This article is from the Australian Property Journal archive
CLEMENT Lee’s Asset1 group has bought the 13,200 sqm North Wharf site from the Victorian government for $28.5 million, and the astute developer has plans for a $250 million plus mixed-use project.
Minister for Finance Robin Scott said the sale to the existing tenant Asset 1 WTH – part of the Riverlee Group, would enable the redevelopment of the North Wharf precinct.
“The North Wharf area has long been inactive, and has previously been labelled as the missing link between Melbourne’s North Bank and Docklands.
“The North Wharf precinct has laid dormant for far too long and remains the final piece of undeveloped land along the North Bank.
“This sale will fulfil the Government’s long-term vision to create a new social hub and waterfront destination,” Scott said.
Asset 1 secured a 99-year leasehold over the site in 2011 and this transaction will see the company buy the freehold.
The minister said the sale price was assessed by the Victorian Valuer General and the sale process endorsed by the Government Land Monitor.
The North Wharf site adjoins Lee’s WTC precinct, an investment which has delivered a windfall for the developer.
Lee and his partner Luke Adams bought the precinct in 2005 from Macquarie Bank for $112 million. In the same year, they sold the first office tower to SAITeysMcMahon for $71 million.
Last year, Lee sold a 70% interest in three office towers at WTC to Abacus Property Group and global private equity firm KKR last year for $120.4 million.
Riverlee founder Clement Lee yesterday told Property Review that the purchase of the site is the final piece in the group’s long-term vision.
“The North Wharf concept is the final part of our long term vision to revitalise Melbourne’s North Bank precinct,” he added.
In 2011 Lee secured a 99-year leasehold over the site and obtained approval for a mid-rise 25,000 sqm building including 20,000 sqm of office and 3,200 sqm of retail space.
Riverlee now plans to develop a $250 million plus waterfront mixed-use residential and retail development with a new public park, which is subject to planning approval. The plans include refurbishing the heritage listed Shed 5 and historic wharf along with the overhead crane. Wharf remediation works will commence in 2016.
“The area has long been inactive and has previously been labelled the “missing link” between Melbourne’s North Bank and Docklands. We have plans to activate and revitalise the area in the next few months, prior to completion of the public domain works.
“As part of our pre-activation plan, we have partnered with the team behind The Red Hummingbird and the former Emerald Peacock who will temporarily occupy and activate the area. Aptly named ‘Find The Wharf’ (F.T.W) the temporary pop-up will be a summer destination with food and beverage offerings, as a prelude to the rejuvenation of the area,” he continued.
“Riverlee is committed to making North Wharf a reality and will be working closely with Government and local stakeholders to deliver the project and public amenity ensuring the betterment of the community.
“Our vision is to deliver an integrated and iconic precinct; a new waterfront destination for Melbourne.” Lee said.
Australian Property Journal
