Capital Insights awarded $16m project management contract for proposed Macquarie Point Stadium

A Melbourne-based consulting firm has been awarded a multimillion-dollar contract to manage the high-stakes Macquarie Point stadium project.

The site of the proposed Macquarie Point stadium. The state government has awarded a consultancy firm a $16m contract to manage the project. Picture: Nikki Davis-Jones

A consulting firm headquartered in Melbourne has been drafted to manage the high-stakes Macquarie Point stadium project, with the Rockliff government awarding the business a five-year contract to deliver the massive development.

Previously tasked with steering the Royal Hobart Hospital revamp, Capital Insight, which employs staff based in Tasmania, was one of six companies to bid for the $16m contract, signed together with the Macquarie Point Development Corporation (MPDC) last month.

The project management contract runs until December 31, 2029, about 10 months after the deadline for delivery has passed. The AFL expects the stadium to be able to host games from round one of the home and away season that year.

A concept image of Hobart's proposed stadium at Macquarie Point – the design is yet to be finalised. Picture: Supplied/AFL

The 23,000-seat roofed Macquarie Point stadium is expected to cost at least $715m to build but has been tipped to exceed $1bn. The federal government has committed $240m for the Macquarie Point urban renewal project, while the state government has capped Tasmanian taxpayers’ contribution at $375m. The AFL, meanwhile, has pledged $15m for the stadium.

Capital Insight principal project manager Jon Barnes said while it was “early days” for the development, he was “confident that the project will be managed within budget”.

“The team is currently developing a detailed program, reflective of the current design, to meet the milestones and government commitments,” he said.

The project management team, which has partnerships with Tasmanian businesses Duo Projects and Rare, will begin by working with the stadium design team, led by Cox Architecture, and the MPDC to finalise the concept design, which is expected to be released in the coming week.

Anne Beach CEO Macquarie Point Development Corporation with Stuart Harper director Cox Architecture, Peter Walker director Cumulus Studio, Alastair Richardson Cox Architecture. The Macquarie Point Development Corporation has announced the Lead Design Consultant in Cox Architecture that will design the Macquarie Point Multipurpose Stadium. Picture: Nikki Davis-Jones

Capital Insight’s first steps will also include the development of a procurement strategy for the stadium but its initial priority will be lodging a Project of State Significance submission with the state government this month.

Sport and Events Minister Nic Street said the stadium project would be staged in order to “manage costs and project progression”.

“The project management team brings comprehensive skills in design management, program management, cost management and procurement and delivery of very large construction projects,” he said.

Clark Greens MP Vica Bayley criticised the Rockliff government for committing “yet another massive chunk of taxpayer funds to progress their stadium”.

“$16m would be comfortably enough to build a brand new ambulance station, or to build dozens of much-needed homes for Tasmanians. But it won’t even scratch the surface when it comes to costs of the stadium, which will be well in excess of a billion dollars,” he said.