Central Barangaroo vacant block losing government millions amid development delays

Business leaders are demanding the NSW government quickly approve plans for a world-class commercial hub in Barangaroo, as a new report reveals the million-dollar cost of continued delays.

Business leaders are demanding the NSW government quickly approve plans for a world-class commercial hub in Barangaroo, as a new report claims more than half a billion dollars in economic activity will be lost if the project continues to be delayed.

A 104,000 sqm concrete slab has been left vacant at Central Barangaroo for more than two decades, with commuters now greeted by the “empty wasteland” as they exit the new Sydney Metro station, Barangaroo Parkland and the nearby Crown Casino - leaving much to be desired at the harbourside destination.

Exclusive modelling by Business Sydney found the NSW government had lost an estimated $377 million in social and economic benefits since the project was first put forward in 2017, because the site has remained undeveloped.

The report, seen by The Saturday Telegraph, states the economy will miss out on $578m if project delays blowout by just five more years past the promised 2032 delivery date.

Business Sydney executive director Paul Nicolaou said the government could not afford to leave the Barangaroo Precinct incomplete any longer, with thousands of jobs and billions worth of potential economic growth at stake.

Central Barangaroo sits bare on the harbourside peninsula. Picture: Supplied

But plans to revive the precinct with parks and apartments are waiting for the green light. Picture: Supplied

“This is an opportunity for Sydney to end a 20-year saga of planning hurdles, false starts and no starts,” Mr Nicolaou said.

“It’s untenable for Sydney to have this space sitting around doing nothing. It’s a great opportunity for Sydney and it will catapult the whole Barangaroo peninsula to another level which will be huge for locals and tourists.

“Every year we keep putting off these plans is just wrong, we desperately need the Metro to reap the full benefits of this site, we didn’t spent billions on it for an empty wasteland.

Business Sydney cost modelling of Central Barangaroo delays. Picture: Business Sydney

“Sydney has waited far too long for this final piece of the Barangaroo puzzle to be completed.”

According to plans put before the government by its development partner, Aqualand, the Central Barangaroo precinct would be transformed into a world-class harbourside precinct complete with 140 luxury apartments, retail outlets and a hotel.

More than 50 per cent of the site would be returned to the public through open spaces and parkland, including a 270m waterfront boardwalk and Harbour Park entertainment area.

Business Sydney estimated the development would inject up to $134 million into the economy each year upon completion.

Construction works alone are expected to pump $2.26 billion into the economy and create 12,360 direct and indirect jobs, the report revealed.

However, the project has been bogged down in bureaucracy due to legal battles over harbour views and building-height concerns, with Aqualand lodging the revised plans a year ago.

Artists' impressions of the Aqualand Central Barangaroo plans. Picture: Supplied

Mr Nicolaou urged the Minns government to pick up the plans sitting on their desks, push aside the endless red-tape, and grant the project its final green-light.

“Our message to the NSW Government is let’s get on with it and allow this much needed development to proceed.

“This is our last opportunity to deliver more of what Sydney needs at a strategically important site, so let’s not underdo it.”

Urban Taskforce chief executive Tom Forrest said it was “frankly embarrassing” an international city like Sydney could complete an entire underground train network without sorting its above-ground plans.

“When commuters get off the Metro at Barangaroo they have to walk 400m before they reach the closest building,” he said.

The completed project would pump an estimated $134m into the economy annually. Picture: Supplied

“Who would have thought that we would have been able to conceive of, build, and open a new metro line faster than we could come up with a plan for the development of Central Barangaroo,” he said.

“It’s because we have gone through a process of giving too much credence to the NIMBY objectors who saw the project as the last place to stake their claim against the Barangaroo development…enough is enough.”

In response to the calls for action, Planning and Public Spaces Minister Paul Scully suggested spades would be in the ground soon.

“The Minns Government is close to concluding the assessment after years of delays by the former Liberal-National Government,” he said.