Cost hikes hit Freo Dockers’ HQ project

Estimated costs for the Cockburn ARC expansion have escalated, with the City of Cockburn having to update its business plan about nine months after releasing it to the public.

The proposed expansion was expected to cost $11.24 million but a revised business plan, released for a six-week submission period, shows the estimation has escalated to $17.5 million.

In 2019, the city commissioned a feasibility study to expand Cockburn ARC in partnership with the Fremantle Football Club (FFC), which has set up its headquarters there.

Construction of the $109 million Cockburn ARC facility was completed in 2017, with the Fremantle Dockers moving in later that year.

The project was initially estimated to cost $11.24 million but the city's business plan, released in December, updated the figure to $12.9 million.

The total project cost has been updated again to $17.5 million, under the updated business plan released by the city yesterday.

"An initial business plan was advertised on 15 December 2022 and closed on 26 January 2023," the updated business plan said.

“Since this time, market forces have caused an increase in project costs so a revised business plan has been prepared.

"The city will be signing the building contract as the principal and the building contract will relate to both the expansion of the city areas and the FFC areas.

"The parties will enter into a development agreement in relation to the expansion and the city will procure the works."

The Fremantle Dockers' component of the upgrade will include gender-neutral change rooms and amenities, a spectator seating area, toilets, and a multipurpose room.

The City of Cockburn’s portion of the upgrade will include a gym floorspace increase, modifications to the group fitness and indoor cycle studios, and relocating the administration spaces.

“From an economic impact with an output of $17.5m, the corresponding creation of jobs is estimated to be 86," the business plan said.

“The FFC’s AFLW team currently uses makeshift community changeroom facilities originally built to service the Cockburn ARC indoor stadium facilities.”

According to the updated business plan, the city’s areas would cost about $10.5 million while the club’s portion will cost $7 million.

The club’s $7 million fund comprises $2.5 million from the state government, $3.85 million from its own cash pool, and $650,000 from the WA Football Club or AFL.

“FFC have requested access to a capital contribution of up to $1m through the city, without penalties for early payout and/or capital contributions,” the business plan said.

“The parties will be varying FFC’s existing lease documents to take into account the expansion of the FFC areas, the existing management and operations agreement will also be varied to take into account the shared usage arrangements that apply to the new FFC areas.”

The December 2022 business plan estimated the city’s cost to be $6.8 million and $6.1 million for the Fremantle Dockers.

Fremantle Dockers chief executive Simon Garlick yesterday said the club was fortunate and grateful to be with the city.

"The growth that is going to occur in this region is phenomenal," he said during a conference.

"For us to be here in this area, there couldn’t be a better place for a club like ours.

"Local government authorities that have an AFL football club see themselves as incredibly fortunate.

"It is the progressive nature, contemporary outlook, willingness to try things and invest – we see it on a daily basis."