Cape Town Announces Preferred Bidder for Stadium Construction

The City of Cape Town has announced the joint venture of Murray & Roberts and WBHO (Pty) Ltd as the preferred bidder for constructing its 68 000 seater multi-purpose stadium in Green Point. The tender has not been awarded.

The tender price of Murray & Roberts and WBHO adjusted for tender qualifications and without VAT and contingencies is projected at R2 746 665. The total project cost including allowances for qualifications, escalation, contingencies, professional fees, insurance and temporary works required by FIFA amounts to R3,73 billion.

The City's Bid Adjudication Committee recommended that the City Manager approves the preferred bidder and authorises the head of the City's 2010 team, Mike Marsden, to start negotiating with the consortium. The negotiations with the preferred bidder will be to actively interrogate their tendered price, rates and qualifications to achieve a reduced total overall cost. The estimated cost for the stadium in the joint City and Provincial 2010 business plan is R2,49 billion and funding committed by the three spheres of government totals R2,48 billion.

The negotiations with the preferred bidder will start as soon as possible. When the negotiation process has been completed, a further report will be submitted by the City's 2010 World Cup team to the Bid Adjudication Committee with a view to awarding the tender. The Municipal Management Finance Act determines that tenders can only be awarded if all funds for the project are available.

According to the timeline of the Local Organising Committee, construction of the new Green Point Stadium should start before the end of March 2007 and the stadium must be completed by the end of 2009.

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Issued by:
Directorate: Communication and Marketing
City of Cape Town
Tel: 021 400 2201
Fax: 021 957 0023

Media Queries:
Dave Hugo