Retailers, unit owners’ battle to fix Valley landmark McWhirters

Exploding water pipes, million-dollar insurance bills, daunting strata title rules and an unprecedented retail perfect storm — inside the frustrations of owners at Brisbane’s once-glorious McWhirters building.

Exploding water pipes, million-dollar insurance bills, daunting strata title rules, junkies, squatters, frustration at heritage laws , a perfect storm of workplace changes and a tanking economy.

All those problems and more have confronted angry and frustrated retail and unit owners in the landmark McWhirters building, which for decades was Brisbane’s retail crown jewel.

The problems came to a head about two weeks ago when owners in the upmarket McWhirters Residences contacted heritage authorities about the dismantling of the iconic ground-floor escalator.

Dating to 1950, it was one of the first escalators installed in a Queensland department store.

It was turned off several years ago after workplace safety inspectors deemed it a trip hazard.

More recently, some of the many homeless, drug addicted or mentally ill people frequenting the area around Brunswick St had taken to squatting under the escalator.

The 1950-era escalator where work to remove it has now stopped. Picture: Richard Walker

“It makes the centre look horrible. People are scared to come in and shop,’’ one retail tenant, who declined to be named, said.

The retail body corporate therefore decided to turn it into stairs.

But angry residential owners demanded action from the Department of Environment and Science and Innovation (DESI) when workers moved in with angle grinders.

A DESI spokesman said in a statement: “We are aware of current works being undertaken at the heritage-listed McWhirters building and are liaising with the building’s owners to ensure that any works undertaken have the necessary heritage approvals and meet the requirements of the Queensland Heritage Act 1992.’’

McWhirters was the epicentre of retailing in Brisbane until the late 1950s. Picture: Richard Walker

One unit owner, who also did not want to be named, said they were frustrated after Council and DESI “washed their hands’’ of heritage threats to the 1912 building.

Owners commissioned a conservation management plan in 2021 and have spent tens of thousands of dollars on restoration works at the building, on the corner of Wickham and Brunswick streets.

“If it wasn’t for myself and other owners emailing and calling (DESI) constantly over this matter, the escalator would be no more,’’ they said.

“We see ourselves as custodians of this building. We live and breathe it, we love it,’’ they said.

“You would not be able to tell anything is wrong upstairs. Apartments are selling for over a million and many have had expensive renovations, one worth $350,000.

Many units are spacious and have undergone quality refits. Picture: Place/realestate.com.au

“But there are significant issues with the building particularly water leaks and a (substantial) insurance claims history.

“It used to be 70 per cent rented. That’s flipped to 70 per cent owner-occupiers, with a big turnover, because everyone is worried about costs going forward.

“We think it could be in the millions.’’

Owners were recently hit with a $1.5 million insurance bill, on top of existing insurance levies, spread among the 114 McWhirters Residences units. They now paid upwards of $10,000 a year each.

The rooftop, with sweeping views of the CBD, Valley and Story Bridge. Units command high prices despite some issues with maintenance. Picture: Place/realestate.com.au

Another owner said leaks from under-floor plastic pipes, which were installed for plumbing during a major 1990s renovation, meant waterproofers were regularly on site.

They had also tried to get action from Brisbane City Council on heritage street awnings, which were often damaged by frequent bus and truck strikes.

“Their solution was to put up warning signs, but they have been knocked over,’’ the owner said.

A Council spokeswoman said state heritage protections on the building limited what could be done to the awnings.

“Following a meeting with the body corporate in 2022 Council installed truck warning signs, a yellow no stopping line and removed a loading zone on Warner St,’’ she said.

A warning sign next to damage to one of the street awnings. Even the signs are sometimes knocked over.

Residents said one of the big challenges was the complexity of strata title rules for both the upstairs residential and downstairs retail owners.

More simple projects, such as a recent $50,000 renewal of the Warner St entrance, could be passed with a simple majority.

“To get a valid vote on big projects you must have 71 out of 114 owners, or two-thirds agreeing, and no more than 25 per cent in disagreement,’’ one owner said.

“And in the retail area there are about 58 or 59 strata titled shop tenancies. Some of those have been divided into two.

One of the entrances to the residential area, lovingly restored by residents.

They said efforts to get help from the Office of the Commissioner for Body Corporate and Community Management had come to nothing.

“They don’t even have a compliance officer in Queensland. No one is checking strategic and operational plans are being complied with,’’ the owner said.

A Department of Justice and Attorney-General spokesman said it was the responsibility of commercial or residential owners to ensure body corporates complied with maintenance obligations.

“If a body corporate is not passing motions to carry out maintenance, owners can lodge a dispute application with the BCCM office,’’ he said.

“A building’s registered plan of subdivision determines who is responsible for maintenance.

“It should not be assumed the body corporate is responsible for everything and owners can refer to the BCCM website for guidance on who is responsible.

“Finally, owners need to make decisions through committee or general meetings.’’

One owner said it appeared to them that the government and Council did not seem interested in upholding their own heritage rules.

“We have complained about (squatters and urban explorers) in the Waltons building next door,’’ they said.

“After we complained hoardings went up and corrugated steel coverings were put over the windows, but the door is unlocked and anyone can still walk in.

Exposed areas of the ceiling have been left unrepaired for months or, in some cases, even years.

“We’re worried there could be a major fire like in Sydney (at an abandoned Surry Hills warehouse, used by squatters, in May last year).’’

The claims came after Quest Newspapers walked through the downstairs retail area this week, revealing multiple shops for lease, or shuttered. Few customers were in sight.

One shop owner said retailers faced additional problems, including the work-from-home phenomenon which had decimated lunchtime trade.

Some have suggested changing the mix to include one large anchor, such as Harris Farm, and fewer small shops, but so far there have been no offers from major retailers.

The near-empty food court, mid-morning on April 16.

“The economy is bad. People are packing lunch at home instead of eating here or going to Woolworths (nearby in Brunswick St),’’ a shop owner said.

“We also have a lot of problems with water coming through the ceiling.

“A hot water pipe bursts every month. There are big holes in the ceiling that have been left for years.

“When people see that they don’t want to come back to shop.

“We have applied for heritage funding. (The government) told us they didn’t have enough money, other buildings were more urgent.

“But if they want heritage, they need to give us some support to look after it.’’