Manly residential and retail project delayed by more than a year after cost blowout

One of the biggest residential projects in the history of a ritzy bayside suburb is facing major delays after developers put a stop to construction. FIND OUT WHY

One of the biggest residential developments in the history of a ritzy Brisbane bayside suburb has been delayed by months after costing issues put a stop to construction on the landmark project.

The cost of a four-storey, 43-unit residential and retail development from DeMartini Fletcher in the heart of the Manly, initially estimated to be worth around $25 million, has been blown out by millions of dollars after Covid caused a shortage in construction supplies.

General photograph of vacant land at corner of 195 Stratton Tce in 2019 before DeMartini Fletcher started works on the site where the development will be. (AAP Image/Richard Walker)

Development director from DeMartini Fletcher, John Lunney, said the project at 195 Stratton Tce, which was meant to be complete by the end of this year might not be ready until Christmas 2023.

Artist impressions of the residential and retail development from DeMartini Fletcher on Stratton Tce at Manly.

Mr Lunney said they needed to put a stop to construction to regroup after the price of building supplies such as steel, aluminium and more increased dramatically in the second half of 2021 because of the supply chain disruptions caused by Covid.

Artist impressions of the residential and retail development from DeMartini Fletcher on Stratton Tce at Manly.

“We needed to pause for a bit just to regroup and figure out some solutions to make the project happen as best we can,” he said.

“The significant increase in costs has a massive impact on projects like this one, it’s probably increased the cost of the project by almost 35 per cent, which is a multimillion-dollar increase.

Artist impressions of the residential and retail development from DeMartini Fletcher on Stratton Tce at Manly.

“It’s just the realities of the industry at the moment with Covid and everything happening around it.

“We’ve been in contact with buyers and they’ve all been very supportive and understanding of what’s happening.”

Artist impressions of the residential and retail development from DeMartini Fletcher on Stratton Tce at Manly.

Mr Lunney said they expected to resume works at the site in the second quarter of this year.

“We hadn’t done very much work at the site yet, just some site preparation,” he said.

“But when works resume, it’ll still be a 15 month construction process, so we’re hoping to have it complete by Christmas next year but obviously there’ll be some leeway with that.”

Artist impressions of the residential and retail development from DeMartini Fletcher on Stratton Tce at Manly.

The development initially faced some delays after residents appealed the Brisbane City Council’s decision to approve the project.

Residents believed there were several issues with the proposal, including the height of the building, which they thought would impact the view of Moreton Bay.

But the developers changed several aspects of the project – lowering the height of the buildings and reducing the number of units from 49 to 43 and the retail space 900 sqm to 140 sqm – after hearing the feedback from the bayside community.