Auckland Council headquarters on the move
The council yesterday confirmed the purchase of the 21-year-old tower for $104 million.
It said the purchase was a unique opportunity for a sound investment.
Council chief executive Doug McKay says it will produce "significant savings for ratepayers now and in the future".
Savings are estimated at $2.7 million annually for the next 10 years. The council’s CBD accommodation budget annually is approximately $23.7 million.
The council says it will make savings by housing more staff in a single building as CBD employees are currently scattered across seven locations.
The prior arrangement of ad hoc combinations of leases and owned buildings had to end as it was too expensive, Mr McKay says.
The new headquarters is estimated to hold 2400 staff and provide 1200sq m of dedicated "civic space" for meetings and functions.
The council will retain existing properties Bledisloe House, Graham St and the Town Hall.
The fate of the Civic building is yet to be determined and the council says it will consider the structure’s architectural merit when making a decision.
A final settlement of the ASB Tower deal is expected this month and workers are expected to make the move in late 2013 when lease agreements expire.