Convention Centre site likely to pump millions into Deakin coffers, government silent on cost

Property experts have weighed in on the eye-watering amount the Deakin University waterfront car park land is worth, with the state government refusing to reveal how much it cost taxpayers.

Prime Geelong CBD land where the $294 million convention and exhibition centre is due to be built could be worth $40 million or more, real estate agents estimate.

The state government announced last month it would purchase the Deakin University car park land, bordered by Gheringhap St and Western Beach Rd, where the centre will be built but won’t reveal the cost.

Early work for the centre — that will include a 200-room luxury hotel, commercial spaces, and a 1,000-seat plenary hall — is due to start in coming weeks after the state government poured $120m into the project last month.

But it batted away questions when asked if it had to put more money into the project to buy the land, that one agent described as a “once in a life time site”, from Deakin University.

Aerials of Deakin Waterfront Car Park that will house the Geelong Conference Centre. Picture: Alan Barber

One experienced commercial real estate agent, who wanted to remain anonymous, said the sale of the land would come at a “significant and sizeable sum the likes of which we’ve never seen in Geelong before.”

“These key strategic sites are worth anywhere between $4000 to $9000 per square metre,” the agent said.

Estimates put the size of the convention centre land at 10,000sq m translating to a possible value of $40m or more.

Geelong Real Estate Co Director Ricky Forte said the value of the land could sit anywhere between $40m and $70m.

“This is an unparalleled and once in a life time site because of its elevated, north facing and unobstructed water view.

“I don’t think we’ve ever had a larger or more important piece of Geelong’s identity in the limelight.

“A value of up to $10,000 per square metre might not be out of the question but the likely value could sit somewhere around $70 million.”

Geelong Conference Centre design concept. Picture: supplied

This week the state government was coy on how much it paid for the land and has repeatedly refused to release details of the sale.

Regional Development Minister Mary-Anne Thomas said she was confident the government got value for money.

“These matters are commercial in confidence but of course being a government transaction, the valuer general is involved every step of the way,” Ms Thomas said this week.

“We need to ensure at all times that we get best value for taxpayers.”

Ms Thomas did not respond directly when asked if the government had to put more money into the project because of the cost of the land.

“This site was so special to Geelong the government was willing to invest further money to really develop the whole precinct. We have now provided funding that will enable the expansion of the site.”

Asked, last month, if Deakin University was playing “hard ball” on the terms of the sale, Premier Daniel Andrews issued a cryptic response.

“Deakin is … very, very professional in the way that they engage. They want to get the best value for their future.”

The project is jointly funded between the state government ($261m), the federal government ($30m) and Geelong council ($3m).

On the current timeline the convention centre would open about 2026. Deakin University will construct a replacement car park at a nearby site.

Originally published as Convention Centre site likely to pump millions into Deakin coffers, government silent on cost