A beach on New Zealand’s north island (Wikimedia Commons/Dschwen)

Hochtief to build $527m PPP prison in New Zealand

13 June 2018 | By GCR Staff 1 Comment

Subsidiaries of German construction firm Hochtief have been selected to build the Waikeria Corrections and Treatment Facility in New Zealand, as part of a public private partnership (PPP) project.

CIMIC Group, Hochtief’s Australian subsidiary, has led the development of the $527m project, with subsidiaries Pacific Partnerships providing equity financing for 25 years and CPB Contractors undertaking design and construction duties.

The Waikeria Facility will be built on the site of an existing prison on New Zealand’s upper North Island and will provide accommodation for 500 inmates; there will also be a secure mental health unit.

Hochtief says the project is part of the New Zealand Government’s efforts to deliver a “more effective and humane justice system”.

Michael Wright, CIMIC Group’s chief executive, said: “Our New Zealand team has been working with the client on various scenarios that will ensure the Department of Corrections achieves its objectives for improved education, rehabilitation and enhanced mental health services.”  

Construction is due to start in the third quarter of 2018, with completion set for 2022.

Image: A beach on New Zealand’s north island (Wikimedia Commons/Dschwen)