Nelson City Council has negotiated a contract variation with Trafalgar Centre manager CLM for the NBS Nelson Giants to retain food and beverage rights until 30 June 2027, which is the remainder of the contract term.

The variation will also apply to other anchor community users of the Trafalgar Centre – Dancing for a Cause and Te Tauihu o te Waka a Maui Māori Cultural Council kapa haka. This variation was approved by the Tenders Committee on Tuesday, 27 May 2025, and has now been signed.

Nelson Mayor Nick Smith says the NBS Nelson Giants are an important Nelson icon and the longest competing team in the National Basketball League.

“They are an anchor tenant of the Trafalgar Centre and it’s important our management contract enables them to use the facility and be financially sustainable. We have also negotiated an exemption to the food and beverage component for two other regular community users – Dancing for a Cause and kapa haka.

“I appreciate the goodwill shown by CLM, the Giants and Council staff as well as the support of Councillors that has enabled us to reach this pragmatic solution.”

Nelson City Council Chief Executive Nigel Philpott is pleased Council was able to work quickly to find a solution.

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“The decision to grant CLM food and beverage sales at Trafalgar Centre was made as part of Council’s drive to reduce rate increases for Nelson residents and businesses during what continues to be a very difficult time financially for many in our community. The Trafalgar Centre costs Council about $2.5 million a year, offset by $500,000 in user fees. There is no requirement for Council to engage with users when negotiating a new contract but, in hindsight, it should have occurred. We’ve listened and responded with a solution.

“Council staff had already acted swiftly to negotiate a variation for the current season, once the impact on the Giants became clear, and Elected Members have now agreed to extend this arrangement until the end of June 2027.

“Fortunately, the contract negotiated between CLM and Nelson City Council last year resulted in savings to the ratepayer. Some of these savings will need to be sacrificed to implement the new contract variation, but overall the cost to ratepayers will still be less than under the previous contract.”

NBS Nelson Giants Head Coach and General Manager Michael Fitchett says he’s relieved Council has listened to the concerns of the team and the wider community and acted quickly.

“We are extremely thankful for the support of the Council, both Elected Members and staff, to help us find a solution quickly. The support we received from the local community was truly humbling, and to have the immediate future of the Club secured is a huge relief. We thank Mark and his team at CLM for their ongoing support. We are proud to have them as part of our group of Major Partners. The Trafalgar Centre is the best venue in the NZNBL, and we look forward to many more years of putting on the same family friendly entertainment we have been providing for the past 43 years.”

Mayor Nick says the variation is a fix for the existing contract only.

“Council needs to carefully consider its long-term strategy for the Trafalgar Centre and how we balance it being a premier venue for attracting national shows while also being accessible for community events. The objective will be to maximise its use and ensure it is affordable for our community groups while minimising the costs to the ratepayer.”

The Venues Management Contract was awarded to CLM in 2024, following a robust procurement process. The Ccontract has a term of three years, with an option to extend for an additional three years.

The contract provided opportunities for the contractor to generate additional income, offsetting a large portion of the cost of delivering this contract and reducing the burden on ratepayer funding.

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