Dexus to transform Brisbane waterfront

Dexus to transform Brisbane waterfront

30 March 2018

Property group Dexus has signalled its willingness to undertake major mixed-use projects on its key landholdings as the Queensland government on Friday unveiled a $1.4 billion overhaul of the group’s waterfront precinct in Brisbane, reports The Australian.

The mega-project would result in two new towers with potential for commercial use, residential apartments, a hotel and additional retail spaces being developed on the site of the Eagle Street Pier.

With the property cycle running hot, Dexus is looking to its $4.2 billion pipeline of development opportunities as it plans to go beyond owning office buildings and into mixed-use plays.

The project would also transform an underused strip of the Brisbane River into a modern urban precinct.

Queensland Minister for State Development, Manufacturing, Infrastructure and Planning Cameron Dick said the proposal would add up to 1.5 hectares of public and riverfront open space, including shaded public terraces stepping down to the river and a new, wider Riverwalk section that would continue the alignment along the river with the recently announced botanic gardens Riverwalk project.

The proposal has reached the third of four stages, after the State Government paved the way for a full feasibility study, reports ABC News.

Brisbane City Council said it would ask a working group of stakeholders to consider the proposal.

State Development Minister Cameron Dick said the project would transform parts of the financial district and construction could be begin in 2020 if all approvals were granted.

Dexus chief executive Darren Steinberg says the proposal’s goal is to revitalise Eagle Street Pier as Brisbane’s premier dining hub.

“The proposal is consistent with our strategy of enhancing the CBD assets owned by Dexus and our funds management clients through development and creating engaging workplaces and spaces for our customers and the community,” he said.

Dexus is also focussing on Sydney and Melbourne, where the bulk of the major mixed-use projects is being undertaken. “It’s important for Dexus to be able to create assets and those assets aren’t necessarily just going to be office buildings,” Mr Steinberg said.

“Dexus sees itself predominantly as an owner of CBD assets and while this in the past comprised primarily of office buildings, in future it will also encompass mixed-use assets,” Mr Steinberg said.

The shift in emphasis will be take careful regard of the strength of the Dexus balance sheet. “We will continue to work out what our risk profile is and what assets we will participate in,” Mr Steinberg said.

Dexus manages and owns 10 Eagle Street, 12 Eagle Street, Waterfront Place and the heritage-listed Naldham House—all of which would be retained for the development.

The Brisbane Times reports the $1.4 billion project would support 740 jobs each year.

Currently, 3000 pedestrians walk through Eagle Street daily and 30,000 people access the area via CityCats and ferries every week.