Tag Archives: Venues management

Russell Garbutt: DCC, stadium failings

Comment received.

Russell Garbutt
Submitted on November 26, 2013 at 9:31 am

I submitted this to the ODT as an Opinion Piece following their editorial, but I have been told that it has not been selected for publication. Up to you to judge why.

“The ODT Editorial of Friday, 22nd November, 2013 headed “Stadium’s hard act to follow” is another stage in what has turned out to be a sorry chapter in Dunedin’s history.

Many residents of Dunedin were dismayed and astonished that the decision to build the new rugby stadium proceeded despite wide-spread protests and well-researched submissions detailing the experiences of other city’s decisions to build stadia which invariably had led to construction cost blow-outs, below budgeted incomes and over budgeted expenditures. As it turns out, these submitters have been proved right time and time again. What is patently obvious to all of those that have read the various reports into this project including the Larsen Report and the PWC report, the project was predicated upon counting future income as private construction costs, and assuming income levels and costs that would have resulted in an actual profit from Year one of operation.

The reality is a great deal different.

The DCC, and the ratepayers of the City, have been forced, through a complex set of financial arrangements, to provide substantial financial support by way of a payment of $7.25m per year to enable the debt to be paid off faster, a payment of $750,000 per year for “promotion of the stadium for community events”, a payment of $725,000 for other stadium debt round seats and pitch machinery, another annual $400,000 to subsidise or attract large events, and ongoing additional costs for financial advice and the like. All this on top of the huge costs for construction and the associated debt which is a very large component of the $12,000 debt owed by each and every ratepayer to the DCC.
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“On the eastern coast of New Zealand lies a world-first architectural icon – where 30,000 excited fans are drawn together to watch the action, be entertained, and celebrate. Welcome to Forsyth Barr Stadium at University Plaza: New Zealand’s newest, largest and most versatile indoor events arena.”
Forsyth Barr Stadium, Facebook 22 July 2011 at 17:06

Posted by Elizabeth Kerr

5 Comments

Filed under Architecture, Business, Concerts, Construction, CST, DCC, DCHL, DCTL, DVL, DVML, Economics, Events, Media, Name, New Zealand, ORC, ORFU, People, Politics, Project management, Property, Site, Sport, Stadiums, Town planning, University of Otago, Urban design, What stadium

ODT preamble on Davies story

UPDATED POST 30.9.12

Released via Twitter.

### ODT Online Sat, 29 Sep 2012
Stadium boss fires some parting shots
David Davies is a happy yet frustrated man. The former Dunedin Venues Management Ltd chief executive has ended nearly three years as the public face of the Forsyth Barr Stadium, but not before firing some parting shots in an exclusive interview with Otago Daily Times reporter Chris Morris. He has precious memories of his time in Dunedin, insisting the city would – in time – be convinced one of the most controversial projects in its history was worth it. But Mr Davies admitted to “mixed feelings” about the results of his time at DVML, and urged the city to do more to work together if its citizens wanted to make the most of the stadium.

For the full story, buy today’s Otago Daily Times.
ODT Link

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Former Dunedin Venues Management Ltd chief executive David Davies is winging his way back to England after firing some parting shots in the Forsyth Barr Stadium debate. He gave his final interview to reporter Chris Morris.

### ODT Online Sun, 30 Sep 2012
Promises, politics and the stadium
By Chris Morris
David Davies is flying home a happy yet frustrated man. The former Dunedin Venues Management Ltd chief executive last night boarded a plane for England, ending nearly three years as the public face of the Forsyth Barr Stadium.[…]Since arriving, Mr Davies said, he had confronted unrealistic promises and expectations about the venue, a flawed funding model and, in some cases, a lack of political will to do what was needed. “I came here to do a job I have never been able to do, for various political reasons. I go back happy with my time here, but disappointed that I wasn’t allowed to do the job that I was recruited to do.”[…]The details of any settlement package with Mr Davies were not yet known, and he was coy when asked about his future.
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### ODT Online Sun, 30 Sep 2012
Chin: no regrets; Cull: need lure
By Chris Morris
Former Dunedin mayor Peter Chin rejects claims Forsyth Barr Stadium was oversold and says he has no regrets over the decision to build it. However, the man who replaced him as mayor, Dave Cull, has reiterated his belief the stadium model was designed “to convince people to build it”, and says changes are needed. That could include a new events fund to pay incentives to lure promoters to Dunedin, which would be considered as part of the review of the stadium and Dunedin Venues Management Ltd.
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Posted by Elizabeth Kerr

33 Comments

Filed under Business, DCC, DVML, Economics, Media, People, Politics, Project management, Property, Site, Sport, Stadiums

DVML report: $1.9 million loss

### ODT Online Wed, 9 May 2012
Dunedin stadium posts $19m loss
By Chris Morris
The size of the financial hole occupied by Dunedin Venues Management Ltd – the company tasked with running the Forsyth Barr Stadium – has been confirmed. Figures released at a media conference this afternoon showed the company had lost $1.9 million in the first six months of the 2011-12 financial year. Projected full-year results were yet to be released, but were expected to be worse.

Losses were now also expected for the following two financial years, and expected to be confirmed when DVML released an updated statement of intent later today.

Read more + Video

Posted by Elizabeth Kerr

60 Comments

Filed under Business, Concerts, DCC, DVML, Economics, Events, Media, ORFU, People, Politics, Project management, Property, Site, Sport, Stadiums

Cull’s rosy future, at stadium…

Attempts to question Mr Davies about his working relationship with the Dunedin City Council and Carisbrook Stadium Trust were initially blocked by a communications contractor working for DVML, who interjected to stop the question at yesterday’s press conference.

### ODT Online Fri, 4 May 2012
Mayor promises stadium shake-up
By Chris Morris
Forsyth Barr Stadium and the company running it are in for a reorganisation, after the shock announcement chief executive David Davies plans to quit Dunedin. Dunedin Mayor Dave Cull yesterday confirmed a review of the stadium and the company that ran it, Dunedin Venues Management Ltd, would be unveiled within weeks and completed later this year. The review would look at the financial, operating and governance models of the stadium. It was expected to spell changes for DVML and whoever replaced Mr Davies as chief executive, Mr Cull confirmed.
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The David Davies era (via ODT)
• Appointed chief executive of Dunedin Venues Management Ltd in October 2009.
• Selected from 92 candidates after an international recruitment drive that cost Dunedin City Council about $66,000.
• Role includes running Forsyth Barr Stadium and other council venues under DVML umbrella, including Dunedin Town Hall once reopened.
• Plans to quit confirmed on Wednesday, citing family reasons.
• Will continue until March next year to prepare succession plan.

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### ODT Online Fri, 4 May 2012
Stadium hits a few speed bumps
By Chris Morris
The fans have flocked in, but the road has been rocky for David Davies since the opening of the Forsyth Barr Stadium. Chris Morris looks back. David Davies says his sense of humour has proved invaluable. It perhaps explains why he smiles when asked about criticism of the Forsyth Barr Stadium project, and himself personally, after two and a-half years in Dunedin. The questions came at yesterday’s press conference, as Mr Davies explained the reasons behind his shock decision to quit his post and return to England next year.
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Posted by Elizabeth Kerr

6 Comments

Filed under Business, CST, DCC, DVML, Economics, Events, Media, People, Politics, Project management, Property, Site, Sport, Stadiums

Stadium Open Day 11 June – images/hype/so on

11.6.11 ODT Online: Video: Stadium Open Day

Over 10,000 people took the chance to look around Forsyth Barr Stadium on Saturday.

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### ODT Online Mon, 13 Jun 2011
Stadium: Positive vibes, but still work to be done
By Debbie Porteous
Thousands of people had a peek inside Dunedin’s newest sporting arena on Saturday. Forsyth Barr Stadium is due to be completed by August 1, and people were allowed to the edge of the grass to make their own assessment of progress so far. A gold-coin stadium entry donation raised a little more than $21,000 for the Otago Medical Research Foundation.
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Stadium open day photos…

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Remember when Vbase was floated to the good citizens of Dunedin as the sort of model DCC might want to adopt for the managment of the stadium and other council-owned venues?

Media Release
Joint Statement from Christchurch City Council and Vbase Ltd

10 June 2011

Christchurch City Council and Vbase Ltd today confirmed the Vbase business will now be governed and managed by Council. The decision is a result of Vbase’s deteriorating financial position due to factors outside of the company’s control. Vbase has been impacted by changes to the tax law around the eligibility of depreciation on buildings and also by the February earthquake with three of its four venues closed. Today’s decision by Council was based on achieving the most cost effective outcome. Vbase Ltd owns and commercially manages the Christchurch Convention Centre, Christchurch Town Hall for Performing Arts, AMI Stadium and CBS Canterbury Arena for community benefit – economically, socially and culturally.
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### tvnz.co.nz 6:06AM Monday June 13, 2011
Christchurch’s Vbase downsizing, jobs to go
Source: ONE News/Newstalk ZB
Vbase staff will be given more details on the considerable downsizing of the business today. The company, which runs four key Christchurch venues, is being disestablished with the city council taking over its functions. Vbase chief executive Bryan Pearson has said there will be a large number of job losses.
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Posted by Elizabeth Kerr

3 Comments

Filed under Architecture, Construction, Design, DVML, Economics, People, Politics, Project management, Site, Sport, Stadiums, Urban design

New CE for Dunedin Venues Management Ltd

### ODT Online Thu, 8 Oct 2009
Excitement of Dunedin stadium lures Welshman
By Chris Morris

The Welshman head-hunted to manage the Forsyth Barr Stadium says Dunedin is yet to realise the pulling power of the new venue. David Davies (50) is expected in Dunedin next month to take up his new role, which was confirmed after a four-month international search, consideration of 92 candidates and shoulder-tapping by recruitment company Sheffield.
Read more

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### ODT Online Wed, 7 Oct 2009
DCC appoints chief executive for stadium

Dunedin Mayor Peter Chin today announced the appointment of a new chief executive to manage the stadium and other council-owned venues. Welshman David Davies would be in charge of the newly created Dunedin Venues Management Ltd (DVML), that oversees the $198 million Forsyth Barr Stadium, Dunedin and Edgar Centres.
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Post by Elizabeth Kerr

5 Comments

Filed under Concerts, Economics, Events, Fun, Project management, Stadiums