Sensational-Adelaide.com

$110m Glenelg tower block on hold
KIM WHEATLEY
May 11, 2009 12:01am

THE construction of Urban Construct's $110 million apartment complex at Glenelg is officially delayed.

The company told The Advertiser that the 12-storey apartment block was in a holding pattern because of the economic crisis.

But chief executive Todd Brown maintained that the 170-apartment tower would still be built on the last patch of residential foreshore allowing tall developments.

"It's been delayed due to a slowing in sales," Mr Brown said.

"We're still confident, but we'll see what transpires over the coming months."

Apartment sales started strongly, with $30 million's worth snapped up in two days last October as hungry buyers rushed to buy a piece of Adelaide's first "green, environmentally sustainable tower".

While Urban Construct would not reveal the number of apartments it had sold, it said sales now totalled 23 per cent of the complex.

The original approval was for construction to begin by May 22, but Mr Brown said that the company was seeking an extension from the Development Assessment Commission.

"We're confident that we can get an extension," he said.

"Obviously, due to these times there will be plenty of approvals (from developers) seeking further extensions."

Mr Brown would not commit to a start date, despite the company's website's stating that the building would be finished next year. The complex is being marketed with a gym, pool and Adelaide's first Japanese Onsen bath, based around a mineral hotsprings pool.

skyliner wrote:I agree - with 23% they would just walk away in the current climate - unless there are factors we are not aware of.

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Will wrote:It is official. There was a small article in the Guardian Messenger this week explaining that this development has been cancelled.