Delays for Commercial Bay retail centre
Precinct Properties New Zealand has experienced further delays in the construction of its Commercial Bay development and says the site now will not open until next year.
The delays could add an extra $10 million to the total cost of the $690 million development, which is being built by Fletcher Properties.
Precinct Properties has revised the opening date of the retail centre from September of this year to March 2020, and the opening date of the PwC office tower from December of this year to April 2020.
Precinct Properties originally expected the retail centre to be done in October 2018 and the office tower in mid-2019, but it has continued to push back the opening dates due to “slippage” in the construction of the project.
“As previously stated, the last two months have been critical in progressing the project, and it is unfortunate to have to confirm that we have observed further slippage beyond what we observed earlier this year,” Scott Pritchard, Precinct Properties New Zealand’s CEO, said in a statement.
Pritchard said the company is working closely with retailers and office occupiers at Commercial Bay to manage risks and minimise any potential disruptions that the revised opening dates may cause.
“Our key priority is ensuring that all retailers can plan their opening at Commercial Bay with confidence, and that our office occupiers can effectively transition to their new premises,” he said.
According to Precinct Properties, retail leasing commitment has increased to above 92 per cent, and office leasing continues to advance beyond the current committed 80 per cent.
Author: Heather McIlvaine. This article first appeared on Inside Retail, a sibling website to Inside Franchise Business.