Wednesday , December 11 2019
Home / Business / Australia’s biggest shopping centre set for $685m expansion

Australia’s biggest shopping centre set for $685m expansion

The flagship centre is one of the landlord’s best trading malls, underpinning the group’s profits and making up about 21 per cent of the value of Vicinity’s property portfolio.

Loading

The new development push comes just one month after Mr Gandel, Vicinity CEO Grant Kelley and local MP Marlene Kairouz cut the ribbon on Chadstone’s newly completed five-star $130 million hotel run by Sofitel under the MGallery brand.

Vicinity chief development officer Carolyn Viney said the new development will create 250 construction jobs and add about 1500 full-time workers to the centre when completed.

“Our plans will address demand from commercial tenants wanting to be based at Chadstone and continue to deliver the experiences our customers and retailers have come to expect from the ‘fashion capital’,” she said.

Loading

Chadstone’s congested car parks – a sore point with customers – will get a significant makeover, with an additional 1400 spaces turning them into Australia’s largest free car park.

But David Childs, a resident who lives near one of the centre’s major feeder roads, said the “ever increasing traffic was making access almost impossible.”

“This weekend was a classic example of the situation we are forced to live with. Gridlocked roads for kilometres in all directions, [made it] impossible to even get out of our driveway due to cars banked up,” he said.

“Stonnington Council will green-light this as they always do in search of yet more rate revenue. The ‘community consultation’ will be the usual sham of glossy flyers and false promises. And the residents will get the short end of the stick – again,” Mr Childs fumed.

Ms Viney said Vicinty’s consumer research in the lead up to the project showed the local community “has come to love Chadstone [and] to have quite high expectations about its continued evolution.”

“The only question they really raise is, that as part of that evolution, we make sure that we make an appropriate investment in car parking,” she said.

The ‘community consultation’ will be the usual sham of glossy flyers and false promises. And the residents will get the short end of the stick – again.

Stonnington Council resident David Childs

The mall’s director, Fiona Mackenzie, said the outlay included significant upgrades to existing car park infrastructure as well as additional levels.

“This will go a long way to improving the efficiency for our customers,” she said.

To counteract the threat of online shopping and keep their centres relevant, landlords around the country have been giving them substantial makeovers, adding cinemas, apartments, hotels and extra shopping space to create “town centres,” boost foot traffic and increase turnover and valuations.

Loading

Ms Viney said the area around Chadstone had a 75,000-strong corporate workforce, suggesting enough demand for a second commercial office.

If approved, Vicinity hopes to start work on the new 24,000 square metre nine-level tower in 2021. It will include 4000 sq m of co-working space, take two years to build and sit above a new fresh food mall near the Coles supermarket.

Overall, the $685 million spent will expand the size of the mall by 43,000 sq m, including the new commercial office space.

The company will run a 10-week community consultation process for feedback on the changes from December to February.

Most Viewed in Business

Loading

About admin

Check Also

GrainCorp sources next CEO from New Zealand dairy giant Fonterra

Mr Spurway’s departure from New Zealand dairy giant Fonterra was announced months ago, and he …