Property Development

Chadstone shopping centre set for $685 million expansion

Written by The ReReport
As seen in the Source link, written by on 2019-12-03 00:43:27

Retail tsar John Gandel and Vicinity Centres are set to expand their enormous Chadstone – the Fashion Capital retail complex, again.

The $685 million proposal includes five key projects.

A nine-storey office estimated to be worth $130 million upon completion (artist’s impression, top) is one of them.

Earmarked for a site off Middle Road, it will contain 20,000
square metres of A-grade area.

A dining space will be built atop a multi-level car park.

About 1400 car park bays will be added in two new zones: Carpark D and C (the latter sometimes called the Coles car park) at Middle Road, is the first.

The second, at the corner of Princes Highway and
Chadstone Road, on the opposite side of the complex, is around Carpark A (or
the David Jones car park).

The car park works are valued at $97 million.

At present, the centre has 10,089 spaces.

New car parking will be created at each end of the complex, in the areas marked in this image as A, C and D.

The landlords don’t plan on adding lettable retail space
to the existing 215,574 sqm shopping complex – the biggest by area in Australia
(and until 2009, in the Southern Hemisphere).

But they will expand Chadstone Shopping Centre’s dining
terrace and leisure precinct by 4000 sqm, at a cost of $53 million.

A $340 million renovation of the fresh food precinct,
with a focus on wellness, is also planned.

Specifically, this includes:

  • Refurbishing 3800 sqm of retail area;
  • Updating 1400 sqm of café and restaurant space;
  • Creating 5300 sqm of space specific for health
  • Adding a 2900 sqm childcare centre, 1000 sqm
    education precinct and 2400 sqm co-working office.
Existing area around a food hall will be renovated as part of the $685 million expansion works.

The fifth investment – worth $37 million – will result in
2950 sqm of renovated shopping space within the centre’s luxury division.

The co-owners have all year detailed this expansion plan on the complex’s website.

This week, it lodged a planning application with the City
of Stonnington.

If approved, the landlords said, construction could begin
in 2021 and should take four years.

Chadstone’s recent history

Mr Gandel in 2017 relocated the headquarters of his private
business from an office atop of the David Jones store.

Shortly after, we reported that serviced office operator Waterman Group would take over Gandel Group’s space, after a renovation.

In 2011, Vicinity and Mr Gandel announced a $500 million development
at Chadstone which included retail area, new offices, including one rising 11-storeys,
and a 12-level hotel – the latter which was opened last week.

JB Hi Fi set up its office headquarters at Tower 2 (but earlier this year relocated to Southbank, following a merger with rival The Good Guys).

In 2008, the $140 million Chadstone Place retail wing was added.

The Malvern East complex – prior to the 1990s on land
gazetted as Chadstone – is an activity centre in post-2000 government planning documents.

Like many major shopping centres, it is the base for a sophisticated
bus network connecting the middle and outer south eastern suburbs.

It offers non-retail amenity to the community, too,
including healthcare and childcare service providers.

Longer term, it is speculated new apartment towers will
rise on the site, in keeping with a trend of shopping centres becoming
mixed-used villages.

A proposed car park (front) and the nine-level office (centre).

Landlord launches 10-week public consultation period

Chadstone director, Fiona Mackenzie, said that as
part of the planning process, a 10-week consultation, with informal sessions,
will be held in December, January and February.

“Our customers and community have told us they want
more dining and entertainment at Chadstone so our plans include an
extended dining precinct and additional fresh food to match their lifestyle
needs,” Ms Mackenzie said of the proposal.

“We’re also working to improve accessibility
with more than 1,400 additional car spaces – making Chadstone’s the largest,
free car park in Australia.

“Transport remains a critical consideration for our customers, retailers and the broader Chadstone workforce and we think these projects, coupled with government investment in exploring the feasibility of light rail, will enhance the liveability and economic value of our region,” Ms Mackenzie added.

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