
Members of Kamloops City Hall and Council take part in a ground breaking ceremony for the Kamloops Centre for the Arts, November 30, 2025/via Paul James
Kamloops council has given its approval to a nearly $170 million dollar budget to build — what could just be the start — of the long-discussed Arena Multiplex in Dufferin.
At the same time, council is also collectively beaming amid word the long-controversial Kamloops Centre for the Arts isn’t becoming any more of a liability — both financial and political — for those on council who supported its forward momentum.
In a revelation that should be welcome news for taxpayers, a new staff memo updating City Council on the progress being made on the Arts Centre shows that construction is around $5 million under budget thus far.
Those savings are being largely attributed to tender packages coming in lower than expected, as well as the process the City is using to build the Arts Centre, which is to keep ahead of any major price spikes or fluctuations through what’s known as the Integrated Project Delivery model.
As the City works through that process, and reports running into very little in the way of unforeseen problems as the pit grew deeper and deeper, with the City noting that — despite suggestions to the contrary — that they were well prepared for what was likely to wait for them below.
“When the City began the validation process in February 2024, it immediately commissioned a detailed ground survey, geotechnical investigation, and off-site and on-site civil engineering work, which was needed to validate and design the project to a high degree of certainty,” said the City on its Let’s Talk page.
That Let’s Talk Page now includes staff time being spent debunking mis-information campaigns that are being nurtured through social media, including suggestions the the grade of the hill the foundation is cut out of wasn’t understood and has set the project over budget, and on a collision course with potential flooding.
- Photo of the former Elks Lodge building on 4th Avenue as seen from the pit dug for Arts Centre in August, 2026/via City of Kamloops
- The original Elks Lodge as seen from the pit dug to build foundation of The Hudson’s Bay Department Store on Seymour, April, 1956/via Kamloops Museum and Archives
“The Kamloops Centre for the Arts facility has a complex pedestal comprising the foundations, parkade, and below-grade elements that support the superstructure,” noted the City in its myth-busting efforts on its website. “This part of the project poses the greatest risk and is a key focus area in the design.”
The City argues a lot of thought went into how the below-ground portion of the project was going to work.
“The superstructure’s footprint consumes a very large area and is filled with large, open spans designed to support and optimize theatre performance,” said the City. “This requires highly complex construction with significant implications for the building’s below-grade components.”
“These elements—now fully detailed in the comprehensive design package completed during the validation/design process—include provisions for managing conditions below the water table,” added the City.
The City’s Infrastructure Delivery Divisional Manager Matt Kachel has told Radio NL now that they’ve gotten past the high-risk excavation phase of the project without any major snags, the next step people will notice is the actual shell of the building start to take shape.
“Starting to build the tower crane and get prepared to put the footings in, and then we’ll start building our way out of that hole,” said Kachel. “The crews totally switch, the drilling and shoring and excavation crew they’ll leave and then the steel workers and concrete trades will come in and start their part.”
As they are doing that, a report before Council on Tuesday suggests the lack of any major hurdles or headaches in digging through the foundation of what was once The Hudson’s Bay building, and later the Kamloops Daily News building, has saved the project about $5 million in expected costs.
Cost estimates for Arena Multiplex unveiled
Up the hill from the Arts Centre location in the Dufferin area, the City of Kamloops is now able to put out a more firm budget for the creation of the Arena Multiplex off of Hillside Drive near KRCC.
It’s base budget for a facility which will initially include three NHL-sized ice surfaces, on top of a space for the TNRD’s ever-expanding library services, is $161.6 million.
However, there are options to expand beyond that if the City council so chooses.
- Base Program (3 NHL-sized ice sheets): $161.6 million
- Recommended Program (3 NHL-sized + 1 mini rink): $168.1 million
- Future State (Indoor 5-sheet): $188.2 million
The site itself is going to butt up against Kenna Cartwright Park, which means part of it is being carved into the side of the hill to ensure that when the ice surface is flooded, the water doesn’t pool up at one end.
But Matt Kachel with the City says that doesn’t mean it has to be cut down to the same elevation as Hillside Drive.
“People have given me the impression that they think we’re basically cutting that site down to the road level,” noted the Infrastructure Manager. “What’s happening is the road’s gonna rise up and it’ll ramp up into the site a bit.”
“We’ve gotta cut some stuff down and level it out, but we’re not taking all that dirt out of there,” pointed out Kachel.
- Artist rendering of concourse inside Arena Multiplex in Dufferin/via City of Kamloops
- Artist rendering of Arena Multiplex off Hillside Drive in Dufferin/via City of Kamloops
- Artist rendering of one of three large ice surfaces as part of Arena Multiplex design/via City of Kamloops
In the staff memo to Kamloops Council, there is still an expectation of ground being broken on the actual facility’s construction sometime this year.
Through its Integrated Project Delivery Model, the City of Kamloops expects to save roughly 8% on construction for the Multiplex.
The city has secured $153.5 million in funding for the base project so far, comprised of $125 million in debt, $20 million in donations, $4 million from reserves, and $4.5 million from the Thompson-Nicola Regional Library.
The memo notes the remaining $8.1 million required to complete the base program will not be needed until 2029, providing staff with flexibility as to when it wants to secure the funds, as there is the potential for lower interest rates and cheaper borrowing before now and then.
Integrated Project Delivery Model
Integrated Project Delivery Model
The City of Kamloops is using a new team-based approach to keep costs down as it builds the new arena multiplex and arts centre.
Instead of the usual bidding process, the city is using something called an Integrated Project Delivery model.
This model changes how big city projects are built by forcing everyone to work together from day one.
In a normal build, the city hires a main contractor who then quietly picks their own workers without the city watching.
The new model puts the city, the designers, and the builders at the same table right from the start.
Everyone must agree to open and fair bidding for every single piece of work, and the city gets a say in all of it.
How the New Model Saves Money
The biggest benefit of this model is how it breaks a massive project into much smaller pieces.
Instead of handing a giant cheque to one main builder, the team gets separate bids for things like elevators, concrete, and even waste bins.
This creates fierce competition among local companies, which drives down the overall price.
It also lets the team buy important materials months in advance to lock in lower prices before costs go up.
As is outlined in the Kamloops Centre for the Arts Memo, if a part of the project comes in under budget, the main builder does not just pocket the extra cash.
Those savings go back to the City, giving council the choice to borrow less money or pay for extra upgrades.
The Financial Proof
City staff point to recent studies in the Arena Multiplex Validation Memo to show why this extra teamwork is worth the effort.
- Standard Costs: A recent review found that normal arena projects cost an average of $9,298 per square metre.
- Kamloops Savings: By using the new model, the Kamloops arena multiplex is expected to cost $8,615 per square metre, saving the city about 8%.
- Normal Failures: Data shows that more than 90 per cent of normal projects over $100 million go over budget, sometimes by as much as 80 per cent.
- New Model Success: In contrast, fewer than 10 per cent of projects using this new model go over budget, and many actually finish with leftover money.
To keep everyone honest, the City can send out independent accountants to check the builders’ books at any time.




















