City of Newcastle administration building and relocation costs revealed as $17.6m

City of Newcastle has revealed the cost of its move from the Roundhouse to its new home in the city’s west.

City of Newcastle’s new headquarters in Newcastle West. Picture: Troy Snook.

In a big reveal for Newcastle City Council, it has now divulged the multimillion-dollar spend on its brand new headquarters at Newcastle West.

In a bid to be more open and transparent with how taxpayers money is being used, the council finally opened the books to disclose it has spent $17.6 million all four projects associated with the big move to 12 Stewart Ave by staff last year.

City of Newcastle’s new home at 12 Stewart Ave. Picture: Troy Snook.

City of Newcastle said the move was divided into four projects: office space for 450 staff at $8,389,994, a local emergency operations centre at $2,173,982, a digital library at $3,267,465, and a council chamber at $1,041,824.

Newcastle Council CEO Jeremy Bath.

The council also revealed it paid its contractor, Graphite Projects, $2,749,827 for all four projects, as well as associated costs including signage and flagpoles, taking the total cost to $17.6m

But council chief executive Jeremy Bath said the move was cheaper, or comparative to projects undertaken by other nearby councils.

“Lake Macquarie City Council is spending $17.8m on their fit-out, Mid Coast Council has budgeted $20m and Maitland’s project is budgeted at $28m,” Mr Bath said.

City of Newcastle sold its former headquarters for $16.5 million, and its Frederick Ash Building as part of a three-property deal for $9.5 million.

The funds were to be spent on community assets, such as upgrading the Newcastle Ocean Baths.

Mr Bath said the move was the council’s “first modernisation of the organisation” in more than 40 years.

“Relocating our City Administration Centre to Newcastle West has provided our staff with a new fit-for-purpose office featuring modern amenities, a flexible design, community areas and meeting rooms to encourage better communication and collaborative decision-making,” he said.

“Our level one customer service centre reflects our move towards enhancing the experience community members have when transacting business with city staff and has been co-located with the most digitally advanced library in NSW to provide our community with access to state-of-the-art technologies.”

The moved involved the relocation of 450 staff. Picture: Troy Snook.

City of Newcastle said in 2017 the new five-storey, 5550 square metre complex would cost $7 million.

At the time, Mr Bath claimed the move would save $14,000 per year, per staff member, by uniting workers from different locations.

But by 2019 it was revealed the cost of the project had blown out, with the trade bill alone passing $8.5 million.

City of Newcastle moved from its previous headquarters in October last year. Picture: Darren Pateman.

City of Newcastle moved from the former City Administration Centre, often referred to as the Roundhouse, in October 2019.

Council staff were also moved from the heritage-listed Frederick Ash Building, City Hall and 473 Hunter St.

Mr Bath last year described the move as a success, and said staff adapted quickly to their new workplace.

An artist's impression of Kingsley, the five-star hotel planned for the existing City of Newcastle headquarters. Picture: Supplied/Crystalbrook Collection.

The council’s move allowed developers to begin work transforming the Roundhouse into a five-star hotel, set to open next year.

A rooftop restaurant and bar with panoramic views over the city were planned for the 130-room Kingsley Hotel.

Operator Crystalbrook Collection announced it was hiring staff across a number of departments, with roles beginning from January.