Whanganui Gallery Redevelopment Hits $79.4 Million Mark

Whanganui ratepayers will contribute approximately $26 million to the final cost of $79.4 million for the redevelopment of the Te Whare o Rehua Sarjeant Gallery. This significant project, which includes an overspend of $19.67 million, aims to restore, upgrade, and strengthen the 106-year-old gallery while constructing a modern extension known as Te Pātaka o Tā Te Atawhai Archie John Taiaroa.

On October 12, 2023, project director Gaye Batty presented a final report to the Whanganui District Council’s operations and performance committee. The council initially committed $5 million to the redevelopment in 2015 and guaranteed the project in 2017 to secure central government funding. With the final calculations, the total cost to the council will be $26.08 million, including the initial commitment.

Mayor Andrew Tripe noted that having ratepayers cover only a third of the total cost is an extraordinary outcome, with the remaining two-thirds coming from fundraising efforts. He remarked, “There aren’t many civic projects that get that level of investment from external sources.”

The project’s original budget in 2019/2020 was $55.06 million, which included a $5.15 million contingency. Since then, the project has faced numerous challenges, leading to significant delays and cost increases primarily due to the complexity of upgrading and seismic strengthening the original building. The timeline for completion was extended by 21 months.

Batty explained that the increased costs stemmed from various factors, such as existing building conditions, the impacts of Covid-19, and design variations, particularly concerning mechanical design changes. The final project cost forecast to November 2025 is now $79.4 million, with two-thirds of the additional costs attributed to the existing structure and other unforeseen challenges.

Tripe emphasized that the project would not have progressed without the dedication of the Sarjeant Gallery Trust and the funds raised through donations and government grants. “Despite Covid lockdowns, inflation, and construction delays, we now have an award-winning cultural facility that’s already generating value for our community and local economy and will do so for a hundred years and more,” he stated.

The gallery officially opened in November 2024 and has received international recognition, including being named one of the world’s top 10 cultural hotspots to visit in 2025 by National Geographic. The chief executive of the Whanganui District Council, David Langford, reported that the gallery is exceeding all expectations. A recent survey indicated that nearly 60 percent of visitors are from outside the district, with most staying for over three nights, contributing an estimated $17.6 million in annual economic impact.

Last week, the visitor count reached 100,000, with survey results showing a 96 percent satisfaction rate. Revenue generated from the gallery’s café, retail shop, and venue hire has already surpassed $700,000, aiding in offsetting ongoing operational costs.

Langford described the five-year redevelopment as one of the council’s most complex and rewarding projects undertaken. “We were restoring and strengthening a fragile heritage building on a sandhill during a global pandemic,” he noted. Despite the challenges, the project was completed to a high standard with full transparency regarding costs and timeline impacts. He further highlighted that employing local contractors injected an estimated $20.7 million into the Whanganui economy, with the construction period generating a wider economic impact of $49 million to $55 million.