Sport, entertainment, e-commerce hub plans in 50-year Avalon vision
Australia’s biggest distribution company and a major pet product supplier have been lured to Avalon Airport, while the site’s owners have unveiled goals to become an entertainment hub.
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Linfox will pump at least $80 million into its warehousing and freight operation at Avalon Airport in the next two years as $400 million of infrastructure is built.
Avalon’s executive chairman and Linfox director, David Fox, said a 50-year master plan would boost use of the 2630 ha site, currently at just three per cent capacity, with a view to establish sport, entertainment and e-commerce facilities, and lure more large commercial tenants.
“There’s over $150 million of construction going on right now with the future development of Hanwha (Defense Australia) and several other opportunities,” Mr Fox told the Addy.
“There is factually another $250 million of construction taking place on this site within the next year.”
On Thursday pet supply and animal care retailer, The Petspiration Group, launched construction of a 32,000 sq m distribution, training and dog daycare centre worth $43.5m at Avalon Airport.
Australia Post is due to set up a 15,300 sq m distribution facility capable of handling 5500 parcels per hour in coming months.
The state government, which has backed the Petspiration facility, said 190 workers were needed for construction before the centre opened in 2024, when it would need about 300 workers.
Petspiration owns 200 Petstock stores, five distribution centres, 150 grooming salons, 26 vet hospitals and more than 20 pet care brands.
The company wants to keep its Truganina distribution centre when the Avalon facility opens, and is aiming to open its 300th Petstock store next year.
Industry support minister Ben Carroll said: “We’re backing companies to invest, grow and create jobs in Victoria by being a destination of choice for fast-growing companies like Petspiration to set up and expand their operations.”
Mr Fox was coy about another large commercial tenant which had shown interest in Avalon.
He foreshadowed a major sporting announcement at Avalon, not related to the Commonwealth Games, in coming weeks.
“There’s a substantial opportunity right now that will be in the best interests of all Victoria. It will probably be announced within the next four to six weeks.”
Meanwhile, clothing retailer Cotton On is also adding 15,000 sq m to its already massive warehouse by at Avalon.
Mr Fox said Linfox was developing a 50-year master plan.
“We’re plotting blocks of anywhere between five to 10 hectares, and we’ve got about 90 of them planned. Could you image another 100 of (facilities like Petstock’s warehouse) being built around the airport?
“It’s quicker for me to come to Avalon from St Kilda Rd (Melbourne) than what it is to go to Tullamarine airport. That is just something that we need to get people from (Melbourne) to understand.
“Everyone down in this region would prefer to be flying from here. We need the destinations and they are coming.”
Asked about involvement in providing infrastructure or other services for the 2026 regional Commonwealth Games, Mr Fox said: “I’d like to get actively involved in that.”
Asia not welcomed back to Avalon Airport, chairman David Fox says
Airline Air Asia betrayed Avalon Airport by switching its Malaysia flights to Melbourne and is now “almost a foe”, Avalon’s executive chairman says.
Less than three years into a 10-year deal, Air Asia stopped flights due to the pandemic and then pulled out of Avalon this year, leaving the airport without an international carrier.
“They are no longer our friend. That’s the harsh reality of it. You’re either with us or you’re against us,” Avalon’s executive chairman David Fox, also director of Linfox the company which has a long-term lease of the airport, said.
“They were a friend and now they are almost a foe.”
Asked if Air Asia would be welcomed back to fly to and from Avalon, Mr Fox said: “They’re not welcome back.”
“Loyalty is one thing that the family stands for. The reality is that we’ve got opportunities with people we trust; people that want to work with us.
“At the end of the day you can’t chase the dollar. If you want to chase the dollar you don’t have the right focus.
“You need to have a vision, you need to be a part of a dream. They (AirAsia) chose not to be a part of our dream.”
Mr Fox said Air Asia was reinvigorating its business but didn’t “know what they’re doing”.
“They’ve chosen to go to Tullamarine two or three times a week which is fine.”
He said Avalon was in discussions with three international airlines, and Vietnamese budget airline Vietjet hadn’t gone cold on its intention to fly between Avalon and Ho Chi Minh City.
“The reality is Jetstar are committed. They are supposed to be flying seven daily flights, they’re down to four at the present moment in time. We’re hoping that will pick back up.
“The capacity is here. We’re in discussions with several other airlines as well, both internationally and domestic.”
Mr Fox said aviation was still in turmoil as impacts of the pandemic lingered.
Industry support minister Ben Carroll said he met Avalon Airport representatives a fortnight ago to discuss issues it faced and opportunities to diversify.
“There’s no doubt air travel has got a few challenges at the moment but we are there to support them,” Mr Carroll said.
“We are wanting to work with Avalon because we do know what an important region it is.”
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