$4bn pipeline of projects set to reshape Adelaide’s skyline
New hotels, office towers and apartments will change the face of Adelaide’s horizon. Read more about projects under way and others ready to break ground this year.
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More than $2bn worth of major building projects will be completed across the city this year, with new hotels, office towers and apartments set to change the face of Adelaide’s skyline and reshape the city’s fast-growing suburbs.
The burgeoning development pipeline continues to swell as South Australia emerges as an attractive alternative to the Covid-hit eastern states for developers.
By the end of the year at least $1.5bn in additional projects will be under way across the city and in the regions.
Charter Hall’s $450m office tower at 60 King William St and Walker Corporation’s $1bn One Festival Tower are among the largest projects due for completion later this year, while the opening of two new hotels in Adelaide’s east end will support the pent-up demand for more tourist accommodation.
The $45m Vibe Hotel will open in March following the imminent launch of the TRYP by Wyndham on Pulteney St.
Across town construction rolls on at the GPO site, where Greaton is building a $200m Marriott hotel, while regionally work is expected to start on six-star luxury hotel The Oscar, at Seppeltsfield, by the end of the year.
Property Council SA interim executive director Bryan Moulds said the city’s strong returns for investors and developers made it a competitive market when compared to the eastern states.
“Adelaide is always an attractive investment opportunity, its strong yields always make it a competitive alternative to the bigger eastern states,” Mr Moulds said.
“Key to the change over the past two years has been the greater focus from institutional investors, such as Charter Hall – it’s where we are now well and truly on the map.
“Commercial property and investment will respond to demand, while business growth and taxation settings are all key elements to encourage development.”
Charter Hall expects to complete its $450m office tower by the middle of the year after signing up Services Australia, Telstra and NAB as major tenants in the building.
A Charter Hall spokeswoman said the building would set a new benchmark for “workplace experience, sustainability, urban regeneration and conservation”.
“60 King William will revitalise Adelaide’s CBD and become a thriving precinct, attracting thousands of workers, shoppers and diners each day,” she said.
“Offering pre-eminent health, wellbeing and retail amenity, 60 King William is centred around the human experience, designed to create a workplace experience like no other, where people feel inspired, engaged and connected.”
Walker Corporation is also promising to set new standards in Adelaide when it unveils its new office tower at Festival Plaza towards the end of the year.
An internal fit-out for major tenant Flinders University is well under way, with Deloitte also signing on for 7000sq m of space to support 1000 new jobs.
Walker Corporation chief executive David Gallant said the project would set a new standard for developments in the city.
“The unrivalled design and quality of One Festival Tower has never been seen before in Adelaide and this will set a new standard for all commercial buildings that are built, or renovated, in the future,” he said.
“High quality office buildings like One Festival Tower are vital in the attraction of blue chip organisations to establish and grow their workplaces in Adelaide, providing these important jobs of the future.”
In the accommodation sector, the 18-storey Vibe Hotel, to be operated by TFE Hotels, will have a soft launch on February 14 and an official opening in March.
It will feature Australia’s first “suspended bridge pool” that will allow guests to swim between the hotel and the neighbouring ONE Apartments.
“We’re excited to bring Vibe Hotels’ style of Australian hospitality to Adelaide and to the Flinders East precinct, and have no doubt that this hotel will be a great support as Adelaide continues to grow their space, health, government, and defence business in the coming years,” a TFE spokeswoman said.
At the luxury end of the market, Marriott will open its first Adelaide hotel at the GPO site near Victoria Square once developer Greaton completes construction later this year or early next year.
Greaton SA regional manager Wendy Liang said it would feature 285 luxury rooms, and would capitalise on the revival of domestic and international travel.
“For the past 10 years or more other big cities have been developing rapidly,” she said.
“But I think now Adelaide is trying to catch up, and Adelaide is in a very unique situation. We did very well during Covid, and for tourism we feel there’s a lot of support from the government.
“The government’s putting a lot of effort into pushing travel and tourism, so we have a huge chance to improve and open up the market.”
While the apartment market in Adelaide has slowed in recent years, there are several major projects under construction and more set to commence this year.
Commercial & General’s $250m Eighty Eight O’Connell project at the former Le Cornu site in North Adelaide, and the $400m Market Square development next to the Central Market, will each welcome their first residents in 2025, while work is also set to begin soon on the $25m Victoria Tower apartments on Grote St.
PROJECTS TO BE COMPLETED IN 2023
TRYP by Wyndham - 266 Pulteney St
$50m hotel development featuring 120 rooms and business centre
First Wyndham-branded hotel in South Australia
Opening imminent
Vibe Hotel - 260 Flinders St
$45m project developed by GuavaLime featuring 123 rooms across 18 storeys
First Australian hotel to have a “suspended bridge pool”
To open in March
COMO - The Parade, Norwood
$70m project developed by Australasian Property Developments, featuring apartments, townhouses, retail, medical and offices
First residents to move in by April
60 King William
$450m office tower developed by Charter Hall
14-level building with retail mall linking King William St with James Place
Services Australia, Telstra and NAB have signed on as tenants
To open mid-year
One Festival Tower - Festival Plaza
$1bn mixed-use commercial and retail development developed by Walker Corporation
Offering 40,000sq m of office space and 1500 bay car park
To be completed final quarter of 2023
Australian Bragg Centre - North Tce
$500m state-of-the-art medical building developed by Commercial & General
It will house the nation’s first proton therapy unit capable of pulverising inoperable cancer tumours
To be completed in late 2023 and will treat its first patients around 18 months later
Marriott Hotel - GPO site
$200m project developed by Greaton
16-level hotel will feature 285 rooms, four restaurants and bars
To open in December 2023/January 2024
OTHER PROJECTS UNDER CONSTRUCTION
The Cullinan - 181 Waymouth St
$110m apartment project developed by Luks Investment
18-storey tower will include 192 apartments and penthouses, a hi-tech car stacking system, gym and pool
Set for completion in 2024
Eighty Eight O’Connell - North Adelaide
$250m apartment project at the ex-Le Cornu site developed by Commercial & General
Project will feature 164 luxury apartments across three towers, with speciality shops, cafes, restaurants and bars
Set for completion in 2025
Market Square - Central Market precinct
$400m redevelopment of the Central Market Arcade led by ICD Property in partnership with the Adelaide City Council
Three towers will feature apartments, a boutique hotel and offices
Set for completion in 2025
Playford Health Hub - John Rice Ave, Elizabeth Vale
$165m medical precinct developed by Northwest Healthcare Properties
Work on the first two stages - a specialist medical centre, car park and shops - is under way
Construction of a third stage private hospital, to be operated by Calvary Health Care, will commence later this year
UPCOMING PROJECTS
Victoria Tower - 36 Grote St
$25m apartment tower opposite the Market Square development, featuring a mix of apartments, office space and shops and cafes across 33 levels
Developed by AUTA Group, with construction to start in mid-2023
The Oscar - Seppeltsfield, Barossa Valley
$65m six-star luxury hotel developed by Seppeltsfield
The 12-storey hotel will include a wellness day spa and have 71 rooms, with 360 views of the Barossa Valley
Construction to start in mid-2023
King’s Head development - King William St
$70m, 16-storey tower with serviced and residential apartments and shops
Developed by Catcorp and Patrick Marcucci
Construction set to commence in late 2023 or early 2024
Entrepreneur and Innovation Centre and Hub - North Tce
$400m flagship building for Lot Fourteen, led by developer Quintessential Equity
16-storey building designed for defence, space and hi-tech businesses, education and research institutions
Commonwealth Bank has signed up as an anchor tenant
Site works under way
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