to date,” he said.
“But we’re not alone in facing escalating construction costs. It wasn’t unexpected against the inflationary backdrop of recent years.”
The contract has been awarded to local company Leighs Construction. The new building is due to start going up next year.
Museum director Anthony Wright said details of the contract remain commercially sensitive, but the “vast majority” will be done on a fixed price. Some aspects where the museum and Leighs are jointly seeking cost efficiencies are yet to be settled, he said.
The museum’s budget shortfall for the project has increased from $44.6m to $86.6m due to the higher costs.
The museum has $160.4m in hand.
Ayers said it will cost an extra $3.8m to remove asbestos from the Robert McDougall gallery, and another $5m is needed due to unexpected ground conditions which have slowed progress behind the gallery.
Cost savings of $11m have been found.
Ayers said they have enough committed funding to complete a weathertight and insurable building with a base-isolated basement. Fitting out the building will be done as a second stage.
“But if we need to pause the project in three years, the building structure and base-isolated basement will be complete and ready for fit-out.”
Wright said the museum is actively working on its fundraising plan.
“We’re still confident that we can raise the extra money to fit out the building and the exhibition spaces.”
The museum has a collection of more than 2.3 million objects. It has displays off the main site, including at a pop-up in Gloucester St.
During the closure the museum still has about 90 workers on staff, 73 full-time equivalents and some casual staff. Most are involved in creating new exhibits for the extra space and creating a digital catalogue of exhibits, Wright said.
He said staff are paid from a separate funding pot, contributed to by the four councils under an Act of Parliament.
It receives about 85% of its annual operational funding from Christchurch City Council, and Waimakariri, Selwyn and Hurunui district councils.
In the year ended June 2023, the city council granted $8.3m, Selwyn $701,571, Waimakariri $631,986 and Hurunui $85,472 – a total of $9.7m.
