Proposed $2 billion precinct could revitalise under-utilised part of Brisbane CBD

The Queensland Government has welcomed a $2 billion market-led proposal, which could revitalise one of the most underutilised sections of the Brisbane CBD.

But both it – and the market – still have to work out how to pay for it.

AEG Ogden, which already manages Suncorp Stadium, the Brisbane Convention and Exhibition Centre and the ageing Brisbane Entertainment Centre, will propose a new 17,000 seat arena, cinema, restaurant and public space 'Brisbane Live' precinct above the Roma Street rail yards.

The company was behind the push to turn the Parmalat Milk factory site at South Brisbane into an arena, which was dependent on the State Government land.

An artists impression of the proposed $2 billion entertainment precinct.

But following the Palaszczuk Government's market-led proposal scheme – which allows private companies to pitch ideas and proposals for state-owned land to the government, rather than the government putting it out to tender – it has now turned its attention to the city's western precinct.

Chairman Harvey Lister said the project could help transform a part of the city that has sat, historically, neglected.

Construction is about to begin, in earnest, for the multibillion-dollar Queen's Wharf casino project, which will cover six blocks across the CBD.

Mr Lister said the Brisbane Live proposal, which aims to link King George Square in the city's heart, with The Barracks on Petrie Terrace, would complement the work being done as part of Queen's Wharf.

AEG Ogden will take its plan for the arena to the State Government.

"We think that the current location for Queen's Wharf is excellent and one of the real advantages of having the arena down town and part of the precinct is the activation of the night time economy after big events," he said.

"It would be a great pity if a new arena downtown wasn't delivered so it could be completed at the same time as the new Queen's Wharf precinct.

An artists impression of the proposed $2 billion entertainment precinct AEG Ogden will take to the State Government.

"It would be great to have both operating at the same time."

Part of the market-led proposal process is also coming up with the funding options. The State may be asked to contribute – either through a financial contribution, a land donation or ongoing management payments, but the private sector is expected to come up with the bulk of the funds.

Mr Lister said there were options the company, with the government's support, could investigate, which included the potential for investment from superannuation funds.

"As with all social infrastructure, like Suncorp Stadium, none of them are able to, from the ticket buying public, service the total construction cost," he said.

"And so what we have put forward to government and we will be expanding further on next week, is some funding options – types of things we have seen from other cities around the world when we deliver these major events and projects, in order to be able to fund the proposal.

"Whilst we are able to deliver operating surpluses at Suncorp Stadium, Brisbane Convention and Exhibition Centre and the Brisbane Entertainment Centre every year, but still, none come close to delivering this from scratch."

The proposal will be delivered to the government on Wednesday.

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