Bradken keen to sell Tewsley Street premises

### November 17, 2014 – 6:25pm
Bradken’s move to Hillside Workshops foundry delayed
It’s been two years since Bradken announced it would move its Dunedin operations to the Hillside Workshops foundry. But the global company seems unable to sell its long-time premises in Tewsley Street. Bradken signed a five-year agreement with KiwiRail to lease the Hillside foundry. It planned to move its entire operation to the site, and expand capacity. Some workers have moved to Hillside, and the foundry’s been marked with the Bradken logo. But the company’s Tewsley Street premises remain open and on the market. Bradken’s been in Tewsley Street for almost 50 years.
Ch39 Link

Bradken (Derek Smith - waterfront 28) 2Bradken Resources Pty Ltd, Mason St frontage (detail) | Derek Smith 2003

ODT articles:
25.1.13 Bradken tight-lipped over Hillside move
22.5.13 Bradken on the move
8.6.13 Bradken’s foundry site likely to be divided
5.7.13 Final day at Hillside
7.8.13 4-day week as Kiwi Rail tender lost
8.8.13 Otago unemployment up 37% on year ago
14.8.13 Bradken earnings down at $A183.6m
21.12.13 Rally helps keep Hillside hopes alive
29.12.13 Bradken staff back on five-day week

Bradken Resources Pty Ltd - 2 Tewsley St [DCC Webmap]DCC Webmap – Bradken, 2 Tewsley Street, Harbourside [click to enlarge]

### November 14, 2014 – 7:02pm
Nightly interview: Des Adamson
Des Adamson, DCC [Ch39 screenshot] 1There’s been good and bad news for the Dunedin business sector recently, with the closure of some operations and expansion of others. Des Adamson is the manager of economic development at Enterprise Dunedin, and he’s here to tell us about the state of business in the city. Video

Posted by Elizabeth Kerr

*In 2003 photographer Derek Smith generously shared two DVDs of Dunedin images he had made, for my use in heritage advocacy. These include industrial and commercial subjects.


Filed under Architecture, Business, Economics, Enterprise Dunedin, Heritage, Inspiration, Media, Name, New Zealand, Politics, Project management, Property, Site

18 responses to “Bradken keen to sell Tewsley Street premises

  1. Elizabeth

    No guarantee further job losses, or a complete closure, would not be needed.

    ### ODT Online Sat, 3 Oct 2015
    Bradken sheds 11 workers
    By Chris Morris
    Bradken has confirmed 11 redundancies at its South Dunedin foundry, just weeks after moving to a four-day week in an attempt to save their jobs.
    Staff were given the news at a meeting at 7am on Tuesday, when they were handed a list of those who would keep their jobs and those who would have to go, one worker said.
    Read more

    • Hype O'Thermia

      Never mind, once we’ve got the Harbour precinct developed there will be LOTS more places to go for a coffee.
      You couldn’t get an organic caffeine-free mocchachino at Bradkens, could you?
      Got to move with the times. Manufacturing is so – so – messy, people involved in it tend to look uncool, how often do they appear in the paper in designer clothing, when’s the last time Trellise Cooper designed overalls for Bradken’s workers? Most of us don’t even know what Bradkens make – but ask us if we know what’s the trendiest bar and cafe and that’s a different story.
      Making useful stuff to supply other industries that do useful stuff is, like, last century. If people want to have companies doing that kind of thing they should relocate somewhere out of sight, Dunedin is about Precincts with Street Decor and outbreaks of curb protrusions and tiles, and adding staff members to interface with, coordinate and facilitate activities that “enhance” in a strictly non-monetary sense, Dunedin, City Of Snafus.

      • Gurglars

        I’m Sorry Hype!

        Your post was so pertinent, so exact and so perceptive, I reacted with scorn rather than the congratulations you deserved!

        • Hype O'Thermia

          Same dog turd, different reactions: ugh; yuk; gross; disgusting…..
          Long as you don’t agitate for a dog turd museum “to bring $millions from extra students” and “be a tourist attraction” and “$xyz thousands raised by local turd appreciation league”……

  2. Gurglars

    So your recommendation Hype is another 10,000 DCC employees?

    That should enable 1520+ car thefts
    10 more non paying museums
    Sustainable food growing in Kaikorai Valley
    No resource consents granted
    No exploration (except for new premises to house said employees)
    Many more coffee shops in the Octagon and elsewhere to sate the DCC executives’ demand for expensive caffeine
    No parking spaces for shoppers (all gone to the new DCC executives car park)
    Councillors on $650K per annum due to their increased workload.

    Sound like bull, then just step back and evaluate the last ten years’ “growth” in service and services.

  3. Hype O'Thermia

    I should have put “LOL” at the end of my comment.

  4. Elizabeth

    ### ODT Online Thu, 3 Dec 2015
    Silence on foundry’s job losses
    By Simon Hartley
    Redundancies are understood to have been made at Dunedin foundry specialist Bradken yesterday, but the company remains tight-lipped over the issue. […] One source understood several staff had decided to leave during the past fortnight and could only confirm one redundancy yesterday.
    Read more

  5. Calvin Oaten

    Doesn’t seem to tie in with deputy mayor Chris Staynes’ claim today saying there has been an increase of 1221 jobs in y/e 31/3/14 followed by 780 for y/e 31/3/15. This is part of the 10,000 jobs plus $10,000 increase in average income in ten years strategy. Since then it looks like it’s all downhill, what with Bradken and the turmoil within City Hall with its resignations, redundancies and ignominious dismissals. But Cr Staynes continues with the stiff upper lip claiming Dunedin’s economy is on the right track, despite missing its latest target for job creation. You would have to wonder what these people breathe.

  6. photonz

    Calvin – if the plan is to create 10,000 new jobs over 10 years, that’s an average of 1000 per year.

    After 2 years, according to your figures, in two years 2001 new jobs have been created, compared to the target of 2000.

    It is unwise to look to manufacturing as the golden goose of job creation – nearly 90% of jobs are NOT in manufacturing. In fact over the last 30-40 years, manufacturing’s contribution to both global and NZ GDP dropped by half.

    And it’s continuing to be a smaller and smaller part of the world economy.

    Not that the council should escape criticism. A builder friend wants to build a shed to store some of his equipment, and in addition to normal permits and consents, the council is demanding a $30,000 “development levy!!!! For a SHED!!!

    That’s not a development levy. It’s a development killer.

    • Hype O'Thermia

      photonz, “the council is demanding a $30,000 “development levy!!!! For a SHED!!!”
      I wish I could think of a reason not to believe you.

  7. Rob Hamlin

    I do believe that one of the silliest terms ever invented is that of the ‘post industrial society’. We apparently live in one, but we continue to consume industrial goods at an unprecedented rate. Go look at Briscoes.

    We can buy these goods because we continue to pay ourselves at c. 10 times the rate of the average Chinese citizen. 40 years ago when we were still an industrial society, and they weren’t, there was a justification for this – we had the capital, the fixed assets and the knowhow – and they didn’t.

    Now we don’t. The jobs being created here are generally low skilled. Those being lost are the opposite. We are mired in debt that is related to consumer goods and non-productive residential real estate. It’s likely that the money sunk into McMansions in Mosgiel alone between 2010 and now would have cleared Silver Fern Farms’ debts with room to spare.

    I used to hear China being cited as a low cost option for products and components. I am now hearing that we can’t match them on either price or quality – that’s what happens when your source does 99% of your manufacturing – they get better at it than you. It’s known as the ‘experience curve’. There is no refuge at the top end.

    A good example is racing shell boats (eights, sculls and the like). The industry was traditionally dominated by local suppliers in the West – a couple of big ones and a constellation of smaller ’boutique’ builders. The first Chinese imports that appeared in this market were cheap but rough. A familiar story.

    The ones I have seen this year are still (relatively) cheap, but they are most certainly not rough. In fact I am unable to see how a local ’boutique’ builder could even match the build and finish on anything other than a special one-off order – and even then?

    There is therefore no reason why a New Zealand barista, real estate agent or or feng shui consultant should be paid ten times what a plastics engineer in a NIC (newly industrialised country) is, and I suspect that very shortly, maybe as a result of the next financial crisis, they won’t be.

    Perhaps the saddest commentary on this situation is a sub-plot of the massively influential ‘Harry Potter’ books. One of the major villains in these stories is Harry Potter’s uncle, Vernon Dursley. A principal plank of Vernon Dursley’s noxious personality is that he is the owner/manager of an engineering company that manufactures drills for export.

    Vernon Dursley is committed to selling drills to customers. This is an apparently tedious activity of little merit that is consistently negatively portrayed. This despite the fact that presumably a good few households’ security and happiness depends upon it. Vernon Dursley is a ‘Muggle’ – a non-magical person. He has little understanding or liking of Harry’s alternative of doing things by ‘magic’.

    The similarity between Vernon Dursley and Harry Potter’s relationship and that of British manufacturing and the financial magicians of the City of London is almost painful. We are all ‘Muggles’ in those particular magicians’ eyes of course. In the English speaking world we drive this attitude into our children young, and we will pay for it eventually.

    • Gurglars

      Rob, your exactly correct. In the 1950s Japanese goods were considered rubbish. Now their quality is legendary. Ditto Taiwan from 1975 to 1990. China started rough, now in many cases superb quality. And because of labour rates in part but more importantly quantity discounts they can keep the cost of manufacture down.

      A Chinese Rolls Royce could be sold for under $50,000, 1/10th of its German or British price.

      What New Zealand can achieve however is short-run precision manufacturing. That is what our University should be developing, laser driven, computer aided high value tool manufacture.

      • Hype O'Thermia

        “In the 1950s Japanese goods were considered rubbish.” Remember the motorbikes, scorned as Jap-crap and Nip-shit? We weren’t politically correct back then, not that the Japanese should care, it wasn’t long before they were the ones laughing while the owners of “quality” British bikes were fixing them after yet another breakdown.

        And “What New Zealand can achieve however is short-run precision manufacturing” – darn right. One thing rich people can’t buy that isn’t the same as, or looks the same as, ordinary people’s stuff is hand-crafted stuff. Guitars, knitwear, jewellery, surf-boards, many of these are made by people with a passion for their crafts, poorly marketed at local craft markets, hourly return for labour a fraction of sweatshop rates.
        There are exceptions, Tony Williams (jeweller) being an outstanding example. His market is the world. It doesn’t take many people, they’ve just got to be people in the know, who appreciate something that special and can afford to have it. Anyone who hasn’t seen his work – if you’ve forgotten what it was to be a kid gobstruck with longing, looking in pre-Christmas shop windows, go and see.
        We’re well off for interesting jewellers creating more affordable high quality work that’s not remotely mass-produced looking – the Stuart St ones John Z Robinson and the Lure people just for starters.

        I wonder what could be done to provide a better, higher-returning platform for small-quantity high-quality producers? NOT another DCC appointee! Perhaps free use of a meeting room if said producers wanted to get together and share mutually beneficial ideas on strategies for reaching the people who can afford to pay them what their unique products are worth (compared with mass-manufactured items). Anything more than that and it’d be yet another DCC Hand Of Doom project.

  8. Calvin Oaten

    photonz – they’re not my figures, and I take your point. But if you look at history, progress depends on making things, not just manipulating things.
    The DCC is the master manipulator in this neck of the woods and boy! it shows. “Nearly 90% of jobs are NOT in manufacturing.” Are you sure of that? There are many aspects to manufacturing, such as where did the raw materials come from? In the case of food do you consider the growers/farmers, transport people, part of the manufacture chain, or simply the worker at the machine processing the raw material into a consumer ready product? What about the miners that dig the ore that becomes the steel that becomes the Caterpillar digger that makes it possible economically to dig the ore in the first place? Who makes the Caterpillar digger? I would look at the claim that nearly 90% of jobs are NOT in manufacturing with a great deal of scepticism. Just as I would look at technology as the wonder of today and the future. But if you think huge businesses amassing enormous revenues by inserting advertising messages into nonsense mediums like Facebook, Twitter etc as advancing the cause of humanity then God help us. When I see people constantly poking at little gadgets passing reams of useless information through the ether at equally banal receivers poking at their little gadgets, to the exclusion of directly interacting with their fellows I wonder where it all leads to, and is it not just a brain deadening exercise called life.

      • Elizabeth

        Zuckerberg, philanthropy, technology and the power of me
        ….The conversation changed when a New York Times writer bluntly suggested (in an article entitled “How Mark Zuckerberg’s altruism helps himself”) that the couple’s use of a limited liability company (LLC) rather than a charitable foundation as the vehicle for the charitable donations was a handy way for Zuckerberg to minimise his tax. The argument was basically that the LLC structure allows Zuckerberg to sell or pass on his stock without paying capital gains or other taxes. “By funneling this stock into a new organization, critics say he’s trying to make tax evasion look like altruism,” said The Atlantic. “At heart, the debate boils down to whether you think Mark Zuckerberg is a benevolent billionaire do-gooder or a shameless capitalist in search of a tax break,” opined Mashable.

    • Hype O'Thermia

      Manufacturing is vital, people less so – every step of the way from digging ore out of the ground, to making one-off or millions of components. One person to program the computer that controls the size, materials and number of repetitions….. Service industries are growing. Someone to make your coffee and do a little design on the top of it, mow your lawn and take away the clippings to the council green waste, from which eventually you can buy them back as compost. But those jobs are low paid, usually casual / seasonal / part-time.
      Manufacturing and exporting earn money for the country. China… where the government will be able to afford to continue to educate its children… which will give them a continuing advantage over dumb short-termists like our politicians with their “export jobs because we can get it done cheaper that way.”

  9. Elizabeth

    ### Wed, 23 Mar 2016
    Bradken foundry sold
    The Bradken foundry in central Dunedin has been sold, after two years on the market. It’s not clear whether all five of the company’s titles behind the Dunedin Railway Station have been sold, or to whom. Property agents are keeping tight-lipped about the deal, saying the owner must give permission for public comment. Bradken’s Australian headquarters has previously refused to comment about the premises and its local operations. It listed the Tewsley Street complex in early 2013 after leasing the Hillside workshops foundry for five years. The company’s industrial site had a collective capital value of $1.7m around that time.
    Ch39 Video

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