Local Govt | National News Video | Parliament Headlines | Politics Headlines | Search

 


Waikato Innovation Park Contributed Over $100m to Region

Waikato Innovation Park Contributed More than $100m to Region Over Past 10 Years

According to a 10 year economic impact report, the Waikato Innovation Park has brought $16M of establishment funding into the region and employee-related benefits from those working at the Park have contributed more than $100M to the regional economy.  

The report, carried out by the Institute for Business Research at the Waikato Management School, outlines the Park’s direct and indirect contributions to Waikato’s economy since its establishment in 2002 through to 2012. 

In addition to quantifying the Park’s decade of economic contributions, the report estimates future contributions.  One of the most significant is from its milk powder dryer which was launched in 2012 to help food companies with new product development.  Within the next three years the report estimates the dryer will contribute an additional $63M in milk powder exports to the region.

The report also forecasts that the Park’s operating revenue is set to increase from $4.027M in 2012 to $5M by 2015.  Assets are projected to nearly double to $61.4M by 2015.

Current and projected employee benefits, which have been based on an average remuneration package of $100,000 and a multiplier of 2.4, are forecast to contribute a further $20M over the next three years. Employee numbers are also expected to nearly double to 800.

Led by Waikato Management School Professor Frank Scrimgeour, the report builds upon an economic impact study conducted in 2007 which analysed the Park’s first five years of operation. 
Professor Scrimgeour said the report confirms that the Park’s annual operating revenue has improved consistently over the past 10 years. 

“Consequently this is improving the Park’s future economic viability and is leading to an improved equity situation, improved asset values and the potential to expand with new buildings, tenancies and initiatives like the new milk powder spray dryer.

Waikato Innovation Park chief executive Stuart Gordon said the Park had grown from an idea with no staff and no physical assets to an economic entity with a balance sheet of total non-current assets of $22.6M in 2012.

“The core facilities building was completed in two stages over 2003 and 2004 and the Tetra Pak building was completed in 2009. Today the Park hosts around 54 companies employing 420 people – and there is a waiting list of tenants who would like to be based here.  We’re planning for the next stages of development and the next five years will be an exciting time of sustainable growth.”

The Park’s shareholders include Hamilton City Council and The Katolyst Group.  It was established in 2002 with financial contributions from Hamilton City Council and the Government’s former Major Regional Initiative scheme.

Mr Gordon recently presented the economic impact report to Hamilton City Council executives, councillors and Mayor Julie Hardaker.

Key Events in Park Corporate History

Company establishment:

·         Innovation Waikato Ltd – established August 2001
·         Dairy SolutioNZ (NZ) Ltd – established November 2009
·         Beef SolutioNZ (NZ) Ltd – established October 2009
·         NZ Food Innovation (Waikato) Ltd – established August 2010
·         Waikato Innovation Park Ltd – established June 2012

Changes in shareholding:

·         The Katolyst Group is the founding shareholder - 2001
·         Hamilton City Council takes ownership of 247 shares – 2009

Major establishment funding received:

·         Hamilton City Council grant $2M, March 2002
·         MED Grant, $2M, to: construct a core facilities building; establish and operate a technology commercialisation office;  and establish and operate an incubator for technology businesses,  December 2002
·         WEL Energy Trust Grant, $2M to: undertake the development of Stage 1 of Waikato Innovation Park,  June 2003
·         Industry NZ/MRI Grant, $4M (split evenly between the following), December 2008:
o   towards the cost of construction of the Tetra Pak building
o   to support the off-shore business development activity of IWL
o   $2.4 million of equity from HCC in support of the TetraPak build
o   $3.95M grant from MED to support the cost of construction of the spray dryer.

Date facilities constructed and commenced operations
1. Core Facilities Building Stage 1 - Construction completed 2003
2. Core Facilities Building Stage 2 - Construction completed 2004
3. TetraPak Building - Construction completed 2009
4. NZFIW Spray Dryer Facility – Construction completed May 2012

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Parliament Today:

Werewolf: The Defence Pretence

Last year, the world began spending more money on weapons again, for the first time since 2011... New Zealand belongs to a region – Asia and Oceania – where military spending rose sharply in 2015, by 5.4 per cent. More>>

ALSO:

Gordon Campbell: On Not Crying Foul, Argentina

So a couple of guys found to be criminally liable of environmental pollution in Argentina lodge an application with the Overseas Investment Office… in order to buy some prime New Zealand rural land. Seems that their factory back home had carelessly and/or intentionally discharged toxic waste into the Lujan river. Bummer... More>>

ALSO:

Urban & Rural: $303m To Merge And Modernise New Zealand’s Fire Services

Internal Affairs Minister Peter Dunne today announced funding of $303 million over five years to combine urban and rural fire services into one organisation from mid-2017. More>>

ALSO:

High Trust Regime: What Did The PM Tell His Lawyer About Foreign Trusts?

The Government stopped the IRD from reviewing New Zealand foreign trusts shortly after the Prime Minister’s lawyer wrote to the Revenue Minister claiming John Key had promised him the regime would not be changed. More>>

ALSO:

Road Crime: Wicked Campers Vans Classified As Objectionable

The definition of publication includes any "thing that has printed or impressed upon it, or otherwise shown upon it, 1 or more (or a combination of 1 or more) images, representations, signs, statements, or words", The Classification Office has previously classified such 'things' as billboards, t-shirts, and even a drink can. This is the first time the Classification Office has classified a vehicle. More>>

ALSO:

'When New' Repairs: Landmark EQC Settlement

The Earthquake Commission has cut a deal with 98 Canterbury homeowners that affirms the government entity's responsibility to repair earthquake-damaged property to a 'when new' state, as well as covering repairs for undamaged parts of a property and clarifying its position on cash settlement calculations. More>>

ALSO:

Gordon Campbell: On Kiwirail’s Latest Stint In The Dogbox

The denigration of Kiwirail continues. The latest review (based on a 2014 assessment) of the options facing the company have enabled Kiwirail to be hung out to dry once again as a liability and burden on the taxpayer. More>>

ALSO:

Royal Society Report: Good Opportunities To Act Now On Climate Change

There are many actions New Zealand can and should take now to reduce the threat of climate change and transition to a low-carbon economy, a report released today by the Royal Society of New Zealand finds... More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Regional
Search Scoop  
 
 
Powered by Vodafone
NZ independent news