The Terrace development had 'paused' before
The multi-million dollar Terrace project has been ''paused'' several times during its development and the latest is no different, says its backer Antony Gough.
Yesterday, Gough confirmed that the $150 million CBD flagship development was ''paused'' as cost increases and design issues were addressed.
The development already had several such ''pauses'' through its building process but Gough said the public were not aware of them.
''I'm not seeing this a negative at all - it's normal business practice but the doom sayers will say what they want.''
Work in the initial stages of The Terrace stopped for a time as research was done to decide the best and most cost-efficient way to remediate the land.
Gough said there were some additional costs in the first stage and signs that the project could cost more than originally estimated.
''You are constantly reviewing the situation, all developers are doing that,'' he said.
The Terrace development would include bars, restaurants, shops, a hotel, apartments and offices, and will eventually include 40,000 square metres of built space where up to 2000 people will work.
The project would not be scaled back, Gough said.
The first stage of the development, including two buildings facing onto Oxford Tce and a third facing onto Hereford St with retail, hospitality and office spaces, would not be completed by Christmas as initially planned.
Gough said his hospitality tenants had given him ''breathing'' room to make sure the spaces suited their needs. He hoped stage one would be completed by early next year.
''I am an optimist but it's unrealistic to think there won't be issues. I am the leader of the pack - big, brave and bold, and ready to go where others fear to tread.''
Elements like the huge amount of steel required for the project had cost more than expected and had to be folded in China due to its size, Gough said.
He had borrowed nothing on the project and all sub contractors would be paid up next week.
''We are trying to get this up as soon as possible. I realise it's important for Christchurch but it takes a long time to pull this together.''
All office space for stage one had expressions of interest as did about 80 per cent of hospitality spaces.
Gough said he would not develop all stages himself and was negotiating with different parties to take on the hotel aspect of the project.
''I don't think people should read too much into this.''