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SkyCity to sue builder over NZICC construction delays

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SkyCity to sue builder over NZICC construction delays
The owner of New Zealand’s next convention centre has announced it will seek damages from the venue’s builder Fletchers for delays to the completion of construction on the New Zealand International Convention Centre (NZICC).

 The NZICC was supposed to be complete in January 2019, according to the original contract. A fire on the convention centre’s roof, while it was still under construction in October 2019, set the project back severely, while restrictions during the subsequent pandemic had a further impact.

The convention centre was expected to open this year, however, in February it was announced that the venue would open in February 2026.

The building still hasn’t been handed over by the construction team, although Fletchers says construction is complete and builders are now working on remediating defects.

According to a stock market statement from SkyCity on Friday, the company’s claim “alleges that Fletchers’ breaches of contract, including those which caused the fire, constituted gross negligence, and/or a persistent, flagrant or wilful neglect to carry out obligations under the building works contract”.

SkyCity says it is seeking damages of more than $330 million and that it has already attempted to resolve the issue with Fletchers.

“The NZICC was originally scheduled to take approximately three years to build and it has now taken almost ten,” said SkyCity’s CEO Jason Walbridge.

“We remain confident in our opening date of February 2026 and expect the building to be handed over to us in the second half of this year.

“We are ramping up for opening with recruitment for key positions already underway and exciting plans to celebrate finally being able to open our doors and welcome visitors to enjoy the world class experience we will have on offer.”

In its own share market statement on Friday, Fletchers said it had already paid SkyCity “significant liquidated damages” and that it “will vigorously defend itself against the SkyCity claim for further liquidated damages beyond the capped amount provided for in the building works contract”.

The builder also “rejects absolutely” the breach of contract being alleged by SkyCity.