The before and after of the proposed transformation of the Auckland CBD area surrounding Skycity.

Construction company Fletcher Construction will build SkyCity's International Convention Centre and hotel in Auckland.

SkyCity chief executive Nigel Morrison announced the $477 million contract with the Fletcher to build and complete the design of the 32,000 square metre convention centre, the five-star 300-room hotel on Hobson St, a retail laneway linking Nelson and Hobson streets and 1327 carparks underneath the convention centre.

The projects would create an estimated 1000 jobs during the 38-month build, plus about 1140 jobs once the convention centre and hotel opened for business.

SkyCity's new convention centre and hotel will be the largest in New Zealand.

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The centre would contribute $700m to the Auckland economy.

Fletcher Construction also built the Sky Tower 18 years ago.

"Today is a watershed moment for SkyCity. This day has been years in the planning," Morrison said.

The latest indications were the company would spend $471m on the convention centre, plus $159m on the new hotel and $73m on the new laneway, airbridge, retail fit out and carparking.

The casino company was still considering financing options for the hotel.

Fletcher Building chief executive Mark Adamson said: "This is an amazing building and a huge opportunity".

SkyCity agreed with the Government to spend at least $430m constructing the convention centre in return for a range of gaming concessions, including the extension of its Auckland casino licence until 2048.

Work was expected to start by Christmas.

When completed, the convention centre will be the largest of its kind in the country, capable of hosting conventions of about 3000 people or one-off events of up to 4000 people.

The New Zealand International Convention centre exhibition hall will be five times larger than SkyCity's current exhibition hall which is the largest in the country.