Central overhaul to get city firing

The Central Station plan could bring investment and workers back to the Sydney CBD.

Artists conception of how Central will be transformed into a mini-suburb of skyscrapers and open spaces.

Sydney is looking to steal a march on rival capitals with the Perrottet government unveiling plans for a multi-billion technology-led precinct of skyscrapers to be built over the rail lines at the city‘s Central Station.

After almost a decade of planning the government has unveiled a dramatic scheme for a mini-suburb of skyscrapers to be built over and around the station as it looks to drive the city‘s recovery in the wake of the pandemic.

The forest of new towers would become a gateway to the city and seek to provide corporate Australia with a top flight alternative to more expensive skyscrapers in the heart of the CBD.

There will be about 15 new buildings ranging in size and scale from four to 34 storeys with uses ranging from tech and office space, hotels and apartments, bars, restaurants and cafes, education, community and cultural uses.

The scheme includes about 850 new dwellings, including 15 per cent affordable housing and an additional target of 15 per cent diverse housing types such as build to rent and student dwellings.

The launch of the scheme on Monday will effectively kick off a contest between developers for the rights to overhaul the precinct with its scale likely to see it divided up and consortia of large local and international developers bid for parcels of work.

Big local property players including Lendlease, Charter Hall, Dexus and Mirvac are likely to chase opportunities on the office front, with the backing of deep pocketed local superannuation funds and foreign investors. Offshore groups including Brookfield and large Asian developers will also chase parts of the project.

Residential, build-to-rent and student accommodation groups will also seek to build towers on the site and there will be an affordable housing component.

Developers have advocated for an overhaul of the station but most of the work won‘t get underway until the next office cycle as big tenants are still working out their requirements in the tougher environment in the wake of the coronavirus crisis.

Governments and businesses have been trying to pull workers back to the city and the new precinct could help set up a return as authorities are hopeful that the area will attract hi-tech jobs and headquarters of global companies.

A neighbouring precinct will already house the $1.8bn Atlassian tower and other projects pitched at technology tenants by developers Dexus and Frasers, and the private Toga.

The enormous project will come under scrutiny due to the sensitive heritage of the station buildings and the potential for cost blow outs as building costs have soared.

The government is pitching the plan as an ambitious and visionary move to build over the rail lines at Central, saying it will deliver a spectacular new public square and parkland, office space for start-ups, and cheaper housing options.

The proposed Central Precinct in Sydney.

NSW premier Dominic Perrottet said the vision would see unused space over the current rail corridor turned into a vibrant destination and provide much needed space for the expansion of the CBD.

“We have a once in a generation opportunity to reimagine this iconic part of our CBD and transform it into a world-class precinct of shops, restaurants, office spaces, parkland and additional housing,” Mr Perrottet said. “This proposal will be another major investment into the future of the Sydney CBD.

“It will be a major job generating project and will inject further local and global business investment into the Sydney CBD,“ he added.

NSW Minister for Infrastructure, Cities and Active Transport, Rob Stokes, said the project will extend the southern CBD and use transport assets to shape almost 24 hectares of empty space into “something magnificent”.

The scheme includes more than 60,000 sq m, or just over six football fields of public domain including parks, squares, plazas including Central Square, Central Green and Mortuary Station Garden.