Sent to the scrap heap: SA’s stalled major projects
Over the past year, a string of major building projects have been shelved or scrapped completely. We take a look at some of SA’s largest cancelled developments.
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From CBD towers to a huge regional housing development and shopping centres in the suburbs, a string of major construction projects have been shelved or scrapped altogether over the past year. We take a look at some of the state’s largest cancelled projects.
Wallaroo Shores
Plans to build hundreds of new seaside homes were shelved earlier this year, when developers looked to offload the waterfront project after years of delays.
The $220m Wallaroo Shores project was expected to deliver more than 600 houses and apartments, offices, shops, cafes, a retirement village and medical centre across 18.5ha of waterfront land just north of the town centre.
After a series of delays developer Monopoly Property Group is looking to pull out of the project after completing the first stage - the $42m 100-townhouse Wyndham Wallaroo Shores Resort which is currently under construction.
However the resort is also facing an uncertain future, with major building contractor Felmeri Group leaving the project incomplete after falling into administration. It was due to open in September.
The balance of the land, covering 13.85ha, was put on the market in January.
Royal Hotel development
Plans to build two apartment towers next to the historic Royal Hotel at Kent Town were recently shelved by Victorian developer Flagship Property Holdings, which has decided to sell the site instead.
Flagship last month secured planning approval to build 192 apartments across two buildings - one scaling 15 storeys immediately adjacent to the former Royal Hotel and another rising 14 storeys further east on North Tce.
The state government’s development agency, Renewal SA, had agreed to underwrite the sale of 35 affordable housing apartments in the development, while the 146-year old pub was to be restored for alternative uses.
However international property firm Savills was recently engaged to sell the 4118sq m site after close to a decade of ownership by Flagship. The sale comes with last month’s planning approval.
Newmarket Hotel development
Plans to build twin apartment towers on one of Adelaide’s busiest corners were recently shelved and the site sold for a huge sum to health and financial giant Australian Unity.
Singapore-backed One North Terrace (Aust), led locally by the Lee family, had planned to build a 32-storey two-pronged tower behind the landmark Newmarket Hotel on the corner of North Tce and West Tce, with apartments, serviced apartments, offices and retail tenancies.
However Australian Unity is developing a different vision for the site after splashing out $38.5m to acquire it in May.
It has not provided specific details about its plans for the site, other than to say it would bring its “significant experience in healthcare-related development to provide long-term healthcare infrastructure solutions”.
Tarrkarri Indigenous art gallery
While not officially scrapped, there are now serious doubts over the future of the postponed Tarrkarri Indigenous art gallery following estimates it would cost two or three times more than initially planned.
Premier Peter Malinauskas revealed in May that he would be seeking extra money from the federal government and potentially philanthropic investment to help meet the cost.
The concept for a First Nations art gallery was unveiled by former premier Steven Marshall and early construction work had started on the site at Lot Fourteen on North Tce before new Labor premier Peter Malinauskas put a hold on the project.
Following a recent review, Mr Malinauskas said the true cost of the project could be up to $600m and vowed he would hunt for funding “if the project goes ahead at all”.
No extra funds were allocated to the gallery in this month’s state budget, raising more doubts about the future of landmark project.
Globe Derby Park
The debt-laden SA Harness Racing Club offloaded a major parcel of land at Globe Derby Park to local property developer Michael Vidale in 2017, as part of a wider sell-off aimed at shoring up the club’s finances.
Mr Vidale took over the site - on the corner of Globe Derby Drive and Port Wakefield Rd - with the promise of a commercial and industrial development.
Six years later, and following a long-running dispute between Mr Vidale and the SAHRC over payments for the 5ha site, there’s been no development and the site has been listed for sale by commercial property agents Knight Frank.
Gawler Chambers
More than a decade after a major redevelopment of the historic Gawler Chambers was first proposed, the future of the project remains in doubt after the latest bid by developers for an extension to approvals was rejected.
Adelaide Development Company (ADC) was planning to build a 15-storey office tower behind the facade of the prominent heritage building which has remained abandoned since 2004.
However after a series of extensions, the State Commission Assessment Panel ruled in October not to award the latest six-month planning consent extension ADC was seeking.
An ADC spokesman said at the time: “We’ll review the project and consider our options regarding future development.”
Planning consent was originally granted in May 2012 for a $25m development that involved preserving the State Heritage-listed 1914 facade.
Panorama Village
A huge slice of the former TAFE site in Panorama was recently put on the market, leaving the future of a major housing project previously earmarked for the site in doubt.
Landmark Homes and Properties is offloading the site after securing approval for 56 townhouse allotments across 14,380sq m of land behind Hurley Group’s new $35m Panorama Hotel currently under construction on Goodwood Rd.
An adjoining site of 1536sq m is also included in the sale, with an agreement in place for a 115-place childcare centre.
Colliers director Justin Hazell, who’s selling the site, said while buyers had the option of taking over the plans developed by Landmark, they could also create their own new vision.
He said apartments, townhouses, a childcare centre, retirement living and aged care facilities were all potential options.
Hotel on Wright Street
Local developer Kite recently sold out of its plans to build a 17-storey hotel on Wright St, putting the future of the project in doubt.
The project, near the north-eastern corner of Whitmore Square, secured planning approval in 2020, and was to include a $10.9m tower with 100 hotel rooms, a gym and rooftop terrace.
Construction had been expected to commence last October, two years after initially planned.
It was one of several CBD hotel projects delayed as a result of Covid-19.
Approved plans for the project allow for the partial demolition of a set of bluestone row cottages at 134 and 136 Wright St.
An agreement with operator Punthill Apartment Group had also been secured before the sale of the property to the Angelo family in March.
Kings Junction
The future of a proposed shopping centre development on one of northern Adelaide’s busiest intersections remains in doubt following the sale of the Main North Rd site in recent weeks.
Several proposals for a shopping centre development on the corner of Main North and Kings roads have been made over the past decade, including by local property developer Michael Vidale, who revealed plans for a $150m shopping and entertainment precinct dubbed Kings Junction in 2017.
“There will be no other centre like it. It will be the future of retail,” Mr Vidale said at the time.
Construction of the 30,000sq m family shopping and entertainment centre was expected to commence in 2018, but it has now been shelved as new owners prepare to take over the site.
Lustro Glenelg
Plans to replace the two-storey Comfort Inn Haven Marina on Adelphi Tce with a $110m five-star hotel were approved in 2016 and had originally been slated for completion in mid-2019.
The 12-storey proposal was first floated by former Adelaide United owner Bruno Marveggio, and was to include a 150-room Langham-branded hotel, infinity pool, fine-dining restaurant, luxury apartments, an outdoor recreation area, cafe, bar and function centre.
However Mr Marveggio offloaded the site in 2018 to clear debts related to failed construction company Coombs Barei Constructions, which collapsed in 2017 with debts of $6.5m.
Chinese-born businessman Fushuang Zheng, of the ZFS Group, took over the 5000sq m property on the Glenelg foreshore with the promise of pressing ahead with the project.
It never happened.
According to building and construction database Cordell Connect, the project was finally abandoned earlier this year.
Hotel Wright St
The 170-year old Hotel Wright St closed its doors for the last time in 2016 ahead of a highly-anticipated development of an 18-storey office building, hotel and apartments.
However, six years later the site remains dormant, with its Chinese owners shelving its development plans and putting the site on the market.
The $57m project was approved by the State Commission Assessment Panel in 2017, and was designed to wrap around the local heritage-listed hotel.
Last year squatters started a blaze that tore through the pub’s first floor causing $300,000 worth of damage.
A $14m price tag has been put on the 1455sq m site, which is currently listed for sale.
Twin St Student Accommodation
Covid-19 dealt a major blow to a development that would have become the world’s tallest purpose-built student accommodation tower.
That’s what developer Hines Property was planning for Twin St, when it launched plans for the $80m project in 2018.
At 38 storeys and 124.2m tall, it would have eclipsed the Student One Wharf Street tower in Brisbane which stands at 122m high.
Hines secured planning approval for the 510-bed tower in 2018 but construction was initially delayed by the pandemic.
In 2020, Hines managing director James Hines said the company “remain committed to delivering this exciting project, and expect to announce a start date later in the year”.
However according to building and construction database Cordell Connect, the project was recently “deferred indefinitely”.
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