This article is from the Australian Property Journal archive
THE Queensland government has secured two redevelopments worth almost $3 billion to transform 200 Turbot St in Brisbane’s CBD and the Eagle St Pier and Waterfront Place precinct.
The government has reached a conditional agreement with property giant Mirvac for the proposed $670 million redevelopment of 200 Turbot St.
At the same time, Dexus’ has landed approval from the Brisbane City Council for its $2.1 billion Waterfront Brisbane development of the Eagle St Pier and Waterfront Place precinct.
Deputy Premier and Minister for State Development Steven Miles said the redevelopment of 200 Turbot St is one step closer.
“Following a competitive bidding process, the Queensland government is pleased to have secured a conditional agreement with property group Mirvac for the redevelopment of 200 Turbot St.
“The major redevelopment is estimated to support about 360 jobs per year over a proposed three-year construction phase,” Miles said.
200 Turbot St was formerly leased to The University of Queensland Dental School which has relocated to Herston as the UQ Oral Health Centre. The redevelopment of the site could also create options for the renewal of the neighbouring heritage-listed former Brisbane Dental Hospital at 168 Turbot Street, also owned by the state government.
The agreement provides Mirvac with exclusivity to secure a leasing pre-commitment for a new commercial office tower. The terms of the agreement are commercial-in-confidence.
Member for McConnell Grace Grace said both projects were a major win for the city.
“Our message is clear; Brisbane is open for business and we welcome the investment. These projects, along with the Queens Wharf development will really change the face of Brisbane and bring many jobs to our city.” Grace said.
Mirvac’s chief investment officer, Brett Draffen said that the agreement enables Mirvac to develop a world-class workplace precinct that, along with its 80 Ann St development for Suncorp will enhance the quality of the group’s office portfolio under a capital-efficient structure that minimises risk.
“200 Turbot offers the exciting potential to deliver a premium office development for Brisbane,” Draffen said. “We look forward to working with the Queensland Government, Brisbane City Council and our future occupants to co-create a next generation workplace that responds to the needs of a post-COVID-19 workforce and enhances the Brisbane CBD.”
Mile said the Waterfront Brisbane development has the potential to create more than 1000 construction jobs over the next decade.
The Waterfront Brisbane project is estimated to provide a $5.7 billion boost to state’s Gross State Product over the next 40 years, including $230 million in value added to the construction and professional services sectors.
The approved design includes two new towers, an enhanced retail offering and large public plazas opening on to the river. Construction is expected to start in 2022, with the first tower expected to be completed in 2026.
The Eagle St Pier building is now set to be demolished and replaced by two new office towers rising 49 and 43 storeys. The precinct will also include an enhanced retail offering, and about 9,000 sqm of riverside public open space that include large public plazas opening on to the river and riverwalk improvements.
“This approval follows six months of working with the applicant on their plans to enhance the existing riverside destination and deliver a better experience for residents and visitors,” Brisbane City Council city planning and economic development chair, Krista Adams said.
Dexus chief investment officer, Ross Du Vernet said Waterfront Brisbane will unlock the considerable potential of this Brisbane CBD gateway site which has remained underdeveloped for almost 30 years.
“The project’s scale and central riverfront location will firmly establish Waterfront Brisbane as a world class destination and is set to reshape the daily experience of the many people who visit and work there.
“The Eagle Street Pier precinct was established as a dining precinct more than 30 years ago and this refresh will ensure it continues to provide dining, entertainment and spectacular riverside experiences for future generations.”
On the opposite side of the river is the $3.6 billion Queen’s Wharf development that will transform 27.3 hectares of waterfront land into a casino, resort and residential precinct. The developer, Destination Brisbane Consortium, comprises Star Entertainment Group, Chow Tai Fook Enterprises and Far East Consortium.
Major infrastructure projects across the city have been cited as a key reason for the significant uplift in office and commercial real estate investment from domestic and offshore players before the pandemic, and elevated interest in the CBD from tenants.
Last year, a consortium headed by Urbis and including Cox Architecture, Arup, Cultural Capital and Complete Streets, as well as Gillespies, based in London, and Projects for Public Spaces from New York, was appointed to deliver the 30-year overhaul of the 42-hectare South Bank riverfront precinct.
Work on the $5.4 billion Cross River Rail is also continuing.
