This article is from the Australian Property Journal archive
PRESTON Market’s majority owners have rejected the Victorian government’s recent proposal for the precinct, claiming the proposed changes would make a commercial future at the site impossible.
The joint venture between Salta Properties and Medich Corporation, Preston Market Development (PMD) Pty Ltd, have slated the referred plan and requested to the May 2021 Amendment as failing to deliver a planning framework or commercial environment that would support a rejuvenated precinct.
“Connecting the newly developed Preston Station to High Street, the precinct would have included more than 3,500 sqm of high quality public open space accessible by the community and to those 3,650 people who would have called it home,” said Sam Tarascio, managing director of Salta Properties.
The updated plans, which had been referred to the Standing Advisory Committee, were announced to the public earlier in the month and included greater height limits and protections for the historic fresh food market.
The current draft reflects extensive consultation with the local community and placed a greater focus on the community preference for open space and transport connections, enabling ease of access for pedestrians and cyclists.
The referred plans outlined a 46% reduction of allowable residential development, 25% of the retail floor areas and more than 15% of office floor areas, compared to the VPA’s plans from last May.
“Our proposed Vision, which is available on the Preston Market website is not dissimilar to the Victorian Planning Authorities endorsed draft structure plan from May 2021,” added Tarascio.
PMD argued that the plan in its current form not only fails to provide a suitable development outcome but the Minister’s Term of Reference has not left the joint venture with any means of resolution.
“Tenants are already leaving the Preston Market due to long term planning uncertainty, the announcement from the Government does nothing to give confidence to tenants that their interests are being appropriately considered,” said Tarascio.
PMD was previously committed to investing in excess of $800 million into Preston Central as it was formerly outlined, which would have supported 6,500 workers during the decade-long construction phase.
“The Fresh Food Market, offices and community and childcare centres would have provided more than 1,600 direct jobs. The majority of these jobs would have been in retail, providing critical employment opportunities,” said Anthony Medich, of the Medich Corporation.
This investment would have also included more than $75 million for the rejuvenated Preston Market.
“We have continually demonstrated our willingness to work with the VPA, Government Departments and the Minister on our privately owned site to create the greatest outcome for the local community, and that is why last week’s announcement is so disappointing for all concerned,” concluded Medich.
