Development Victoria accused of ignoring engineers’ advice to close the pier 18 months earlier

Almost five years after the closure of Docklands’ Central Pier, Development Victoria is facing a potential payout over claims of gross negligence and incompetence.

Central Pier at Docklands was closed and boarded up, with demolition beginning in late September last year. Picture: David Caird

The state faces a $42m damages payout over the farcical shutdown of Docklands’ Central Pier.

Almost five years after the sudden closure of the popular precinct, state government body Development Victoria is being sued in the Federal Court by a group of tenants, with the case before Justice Timothy McEvoy starting on Monday.

Central Pier was dramatically evacuated in August 2019 when diners were given just 15 minutes to finish their meals and leave due to major structural problems.

The shutdown forced multiple bars, restaurants and function centres to permanently close and the cancellation of hundreds of weddings and formal events, including the AFL’s Rising Star awards.

Multiple bars, restaurants and function centres were forced to permanently close due to the shutdown. Picture: David Caird

The pier, previously home to The Woolshed Pub, function spaces and Cargo restaurant, was permanently closed in 2020 due to safety issues more than 100 years after it was built and included on the state heritage register.

About 1000 workers lost their jobs.

Central Pier Pty Ltd has accused Development Victoria of gross negligence and incompetence in permitting businesses to keep operating while allegedly knowing the structure was in danger of collapse.

The tenancy group claims Development Victoria ignored strong advice from its engineers to close the pier 18 months earlier because of serious deterioration.

Central Pier was dramatically evacuated in August 2019. Picture: Jake Nowakowski

Sources said the government body had already incurred massive legal costs defending the case.

The Herald Sun understands some tenants have already been compensated.

Demolition of the derelict pier began in late September last year.

But due to its heritage status the process is expected to take years to finish, with only awnings around sheds removed as of last month.

A Development Victoria spokesman said: “As the matter is before the courts, it would be inappropriate to comment.”

Central Pier Pty Ltd also declined to comment.

The Allan government last month announced a joint venture agreement with the AFL to explore redevelopment opportunities to transform Harbour Esplanade, which fronts Central Pier.

The deal is separate to the $225m government-funded revamp of the AFL-owned Marvel Stadium.

Development Victoria also launched an online survey last year asking for public input into the future of the waterfront precinct, only receiving about 250 submissions.

Earlier this month veteran retail consultant Martin Ginnane warned Docklands was a “ghost town becoming more ghostly” due to the lack of visitors to the precinct.