After months of negotiation, SkyCity and Prime Minister John Key have signed the deal that will permit the casino operator to build Auckland’s new convention centre. According to Economic Development Minister Steven Joyce, the deal was finalized on July 5, after being delayed twice. Originally, the deal was supposed to be signed on June 14th.
The date was pushed back until July 1st, but the two parties needed a bit more time to iron out the final details. Now, the deal is done, and SkyCity can proceed with the construction process. In return for spending $402 million on building the new convention centre, SkyCity will receive a number of concessions.
The casino will be allowed to install 230 more pokie machines and 40 table games (several of which are automated electronic terminals). A legal exception will be made, allowing up to 17% of the casino’s electronic gaming machines to accept notes larger than $20. Additionally, all automated table games and pokies will make use of cashless technology.
The biggest concession, however, it the casino operator’s extended license. As part of the SkyCity deal, the casino operator will be able to operate its Auckland venue for another 27 years, as its gaming license has been extended from 2021 to 2048. Joyce applauds the decision to allow SkyCity to build the new convention centre.
He estimates that the venue will boost the economy by $90 million annually. In addition, the convention centre will create 1000 jobs during construction and 800 jobs once the venue is open to the public. "It will create jobs, boost tourism, and bring significant economic benefits to Auckland and New Zealand," Joyce confirms.
Construction on the convention centre is estimated to be finished by 2017, and it is already the subject of much interest. According to Joyce, many convention organizers from around the world have already inquired about the space and they could bring in 90 000 international delegates to help boost the city’s tourism industry.
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