Growing calls for Melbourne Observation Wheel to reopen, spin again

There are growing calls for the city’s biggest white elephant to be reopened in Docklands or moved to another part of the city as its future remains in limbo.

There are growing calls for the city’s white elephant to be reopened or to be relocated to a better location. Picture: Brendan Francis

Calls are growing for the troubled Melbourne Observation Wheel to be reopened or moved to another location to avoid being the city’s biggest white elephant.

The $100m Docklands attraction – opened with fanfare in 2008 – has become an eyesore since closing more than two years ago and its future remains in limbo as liquidators haggle over a sale price.

But with the giant wheel, one of the first and last things tourists see as they enter and leave Melbourne via the Bolte Bridge, city leaders say the time to act on the prominent site is overdue.

The permanently closed Melbourne Star Wheel at Docklands. Picture: Ian Currie

Victorian Chamber of Commerce and Industry chief executive Paul Guerra said the business group “would love to see this iconic landmark back in operation and lighting up the Melbourne skyline.

“It was an important tourism offer for the Docklands area, and its revival would be a positive contribution to Melbourne’s cultural identity,’’ he said.

But if a deal could not be struck urgently to resurrect it, Mr Guerra said the wheel should spin elsewhere.

“It’s been idle long enough, and it’s a daily reminder we don’t need,’’ he said.

“It’s time for swift action to either rejuvenate the Melbourne Star at its current site or move it to an alternative site that will benefit Melbourne and drive further tourism.”

There are growing calls to either revve the operation for Melbourne’s cultural identity or to relocate it to another part of Melbourne to drive tourism. Picture: Ian Currie

The wheel closed in September 2021 when its operating company MB Star Properties Pty Ltd was placed into liquidation with more than $3.9 million of debt.

The Herald Sun last year revealed a mystery buyer was circling the wheel at a time nearby traders were considering legal action for lost income and concerns about how much money it would cost to get it turning again.

In a statement, liquidator Grant Thornton said: “The interested party is undertaking ongoing due diligence and their intention to proceed remains.

“Upon completion of this they will determine whether they wish to progress to a purchase of the assets.’’

Alternative locations to Docklands are St Kilda, Birrarung Marr, Frankston and the Yarra River’s Edge. Picture: Ian Currie

Alternative locations mooted for the wheel — which has now not turned for more than 800 days — include Birrarung Marr, St Kilda, Frankston and the Yarra’s River’s edge between Flinders St and Southern Cross stations.

Foreign buyers could also move it overseas.

Lord Mayor Sally Capp said giving the 120m high structure a new lease of life would benefit Docklands.

“We’d love to see the Melbourne Observation Wheel back in action – enhancing the Docklands vibe, attracting more visitors and boosting business for local traders,’’ she said.

“Docklands is brimming with opportunities for activation and growth and we’re proud to see investment in the precinct continue.’’

Planning Minister Sonya Kilkenny refused to answer questions about what the state government wants done with the site, damage the stagnant wheel is doing to the city’s reputation or whether it should be restarted.

“The government has nothing add on this matter,’’ a spokesman said.