News & Discussion: General CBD Development

[SRW]

I hope it's just a primer -- the cream/manila colour suits this building.

[ml69]

Screen shot from a live Xmas Pageant video on Facebook

Looks to be a paint job

E361C0F0-4F60-43A8-AC03-1168520FEC7A.jpeg

I have always hated the colour of this building. Looks like a giant stain running down the building.

As long as the white paint is of good quality, I think it will refresh the building and will look nice and crisp contrasting with the dark glass (which actually looks pretty good). Will be a major improvement.

[rev]

Well someone posted a photo of it on reddit
https://www.reddit.com/r/Adelaide/comme ... r_a_clean/

[EBG]

Update for the building on the corner of south Tce & king William St .Click on picture for bigger.

[Mpol03]

Im really liking the white but the top of this building is still quite shite.

[[Shuz]]

I like how a paint job has made an early 90s building look like a... later 90s building.

[gnrc_louis]

The Advertiser is reporting a 136m tower is proposed for 80 Currie, article is paywalled though: https://www.adelaidenow.com.au/subscrib ... de=premium

[duke]

I hope it gets nicknamed "The USB Stick"

[SBD]

The Advertiser is reporting a 136m tower is proposed for 80 Currie, article is paywalled though: https://www.adelaidenow.com.au/subscrib ... de=premium

It has its own thread.

[[Shuz]]

There seems to be an article in the Advertiser today about development in the CBD. If anyone who has access to the paywall or can bypass it to post the story here? Thanks.

[AndyWelsh]

There seems to be an article in the Advertiser today about development in the CBD. If anyone who has access to the paywall or can bypass it to post the story here? Thanks.

Christopher Pyne: Adelaide is growing up... Finally
Do you know when the last 130 metre plus building was completed in Adelaide’s Central Business District?
1988.
It is now Westpac House but for a time it was the headquarters of the State Bank and carried the State Bank’s livery.
That’s thirty one years! Can you imagine being able to say the same thing about Melbourne, Sydney, Perth or Brisbane?
Thank God that’s all changing.
I was driving over the Morphett Street bridge with an Uber driver a couple of weeks ago from North Adelaide towards the City when she commented on how much the Adelaide skyline had changed in such short time.
It occurred to me that until South Australians can touch and see the new infrastructure, construction and development, like doubting Saint Thomas, they won’t believe.
But there is no doubting it now.
The City skyline is being transformed. Just this last month two new city buildings of over 130 metres were “capped” close to North Terrace.
There are plans for more. The Adelaide City Council has just approved a development above and around our wonderful Central Market that will be in excess of 130 metres.
SkyCity Casino’s new hotel is rising alongside Lang Walker’s redevelopment of the Festival Plaza and creation of new retail, office and accommodation on North Terrace and King William Street.
The General Post Office redevelopment is almost complete. Along with BHP’s new South Australian headquarters, it will host a new five star Westin Hotel and nearby in Currie Street, The Sofitel Hotel is well underway.
Eventually, it will be thirty two stories. Along with the new Crowne Plaza on Frome Road, it will give Adelaide three new five star luxury hotels for the first time.
The Uniting Communities new building that replaced Maughan Church has been completed.
Her Majesty’s Theatre redevelopment is taking shape. Calvary Wakefield Hospital’s new building on Angas Street is complete.
For all its faults, the New Royal Adelaide Hospital has transformed the cityscape of the western end of North Terrace, as have SAHMRI I and the new Adelaide University and University of South Australia medical and health science buildings.
Premier Steven Marshall is investing real effort into the creation of Lot 14 as one of the best centres for innovation, science and modern industries like machine learning, artificial intelligence, space and defence in the world.
Start ups and accelerators like Stone and Chalk, Myriota, Chamonix and creative industry businesses are already working out of Lot 14.
It will also be a cultural centre housing the Aboriginal Art and Cultures Gallery along with the world class International Centre for Food, Hospitality and Tourism.
I was shocked to read that the Diana Ramsay didn’t just make a “generous donation” to the Art Gallery of South Australia, she left the Gallery a staggering $38 million! The largest cultural bequest in Australia’s history! Our Gallery will be the envy of the arts world in the rest of Australia.
Much of this dramatic change has happened imperceptibly to most South Australians. But as these new buildings are finished and fill with workers and residents it will be obvious that Adelaide has changed.
As the Minister for Defence and Defence Industry, I laid the foundation for the gigantic ship and submarine building projects at Osborne on the Le Fevre Peninsula in Adelaide’s north west.
They are valued at $85 billion and will employ over five thousand people. They will chiefly be South Australians but I hope it will include others who will move themselves and their families from interstate and overseas to add to our community, culture and capability.
The good news isn’t exclusive to Adelaide.
Sanjeev Gupta who owns and runs the GFG Alliance company is investing heavily in Whyalla and through it, the Eyre Peninsula. This year, it should see Australia’s largest solar farm at Cultana underway as well as a $600 million upgrade to the Whyalla Steelworks.
Video: Whyalla, the town ‘that refused to die’
A new jetty is under construction. The main oval in Whyalla is being made of a standard to host AFL games and the city’s airport is being redeveloped.
All this, only a few years after the future for Whyalla looked bleak.
Monarto Zoo is undergoing a makeover that will create one of the great safari experiences of the world.
In a way, we are so used to believing that our economy is sluggish, are wages are behind most of the other capital cities, are standard of living is lower and our employment growth is anaemic, that when that starts changing, most people probably believe it is unlikely to last.
Maybe they don’t want to get their hopes up to avoid disappointment?
Just recently, The Advertiser reported that last year saw the most South Australians returning to live and work in the state for many years. It is a positive sign that they can see a future here for themselves and their families.
I’m sure that is the case. The spirit of the state is on the improve. Confidence is returning and with it investment, development and a preparedness to take a risk.
After a decade of stops and starts in South Australia, the twenty twenties are looking bright.


Sent from my iPhone using Tapatalk

[Norman]

What a load of garbage. He just listed a bunch of projects that "changed Adelaide over the last few years", but then says that the last decade was a failure and that the next decade is looking bright. And yet the number of cranes in the sky is decreasing as the number of proposals dry up and business confidence plummets.

Also, the council would not approve the market development, the state government's SCAP panel does that.

Christopher Pyne should stick to what he knows, politics and lobbying.

[SRW]

What a load of garbage. He just listed a bunch of projects that "changed Adelaide over the last few years", but then says that the last decade was a failure and that the next decade is looking bright. And yet the number of cranes in the sky is decreasing as the number of proposals dry up and business confidence plummets.

Also, the council would not approve the market development, the state government's SCAP panel does that.

Christopher Pyne should stick to what he knows, politics and lobbying.

As the landowner the council technically has approved proceeding with the market project (as separate from development approval).

However, you're right, he's claimed credit for a run of events that are really just the inertia of the previous government efforts. And it's losing steam, not ramping up.

[Nort]

It's mighty optimistic of him to be touting the shipbuilding work when the lasting legacy of him quitting when it looked like the Coalition were going to lose government might be SA losing a lot of that work to WA.

[d3v310per]

From The Advertiser - AdelaideNow 2nd January 2020

https://www.adelaidenow.com.au/business ... 77bbbbe415

Adelaide office market attracts $750 million investment
Adelaide’s office market attracted close to $750 million of investment in 2019, and renewed interest from offshore and interstate groups is expected to push the market even higher in 2020.

Offshore buyers and stamp duty cuts delivered a major boost to Adelaide’s office market in 2019, according to local agents.

CBRE reports that close to $750 million worth of Adelaide office buildings were sold during the year, with offshore buyers snapping up four of the top five CBD sales.

Singapore property trusts snared the top two sales at 55 Currie St and 25 Grenfell St, while US investment house BlackRock recently settled on its purchase of 151 Pirie St and Real I.S. re-entered the Adelaide market with its purchase of 100 Waymouth St.

CBRE capital markets director Ian Thomas expects an upcoming shortage of premium low-risk properties to drive heightened competition between offshore and interstate groups.

“The focus on Adelaide in 2020 will only grow on the back of sustained elevated transaction volumes in 2019,” he said.

“Both domestic and offshore capital will continue to compete for a reduced pool of opportunities in the Adelaide CBD, particularly in the core space.

“As the market further matures in the low interest rate environment, groups are likely to pursue core-plus and value-add style assets to deliver returns for their investors.”

While the debate around controversial changes to land tax created uncertainty in the market this year, the abolition of stamp duty on commercial property transactions – which came into effect in July 2018 – provided further impetus for the local market.

JLL national director Roger Klem believes the low cost of funds will drive a tightening of yields in Adelaide this year.

“Passive investors, attracted to relatively higher returns than those offered in Sydney and Melbourne, lapped up the stamp duty exemption for commercial transactions despite the hiatus created by the uncertainty around the changes to the land tax legislation,” he said.

“The strong pillars created by the defence, medical, international student and technology sectors in Adelaide are certainly generating international attention and this will likely continue into this year.”

Knight Frank expects prime office yields in Sydney and Melbourne to drop to close to 4 per cent over the next two years, and with Adelaide offering returns up to 200 basis points higher than the east coast, the local market is expected to follow the yield compression trend.

“The momentum from 2019 is certainly set to continue well into 2020,” Knight Frank Victoria and SA head of institutional sales Guy Bennett said.

“With Sydney yields expected to go below 4 per cent, Adelaide investment will look even more compelling and we envisage prices to firm and more new capital entrants.”

In office leasing, heightened demand for space from the state’s burgeoning defence sector helped cut Adelaide’s CBD vacancy rate to a five-year low of 12.8 per cent in August.

However, it remains higher than every other capital city in the country apart from Perth, which sits at a vacancy rate of 18.4 per cent.

Colliers International state chief executive James Young said occupier demand for “the next generation of office assets” remained strong.

“A significant standout has been the very low vacancy recorded in new generation office buildings, now sub 4 per cent,” he said.

“Looking forward, we expect a dynamic market in 2020 as these individual commitments materialise ahead of new supply events in 2023, and will see the market continue to reward proactive landlords.”

While the retail property sector continues to struggle, Singapore-based SPH REIT’s $670 million acquisition of a 50 per cent stake in Westfield Marion represented the largest single-asset retail property sale in the country in 2019.

Savills retail leasing executive Natasha Bertram said the recent arrival of major retail brands in Adelaide reflected confidence in the local market.

“Both Mecca and Sephora opening last year in Rundle Mall, along with H&M in 2018, has certainly increased enquiry from larger retail brands for Adelaide, although there is minimal vacancy to accommodate these types of brands,” she said.

“Strong retail interest continues to grow in areas where there are new housing developments. This is particularly evident in both northern areas of the city and the Mount Barker region.”

ADELAIDE’S TOP OFFICE SALES – 2019

55 Currie St – $148.3m – Suntec REIT (Singapore)

25 Grenfell St – $134.2m – Soilbuild REIT (Singapore)

80 Flinders St – $127m – Centuria Capital (Australia)

151 Pirie St: $92.5m – BlackRock (US)

100 Waymouth St – $85m – Real I.S. (Germany)

121 King William St – $82.3m – Charter Hall (Australia)