Latest

Adelaide City Council Announces Purchase Of Le Cornu Site

The long-time vacant Le Cornu site in North Adelaide has been given a chance to live-on… finally! And it sounds like a positive step in the right direction.

The long-time vacant Le Cornu site in North Adelaide has been given a chance to live-on… finally! We were slowly losing hope for the site, which lay abandoned for 29 years, but an announcement this morning has put a big smile on our dials.

Closing its doors in 1989, the City of Adelaide has contracted to purchase one of the city’s most strategic commercial properties, meaning there is still hope for the desperately-awaiting site.

Lord Mayor Martin Haese said the Council is positioning to take control of the site on behalf of city ratepayers, saying North Adelaide is a key commercial and residential district requiring a future of certainty.

While the Council has entered a contract to acquire the site, at this stage there has still been much hush about the financial details surrounding the transaction. But, these are due to be released when the contract is finalised.

Lord Haese says there will be consultation with the community that will govern a shared vision for the site.

“Today’s announcement is the first step in the Council’s ambition to end the uncertainty over the future of this site that has existed for three decades.

“Council has entered a conditional contract to acquire the site. Subject to the satisfactory completion of due diligence, settlement would be expected to occur in the first quarter of 2018.

“Following settlement, our intention would be to ensure that the site was redeveloped in a timely fashion and in a form appropriate to North Adelaide that reflects its prominent central location.”

The State Government has agreed to contribute a grant to support the activation of the O’Connell Street precinct.

The Lord Mayor said Council was unable to disclose the financial details surrounding the transaction because of the need to retain commercial confidentiality until its conclusion.

“As soon as the contract is finalised, Council will release the purchase price and other financial details publicly.”

Premier Jay Weatherill said the site is being taken out of hands of private developers, and put into the hands of the local community.

“This development will re-invigorate North Adelaide, and encourage more people to live in and visit the area.” “It will create jobs in construction over the development phase, and once complete it will deliver both a cultural and economic boost to North Adelaide.

“Through community consultation we will see the site develop in line with what the community wants, after so many years of inactivity.”

The Lord Mayor said Council would consult extensively with the community as part of formulating detailed plans for the long-term redevelopment of the site.

“We will develop guiding principles in consultation with the community that will govern a shared vision for the site, and the community will be given every opportunity to provide input into the development that ultimately occurs.

“Our approach will be similar to the one we are using to redevelop and improve the Central Market Arcade, where we have engaged extensively with the community and sought expressions of interest from commercial developers to partner with us.

“Importantly, the City of Adelaide intends to retain the ability to control the form and timeframe for this development to ensure that the community’s needs are met.”

The Lord Mayor said Council’s intervention was consistent with its key strategic objectives to boost Adelaide’s liveability and growth.

“At a local level, future development of this site will act as the catalyst for the rejuvenation of the O’Connell Street precinct. There will also be a much broader economic and social impact, as the developed site would be expected to become a long-term, sustainable source of revenue to City of Adelaide ratepayers.”

Situated in the heart of North Adelaide with extensive frontage to O’Connell Street, the 7 535m2 site offers significant mixed-use retail, commercial and residential opportunities.

The Lord Mayor said Council had obtained advice from a range of independent property, economic and legal advisors to help inform its final decision to move to acquire the site.

“This decision has been a long time in the making and one that is based upon assessing the best advice available to Council.

“As a council that already owns more than $300 million of commercial and retail real estate, property investments such as 88 O’Connell Street and the Central Market Arcade are core business.”

The Lord Mayor acknowledged the support of the site’s current owner, the Makris Group. “I am pleased that we have been able to reach a conditional agreement with the Makris Group that will enable Council to activate the former Le Cornu site.

“I would also like to thank the Premier and his Government for their support and recognition of the importance of activating this strategic site and city gateway for the benefit of the community.

“Finally, I wish to thank my fellow Council Members for their commitment to resolving this long-standing issue that has confronted successive city councils for the past 29 years.”

This sounds like a positive and hopeful step in the right direction for Adelaide’s future. We’re most excited to follow its progress.

 

More News

To Top