Government gives extra $18m to Hamilton Ring Road

The missing link in the Hamilton Ring Road just got an $18 million boost from the Government.

The $18 million will help connect Wairere Drive to Cobham Drive (State Highway 1) near Hamilton Gardens - previously described as a $30-million-plus project.

A flyover will take Cobham Drive over the top of Wairere Drive, and walking and cycling paths will be extended.

Hamilton City Council on Thursday announced what the mayor calls an "absolute bonus": $18m from the NZ Transport Agency.

"It's just absolutely fantastic. It's another $18m that we don't have to borrow for the project," Mayor Andrew King said.

That means the sum of the city's requested interest-free loan for Peacocke drops from $308.4m to $290.4m, a council statement said.

However, the Ring Road will be a stand-alone project even if council does not take up the Housing Infrastructure Fund loan.

"Our city has hugely benefited from central government and government agencies' willingness to ensure that we can activate Peacocke, and this is another step along the way," King said.

The flyover would help pedestrians and cyclists get into Hamilton Gardens safely and stop cars having to cross paths at speed, he said.

The intersection and overbridge will have on and off ramp connections, council's statement said, and will allow for future extension to the Southern Links road network and Peacocke.

It was an outstanding result, council growth and infrastructure chair Dave Macpherson said in a statement.

Big infrastructure challenges are coming and this is an example of the kind of partnerships which can be achieved.

As well as the $18m contribution, council will get the Transport Agency's normal 51 percent financial assistance rate on the rest of the project cost.