Palace Verona Paddington: First look at cinema’s multistorey $13.8 redevelopment

A well known Sydney cinema would close its doors for a massive redevelopment including a new rooftop bar, live entertainment space and new cinema screens. See the plans.

A photo of one of the current cinemas at the site.

A Sydney cinema opened by Nicole Kidman more than two decades ago is set to undergo a major transformation with a new rooftop bar, live performance spaces and cinema screens added to the venue.

The owners of the Palace Verona in Paddington have lodged a $13.8m plan to rebuild the Oxford St cinema into a six-level venue described as a new entertainment drawcard for local residents, workers and movie lovers.

The plans include a mix of new retail and creative spaces, ground floor parking, and a new cinema lobby on Oxford St.

The internal sections of the building would be demolished for the project however the post-War industrial facades of the site would remain intact.

Three new levels of entertainment and commercial space would be built directly on top of the existing facade.

A concept plan of the development.

A pavilion and bar would be built on the roof of the venue, along with a landscaped garden that would be able to be used throughout the day.

The basement levels of the development would have live entertainment and performance spaces, four cinemas – replacing the current four cinemas on the second level of the building – while the upper levels of the site would be used for retail/commercial space and other amenities.

The developers behind the project – 17 Oxford Street Pty Ltd – described the project as catering for a “rich and diversified group of users” who are “attracted by the buzz, atmosphere and vibrancy of Oxford St”.

The cinema fronts on to Oxford St in Paddington.

“The proposition injects activity through the day and night, celebrating the site’s unique corner location to the southern end of the Oxford St precinct,” the company said in its plans.

“(The site) will be transformed into a vibrant mixed use site that re-imagines entertainment and activation through a project that honours its original built fabric and creates a rich commercial proposition.”

The original building dates back to 1946 and was once used as a manufacturing warehouse before being converted into a cinema in 1996.

A photo of Nicole Kidman arriving at the opening of the Verona in 1996

Film star Nicole Kidman cut the ribbon at the site’s grand opening.

Today, the art house theatre is one of four cinemas operated by Palace Cinemas in Sydney and is known for screening a mix of cult classics, blockbusters, independent features and Australian films.

The building is not listed as a heritage item.

Plans show the rooftop area would have a capacity for 200 people and patrons would be moved indoors after midnight to address potential noise and disturbance impacts.

Benjamin Zeccola, the chief executive of Palace Cinemas which leases the building, said the company was aware of the development plans.

“Last year a property developer bought the Verona building of which The Verona Cinema is a tenant,” Mr Zeccola said.

“Their intention is to redevelop the building into its highest and best use, and Palace is in discussions with them to include a renovated cinema as part of that offering; the constraint being that cinemas don’t have the capacity to match the highest rental value of other potential uses.

“Cinemas require large spaces over multiple levels which makes them expensive to build and maintain. On the other hand cinemas make excellent anchor tenants with stable long term leases and the ability to attract thousands of visitors each week, which drives demand for nearby businesses like bookshops, cafes, restaurants and results in increased amenity, culture and a great lifestyle for people in the area.

“We think redevelopment is two years away, and in the meantime The Verona Cinema is recovering well (and) is expected to reach pre Covid levels by Boxing Day.”

The proposal has been lodged to the City of Sydney and is currently under assessment.