Transforming the Gracefield site
This business case sought approval to invest $180 million to redevelop the Gracefield Innovation Precinct in Lower Hutt, in order to further the development of the High Value Manufacturing and Services (HVMS) sector, in pursuit of the export growth and innovation goals in the Government’s Business Growth Agenda (BGA).
The Gracefield site presented both a significant opportunity and a clear set of constraints that needed to be addressed to unlock its full potential.
The Gracefield site, inherited by Callaghan Innovation, holds significant potential but is currently not performing to its full value. While it has strong strategic advantages, the existing buildings and layout are dated, underutilised and no longer fit for purpose.
As it stands, the site does not adequately support the operational needs of Callaghan Innovation or the wider HVMS sector. Its current configuration also limits the cross-disciplinary and inter-sector collaboration that is central to a modern innovation precinct.
The key challenge was therefore to determine how the site could be re-purposed and transformed – balancing its inherent strengths with its current constraints – to better support future innovation, collaboration and long-term value creation.
Our role was to provide the detailed analysis and implementation planning needed to move the project from concept to delivery.
We developed a Detailed Business Case that translated the preferred investment option into a practical, deliverable plan for the Gracefield Innovation Precinct. Building on the earlier Indicative Business Case, we strengthened the strategic rationale, refined the preferred option, and provided the level of detail needed to support investment decisions and implementation.
The business case set out a clear pathway for procurement, funding, project delivery and governance, giving Callaghan Innovation the confidence to progress the precinct from concept to reality.
We worked alongside technical experts and government stakeholders to ensure every aspect of the business case was grounded in robust evidence and practical implementation.
We built on the foundations established in the Indicative Business Case, updating the strategic case to reflect new information and refining the preferred option through detailed analysis and stakeholder input.
Working alongside Callaghan Innovation and specialist advisors, including architects, engineers, quantity surveyors and procurement experts, we developed the commercial, financial and management cases required to support implementation. This included defining procurement and delivery approaches, assessing funding requirements and financial impacts, and developing an initial programme for staged delivery.
Throughout the process, we collaborated with government stakeholders to ensure the business case aligned with investment expectations and public sector requirements, resulting in a robust, investment-ready plan for the Gracefield Innovation Precinct.
Following strategic and governance review, the programme has secured Government investment to progress the transformation of the Gracefield Innovation Quarter.
In 2019, the Government has committed significant investment to the redevelopment of the Gracefield Innovation Quarter, supporting its transformation into a modern, collaborative innovation precinct. This investment enables upgraded facilities, improved infrastructure and new flexible spaces designed to strengthen research capability, increase collaboration across sectors, and unlock greater value from the site for both Callaghan Innovation and the wider innovation ecosystem.
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