Australian department chain, David Jones, has overspent on its first New Zealand location, with management refusing to budge on its vision of creating the world’s most beautiful department store.

"It cost a lot more than we wanted but it's a great space and will be one of the most beautiful stores in the world,” said David Thomas, chief operating officer, David Jones.

The company paid $428,000 to take over Kirkcaldie & Stains’ lease and use its name, with the cost of the refurbishment estimated to be about $20million.

"We are on time to open, but, regarding the budget, we will see at the end of the project,” said Thomas.