The Tasmanian government is in search of private capital to fund the ambitious Macquarie Point precinct development, which includes the construction of a 23,000-seat roofed stadium. Private firms are set to compete for the chance to partner with the government in what is anticipated to be a lucrative public-private partnership agreement.
Plenary Group, led by Managing Director Damien Augustinus, is among the contenders expressing interest in delivering the Macquarie Point precinct, encompassing the stadium. The government's consideration of public-private partnership procurement for the project has garnered support from stakeholders like Augustinus, who sees it as a golden opportunity for collaboration between the public and private sectors.
The competitive bid process for the partnership rights will likely draw significant interest from big players in the private capital sector, aiming to secure the opportunity to oversee the financing, management, and maintenance of the precinct over a long-term contract period. With the government capping state taxpayer funding for the project, private investment exceeding hundreds of millions of dollars will be essential to cover the significant costs of the development.
The public-private partnership model, similar to that established for Perth Stadium in Western Australia, is designed to allocate most of the project risk to the private sector while ensuring government ownership of the assets. The consortium selected for the partnership will be responsible for the precinct's operational aspects, while the government is set to make payments over the contract duration, likely spanning 25 to 30 years.
The proposal for the Macquarie Point precinct development at Tasmania's Hobart stadium aligns with crucial requirements, including the construction of a 23,000-seat roofed stadium and provisions for social and essential worker housing. As the bidding process progresses, various ideas for the mixed-use precinct, such as a convention center and hotel, will be presented by potential partners to meet the stipulated project criteria.