This article is from the Australian Property Journal archive
After a prolonged delay, missing the 2006 Volvo Ocean Race and the Commonwealth Games, Melbourne’s “Wheel of Misfortune” has finally spun out the right number.
Yesterday, ING Real Estate announced that the development of the Southern Star Observation Wheel at Waterfront City in Melbourne’s Docklands is now underway adding that Japanese manufacturer Sanoyas Hishino Meisho Corporation has officially signed the construction and manufacturing contracts.
The project which has been plagued by bad publicity in the past, has been dubbed the “Wheel of Misfortune” after missing several key completion dates.
Adding to the woes, in April last year joint venture partner Lewis Land abandoned the $1 billion partnership with ING.
And despite claims in 2004 by then Waterfront City project director Bill Peppard that interest amongst Australian and international corporations is extremely high for the naming rights, which would provide a $3 million revenue per annum – the Wheel remains “sponsor-less”.
“This spectacular new icon will become one of Australia’s premier attractions and will deliver to the title sponsor a showcase and branding experience that is absolutely unique,” Peppard said at the time.
Yesterday, ING Real Estate Development Australia’s chief executive Greg Boyd said construction company Alfasi Steel Constructions have been appointed to fabricate and erect the wheel and Hansen Yuncken will construct the wheel support building and manage the overall project.
“We’re all extremely excited about the impact the Southern Star Observation Wheel will have on Melbourne’s skyline and the large volume of tourism numbers it’s sure to attract,” he added.
“As the largest designer and manufacturer of amusement park wheels and rides in the world, it is our special privilege to be creating such a landmark tourist attraction for Melbourne. This city’s wheel will be truly unique and very beautiful,” Sanoyas Hishino Meisho Corporation’s managing director Yasunobu Nakamichi said.
Fabrication of the wheel structure will commence shortly, with onsite construction due to commence in the coming weeks. Erection will commence by mid-2007.
The Southern Star Observation Wheel is scheduled to open to the public in 2008.
According to ING, the Southern Star Observation Wheel at Waterfront City will be the largest of its kind in the Southern Hemisphere, standing 120 metres tall.
The wheel will consist of 21 air-conditioned cabins that will accommodate up to 20 people each and is expected to attract 1.5 million tourists.
More than 1200 tones of steel will be used in construction and the Wheel features two unique asymmetric support columns weighing 100 tonnes each.
The columns are 80 metres in length and 2.5 metres wide.
Market sources told Australian Property Journal that the wheel is likely to be sold into a tourism and leisure property trust to be managed by ING Real Estate to worth around $450 million.
By Nelson Yap
