Waterfront Development Plan


(2012/13–2014/15) – Year 2

What’s included hereTop

Our aim is to develop Wellington’s inner city waterfront in accordance with the fundamental principles set down in the Wellington Waterfront Framework (2001). The waterfront is not only a working wharf but is also a public recreation destination for locals and visitors to the city. Our role, therefore, is to deliver a work programme that will ensure the waterfront experience continues to be a special combination of activities, history, views and architecture to delight, challenge, entertain and educate everyone. The Waterfront Development Plan outlines the work programme to implement the objectives of the Framework over the next three years.

The Waterfront Development Plan outlines the work programme to implement the objectives of the Framework over a three-year period. The implementation is undertaken by a Council Controlled Organisation; Wellington Waterfront Ltd (The Company). The plan is reviewed on an annual basis. For 2013/14 (Year 2), the timing of commercial proceeds and payments has shifted for two projects: the development of the Overseas Passenger Terminal has been brought forward to reflected expected completion in 2013/14, while the development of North Kumutoto has been delayed and proceeds are now expected in 2014/15. There have also been three new capital projects included in 2013/14 (the details are noted below), for which matching funding has been identified and as such will not require any increase in the Council loan.

Why it’s importantTop

Wellington’s waterfront is one of the most easily recognised and frequently photographed parts of our city, and is much changed from the bustling port of old. The waterfront is a special place that welcomes all people to live, work and play in the beautiful and inspiring spaces and architecture that connect our city to the sea and protect our heritage for future generations.

Over recent decades, Wellington City Council, together with many interested Wellingtonians, has developed a vision for the waterfront and its future. In 2001 this vision was laid out in the publication of the Wellington Waterfront Framework. This document sets down the fundamental principles for establishing development work programmes on the waterfront. The phasing of the work has been decided based on the following principles:

The Framework requires transparency and a willingness to engage with the public about how the waterfront is developed. A balance must be set between making good progress on the waterfront and providing the public with sufficient opportunity to be involved. As such, public submissions are sought when detailed or concept designs are proposed.

Contribution to community outcomesTop

We contribute to the following goals of Towards 2040 Smart Capital:

People-Centred City: The waterfront is one of Wellington’s premiere destinations for work, recreation and events.

Connected City: Wellington’s waterfront is acknowledged widely as a gathering point for friends, colleagues and family, and now, with free wi-fi access across the entire space, as a place to connect globally.

Eco-city: we are helping develop Wellington as an eco-city by ensuring that all development activity on the waterfront is sustainable and strives for the highest possible environmental ratings.

Dynamic Central City: The waterfront contributes to Wellington’s downtown area in numerous ways. It provides cultural, recreational, heritage and maritime activity. Opportunities for commercial and residential development add to the changing face of Wellington’s central business district. By hosting events such as World of Wearable Arts, Round the Bays and other sports events, and festivals like Home Grown and Diwali, the waterfront is promoting Wellington as a vibrant, creative and multi-cultural place.

What we’ll provide – our levels of serviceTop

Seven objectives have been set for the waterfront:

There are many proposed and on-going projects, all with different complexities, and in some cases, the potential to be interrelated. Some work needs to be done sequentially because of physical requirements to maintain the waterfront experience as much as possible during construction or to coincide with neighbouring development activities. There may sometimes be financial implications that justify undertaking one piece of work before another. Further, sufficient flexibility must be built in to respond to good ideas or proposals in a timely manner, should they arise.

Under the Wellington Waterfront Framework, Wellington's waterfront is divided into five precincts linked by the waterfront promenade, each with its own distinctive style and personality:

The following key projects are planned for the next two years.

The Promenade: Development of the promenade as the spine that connects the waterfront is on-going. A particular focus over the next 2 years will be on the North Kumutoto connection from the Meridian building through to Shed 21 and the railway station. We will continue to address the pedestrian/cycling interface through enhanced signage and other improvements undertaken in consultation with various stakeholder groups.

Wharf pile Maintenance: The third stage of the waterfront-wide pile repair and refurbishment programme wass planned to take place in 2014/15, but has now been aligned with the fourth and final infrastructural upgrade scheduled to be completed in 2017/18.

Projected public space development contribution ($000): 2013/14
$0
2014/15
$0

Waitangi Precinct: The redevelopment of the Overseas Passenger Terminal and public space will be the central activity in this area. Construction began in 2012 and is expected to be completed in 2014. Work will continue on the feasibility of the proposed transition building adjacent to Te Papa. Work on the Overseas Passenger Terminal for 2014/15 includes $2.5 million of new work on wharf and seawall upgrades. The public space works around the Overseas Passenger Terminal have been brought forward to align with construction work that will now be completed in 2013/14. However, this will be funded by the commercial proceeds also being received earlier than previously set.

Projected public space development contribution ($000): 2013/14
$5,290
2014/15
$0

Taranaki Street Wharf Precinct: This area is essentially complete, issues around the diving platform constructed in 2012/13 will be resolved.

Projected public space development contribution ($000): 2013/14
$75
2014/15
$0

Frank Kitts Park Precinct: WWL will continue to oversee the design development of the whole of Frank Kitts Park and work with the Wellington Chinese Garden society regarding their fundraising initiatives. WWL will secure resource consent for the redevelopment of the park and implement its development in stages. The children’s playground, now 15 years old, is in urgent need of upgrade and repair. This will be undertaken in 2013/14, subject to new revenue being sourced to fund it (not requiring any increase in the Council loan). The playground design will be informed by input from the public.

Projected public space development contribution ($000): 2013/14
$1,000
2014/15
$0

Queens Wharf Precinct: Master planning for this area was completed and presented to the Council in 2011. The Company will continue to work corroboratively with Wellington Venues Limited to complete the temporary convention centre facility and wharf strengthening works within shed 6 for the period of the seismic strengthening of the Town Hall. Provision has been made for the development of a water-based adventure activities area within the Shed 6 Harbour Basin, subject to new funding being raised.

Projected public space development contribution ($000): 2013/14
$300
2014/15
$0

Kumutoto Precinct: Work will continue on the development opportunities for sites 9 and 10. However, with the delay in commencing development on the site, the timing of upgrading the public space in the north Kumutoto precinct has been budgeted now for 2015/16 with wider works occurring in the subsequent year. This will be subject to change as plans for these sites develop.

Projected public space development contribution ($000): 2013/14
$0
2014/15
$0

Other Capital Renewals: An ongoing programme of repairs and maintenance, capital expenditure and renewals has been identified in the company’s Asset Management Plan.

Projected public space development contribution ($000): 2013/14
$392
2014/15
$909

How we’ll measure our performanceTop

The overall success of the waterfront will be measured by the achievement of the principles and objectives outlined in the Waterfront Framework.

Design outcomes will continue to be monitored by WCC’s Technical Advisory Group, an independent provider of design advice for the Council. Drawing on the architecture, landscape architecture and urban design expertise of its members, they ensure that the Framework principles have been applied consistently in all the design of buildings and public space.

The achievement of milestones inline with this three year plan and residents us and perceptions of their experience on the waterfront will also be monitored (see the Council Controlled Organisations section.

Beyond the current Waterfront Development Plan the following activities are proposed:

How we manage our assets that support this activityTop

The Company maintains an Asset Management Plan (2011). They comply with all legislation and regulatory requirements, including resource consents. Waterfront assets are maintained in a condition that allows the buildings and public space to meet visitor and stakeholder expectations. The Company actively engages with other commercial operators on waterfront sites to ensure that the issues are resolved quickly and effectively, and that the waterfront remains a safe and welcoming place for everyone.

What it will cost

  2013/14 2014/15
Waterfront Operating costs ($000) 6,085 5,029
     
Public Space Developments ($000) 7,057 909
  2013/14 2014/15
Proceeds from Operating receipts & Commercial developments 15,075 7,650
Loan Financing Balance 2013/14 2014/15
Wharf repiling (cumulative) ($000) 5,720 5,720
Public Space (cumulative) ($000) 14,482 9,409

The table illustrates the importance and impact of revenue from commercial developments in the next two years. If these revenues were delayed then additional interest expense would need to be funded. While the $22,725 million in proceeds over the next two years is positive, the on-going maintenance and renewals work mean that the loan balance continues to increase with no anticipated offset from commercial proceeds forecast in the out years. The plan now reflects timing changes in the realisation of proceeds from commercial developments. However, the net impact on the loan balance is positive with the cumulative balance on Public Space work in 2014/15 improving from $9.717m to $9.409m.