G'day, everyone.
I'm the lead project manager on the Freemasons Hall redevelopment, so I'm happy to answer any questions.
I had no idea this forum existed, but I love a good old fashioned forum.
I've had a scroll through the thread, so here are some answers to the more common questions:
Why so tall
Firstly, the original building that opened in 1927 was an icon using new construction methods and was one of, if not the tallest in the city. We think it would be nice to reclaim that spot.
Secondly, the building envelope is very tight, and we have several financial hurdles to hit. Going taller gives us more floors to let, more potential revenue and a better chance to recover the expensive upfront costs to deal with the tight squeeze and costs to renovate the retained heritage building (estimated to cost around $8million).
Lastly, North Terrace is our cultural boulevard and will remain that way, and we'll only build it once, so the objective is to deliver something that suits the skyline and the area for the next 100 years.
Depending on tenants and financial constraints, we may go higher but keep that one to yourselves
The design
The design released so far is purely a concept, and it's being refined with every meeting; the core concept will remain through - a simple, elegant and understated tower. As for the number of floors, we are focused on very high ceilings with flexible spaces on the first eight floors and the top 5 floors; this will ultimately come down to the tenants selected, a few of which are confidential.
We're looking at innovation in the building lighting and display effects - if I have my way, you'll see dramatic effects when a goal is scored at the Oval and something interesting to see from the plane as you come home. We're also looking at innovative ways to manage basement access and transport in and out of the site.
Lastly, we're taking on the "Living building challenge, " a challenging building standard focused on a "net positive" carbon footprint. It's a highly ambitious standard, and we'll be pushing the engineers (ARUP) and WalterBrooke (architects) hard to find ways to reduce waste, build smart and sustainable. I'm not going to go out and say we will meet that "net positive" goal but we're going to do everything we can to push the envelope without breaking the budget.
Commercial demand
I agree with some of the comments regarding the level of commercial demand in the CBD; this is primarily influenced by the number of low quality or semi dilapidated assets owned by elderly gents with no desire to renovate. This is a problem for hotels, and many are caught in a discounting cycle that burns any revenue they could put aside for FF&E, leaving them with tired assets.
The economics of SA is pretty interesting, but the averages don't tell you the full story. Our approach on this site is to keep pure commercial to a minimum and focus on AAA+ tenants.
Regarding Hotels - demand is very high. The interest from operator groups was overwhelming, and without spilling too much, we're likely to hit a record for m2 rates. Primarily because the location is so great, public transport out the front, excellent restaurants behind us, lot 14, Uni Adelaide etc. right on the doorstep etc.
We're currently working with heritage to ensure we can demolish the rear hall; that's the most critical next step. After that, we'll focus on finalising the tenant mix and lodging plans for approval.
At this stage, I'm expecting we will complete the building in 2025, well ahead of the building centenary in 2027.
I hope you find that all interesting. I'm happy to post up some more pictures from the process if anyone would like.
