Failed offer to scrap apartments at $1 billion old RAH redevelopment
DEVELOPERS have offered to strip controversial residential apartments from the $1b old Royal Adelaide Hospital project - but the government has rejected the move.
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DEVELOPERS have offered to strip controversial residential apartments from the $1 billion old Royal Adelaide Hospital project.
Ahead of a decision expected next week on the 7ha site’s long-awaited overhaul, it is understood developer Commercial & General asked the State Government whether it wanted the controversial apartments of up to 14 storeys.
It is not known how serious C&G’s offer was, but it was told apartments were required.
Prime apartment towers overlooking the Botanic Garden and city would be a vital income generator for both the developer and Government, which would get $150 million in lease payments.
But controversy has been stirred by proposals to put multistorey apartments next to the Adelaide Botanic Gardens, on a site parklands campaigners have urged be restored entirely as open space.
A consortium of C&G and John Holland was named last October as preferred developer and has proposed apartments, a commercial and innovation centre, luxury hotel, contemporary art gallery and underground concert hall.
Following this week’s opening of the $2.3 billion new RAH, Urban Development Minister Stephen Mullighan will within days outline details of the four-year demolition program, costing more than $150 million and starting with the 1960s-built East Wing.
Exclusive talks between the Government and consortium were extended past a June 30 deadline. A dispute erupted in June over the 54m height limit and 99-year property leases the Government has insisted upon for the site, both of which the developers are now believed to have agreed upon.
A consortium spokesman said they were excited at the site’s “transformational opportunity” and wholly committed to a vision which would generate industries and jobs of the future.
Lord Mayor Martin Haese said the council remained opposed to high-density residential development, warning this would impede private investment in other city projects. Deputy state Liberal leader Vickie Chapman accused Mr Mullighan of a “secret deal” to sell the site to a private developer and demanded details.
“The closure of the oRAH didn’t sneak up on the Weatherill Labor Government — they’ve had 10 years to work out what to do with this site,” she said.
Ms Chapman said the Government was either going ahead with residential towers or, in a “totally incompetent” move, was again going back to the drawing board.
Mr Mullighan said talks were continuing with John Holland and C&G.
