Abandoned Melbourne Star observation wheel killing Docklands revival

Frustrated traders claim the uncertain future of the Melbourne Star observation wheel is hindering their post-Covid comeback.

Dockland traders say the uncertainty over the future of the Melbourne Star observation wheel is fuelling negative perceptions of the area as the fate of the closed tourist attraction remains in the balance.

The wheel ground to a halt last September, casting a dreary shadow over the area which has been hit by an exodus of residents and office workers during Covid.

Administrator Grant Thornton has been trying to find a buyer for the wheel and remains in discussions with a number of interested parties, with options including dismantling the wheel and moving it overseas or reopening it.

Docklands Chamber of Commerce chief executive officer Shane Wylie says the wheel’s status is preventing the precinct from revival. Picture: Wayne Taylor

Docklands Chamber of Commerce chief executive Shane Wylie said the abandoned wheel was holding the Docklands back.

“Obviously the interested parties need to do their due diligence, as does the administrator, but at present the lack of movement is adding to the negative public perception of Docklands,” Mr Wylie said.

“We’d love to see the Melbourne Star and Central Pier both acted on in the very near future.”

The Central Pier, once the centre of a thriving hospitality and events industry, was closed when it was feared it could collapse at any time.

Victorian Tourism Industry Council chief executive Felicia Mariani said resolution of the future of the wheel was needed.

The now-abandoned wheel is holding the Docklands back. Picture: Jake Nowakowski

She said the Melbourne City Council had been investing heavily in events to reinvigorate the area but more was needed.

Mr Wylie said the chamber estimated that the Docklands was down about 30 million visits per year, based on daily foot traffic extrapolated over the year.

He said this was due to corporate workers not returning or partially returning to offices, international students not returning and former residents choosing a less expensive life away from the CBD.

“Recent aggregated data from traders and surveys suggests an average spend in excess of $30 per person per day in Docklands. Extrapolating that means that the precinct is suffering an economic decrease approaching $1b annually,” Mr Wylie said.

Victorian Tourism Industry Council chief executive Felicia Mariani said resolution of the future of the wheel was needed.

It’s estimated the Docklands was down about 30 million visits per year.

She said the Melbourne City Council had been investing heavily in events to reinvigorate the area but more was needed.

Grant Thornton told the Herald Sun is was continuing to work on a sales process for the wheel which operated for 15 years.

“We are continuing to progress with the sale of company’s assets and we have parties actively engaged in this process,” the insolvency specialist said in a statement.

The sale process will determine the future of the site and outcome for the existing assets.”

Originally published as Abandoned Melbourne Star observation wheel killing Docklands revival