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February 23, 2012

Historic Olderfleet building in Melbourne’s CBD sells for above book value but below expectations

The historic Olderfleet building in Collins Street has been sold for about $67 million by the Australian Unity Property managed office trust –below the price expectations of $72 million.

Offers for the intricate neo-Gothic facade building at 477 Collins Street closed last August.

Mark Pratt, the general manager of property, mortgages and capital markets at Australian Unity Property, says selling the property enabled AUI to provide investors with enhanced liquidity and ”higher than expected capital returns.”

“Strong demand, tight supply and a lack of development in Melbourne over the past three years presented us with a unique window of opportunity to maximise the value of the Olderfleet Building on behalf of investors.

“While we considered a range of alternative options including refurbishing the property, we determined the best outcome for investors was to sell the property into an improving market, achieving a sale price above current book value,” Pratt says.

The sale to Aviva Investors Asia Pacific Property Fund – a fund managed by Singapore-based fund manager Aviva Investors Asia Pte Limited – was packaged by the Sydney fund manager Propertylink after being marketed by CBRE, according to the Australian Financial Review.

Its valuation was $65.4 million as at November 2010. As at December 2009 there was a $63 million book value for the building – a decrease of $3.75 million from its 2008 book value.

Olderfleet is 100% leased, and the car park is leased and operated by S&K Car Park Management. Its office tenants include Accenture, CapGemini,  Ernst & Young, Melbourne Conference & Training Centre and Allens Arthur Robinson law firm.

The complex consists of an eight-storey office building behind a series of classified historic facades dating back to 1884 – and protected from demolition during the 1970s building boom by public lobbying – a well as a large car park.

With a dual frontage site of 3,899 square metres, it has more than 40 metres of prime retail frontage on Collins Street.

The office investment has 11,986 square metres of net lettable area and a commercial car park of 598 bays off Flinders Lane.

Located between William and King streets in the CBD’s popular western core, the property was offered as substantially under-rented.

It has a net passing income of $5.7 million per year.

The office complex was built by Becton in 1985 behind the row of three historic terraces.

It was sold in 1994 by Becton Corporation for $40 million to Singaporean interests at a yield of 14.75% on its then net income of $5.9 million a year.

The sale occurred about the same time that Michael Buxton retired from Becton, thereby ending his two-decade long partnership with Max Beck.

It was later sold to the Acumen Office Trust established by Multiplex Capital in 2002 for $56 million.

Multiplex Capital achieved strong returns for investors, delivering an income yield of 9% per annum for the two years to 2007, which represented a total return of 11.3% over the five-year period. By 2007 Multiplex Capital had renewed leases for more than 11,000 square metres of space.

In 2007, after sounding out investors, there was a transfer of management rights to Australian Unity Property Limited.

Australian Unity Investments is the funds management arm of financial services, health and retirement living services provider Australian Unity.  It has more than $11.5 billion in funds under management as at January 2012.

By Jonathan Chancellor
Thursday, 23 February 2012

http://www.propertyobserver.com.au/office/historic-olderfleet-building-in-melbournes-cbd-sells-for-above-book-value-but-below-expectations/2012022253510

February 19, 2012

In sickness and in health

A cancer battle helped to inspire the design of a hospital, with the hope of bringing an aesthetic salve to suffering.

CAN a hospital be uplifting?Rob McBride and Debbie Ryan.

Three years ago architect Rob McBride lay in a hospital bed being treated for cancer and loathing the soulless architecture with its endless corridors.

“You can’t help being an architect, even when you’re sick,” he says. “So you’re still looking around saying, ‘That’s a bit ugly’.”

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While he went into remission, cancer didn’t change his life profoundly. “It made me value what I already value a lot more — my family and my work — but it’s not like I wanted to change anything,” he says.

The stressful all-nighters that architects regularly pull is just part of the job he loves; one that he shares with his wife, interior designer Debbie Ryan. Indeed she was all too familiar with cancer and depressing clinics. It had claimed her father several years before.

Whether cancer is a matter of stress, bad luck, destiny or biological predisposition, as fate would have it last year they were invited to be part of a bid to design the Victorian Comprehensive Cancer Centre.

For a firm that established its reputation on experimenting with intricately sculpted residential projects and making a virtue of relatively unglamorous projects, such as the star-spangled Yardmasters building at Southern Cross Station, this would be the biggest job of their 24-year career. The largest clinical and research cancer centre in Australia. The budget: $1 billion. The location: the landmark site at the roundabout of Flemington Road and Elizabeth Street and the symbolic gateway to the city’s medical precinct.

McBride may not have wanted to change the way he worked, but they both agreed that their work could change the way a hospital was designed. Function would not be the sole determinate over the form.

“We tried as best we could to steer away from the sort of things you commonly accept in a hospital,” he says. “Slightly holy places are the type we returned to — galleries, mosques and churches. Architecture that tries to make people believe in something. That was our hope for the cancer centre. That it would give you that sense of belief that you would get cured or that eventually cancer will be licked.”

So how did such a relatively small practice get to take part in the bid for such a major public project? As life-changing moments go, perhaps winning the 2009 World Architecture Festival’s best residential category for the Klein Bottle House at Rye qualifies. It certainly brought plenty of international media hype. MCR were the creators of the “best house in the world”. But MCR’s stunning buildings have been steadily accumulating Australian architecture’s highest accolades for more than a decade.

The inspiration behind that Klein Bottle House was an obscure, seemingly impossible, mathematical model, which has no distinguishing inside or outside. MCR’s many other awarded projects have equally captivating sources. Hogwarts, a Chinese dragon, a cloud, and a school library at the centre of an infinity symbol are the consistently atypical inspiration for MCR buildings. “These are buildings that are about trying to capture your imagination,” says Ryan.

“When we started out it was harder to convince people to go with our vision,” she says in a new documentary on their work, Life Architectur-ally. “These days people come to us because they expect us to give them something unexpected.”

The tantalising question of will they or won’t they win the bid forms the dramatic structure for the documentary, which resembles an episode of the popular Grand Designs.

It’s tempting to view the cancer centre’s exterior as arteries flowing across the surface of the building, and the interior with its bridges and voids as ventricles. McBride isn’t so keen on the analogy. “It didn’t escape us that people could read biological metaphors, but it was really about trying to embody the centre,” he says. “The spiral became for us what we thought would be a symbol of hope or progress, because that was what the building was all about. The spiral starts on the axis and winds up the building.

“The internal spaces are quite grand and ambitious. But also something that is easy to get around.

For people that are quite traumatised by the whole experience, they don’t spend half their day walking down 100-metre corridors trying to get from one department to the rest. And they always relate back to the central space which, with all its light and air, hopefully is inspiring and gives people some sense of hope.”

Meanwhile, the exterior is meant to resemble trees. “It reflects the coming together of different types of research and institutions — a whole lot of strands of thoughts, endeavours — in this one facility,” says McBride. “Trying to be a symbol of a centre of the whole medical precinct. It’s about sending a signal: to the staff that their work is important and to patients that a sense of care pervades the whole environment. I don’t know whether it was because I’m an architect, but if I’m going to go through that sort of thing, I’d rather go through it somewhere quite beautiful.”

February 15, 2012

Going green in Dandenong

Filed under: Uncategorized — Tags: , , , , — tom @ 9:24 pm
MCJ Wed 8th Feb 2012New Grocon office block with six star energy efficiency rating in the heart of Dandenong.The Age/Property, Picture Michael Clayton-Jones, Story Philip HopkinsDandy landmark: The state government services building has a six-star green rating. Photo: Michael Clayton-Jones

VICTORIAN ash timber salvaged from the Black Saturday bushfires is a key design feature of the new 6-star government services office built as part of the revitalisation of central Dandenong.

The timber, which was salvaged by VicForests and milled by Montana in Montrose, is used extensively internally and externally, and is certified under the internationally recognised PEFC scheme.

The $80 million building built by Grocon is a landmark designed to act as a catalyst for further investment in central Dandenong – a 15 to 20-year state government project that is Australia’s second-biggest urban renewal project after Melbourne’s Docklands.

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New Grocon office block with six star energy efficiency rating in the heart of Dandenong.The building features salvaged timbers … Photo: Michael Clayton-Jones

Overseen by Places Victoria (formerly VicUrban), it involves $290 million in state government spending and is expected to generate $1 billion in private investment. Seven hectares of central Dandenong are being redeveloped, with new buildings and new streets and some existing streets extended, in the area between the main city artery, Lonsdale Street, which has been made into a tree-lined thoroughfare, and the railway station.

The government office has been created by the partnership of architects Hassell, consulting engineers Umow Lai, and Daniel Grollo’s construction company, Grocon. The building itself belongs to Bruno Grollo.

The project has earned six green stars without reliance on elaborate on-site generation or other technologies common to many 6-star buildings. Project manager Andrew Poulton told The Age that the rating was achieved through water and energy measures.

New Grocon office block with six star energy efficiency rating in the heart of Dandenong.… and rainwater-fed landscaping. Photo: Michael Clayton-Jones

The government service office is an integrated fit-out over eight levels with a striking cantilevered section above the footpath. At the ground level there are three large double-height foyer spaces as a public face to the building.

Pocket atriums in strategic locations around the perimeter of the building pour natural light deeper into the floor plate. On level 4 is the Loggia – an outdoor landscaped garden featuring timber – and conference rooms.

Robin Deutschmann, senior associate with Hassell, said the building had been designed as more than just a commercial office. ”Public servants in it have large interface with the public. The idea of timber is a community notion – bushfire timber – and the critical link to the community experience,” he told The Age.

The windows are adorned with a frit. Mr Deutschmann said the frit mitigated the glare and heat, and allowed use of a more transparent, clearer glass. ”Otherwise we would have needed a darker glass,” he said.

The frit, designed by Hassell with graphic designer Buro North, is a pattern that reflects the cosmopolitan culture of Dandenong based on motifs from local community groups – European, African, Afghan and Indian. ”It was an opportunity to celebrate cultural diversity,” Mr Deutschmann said.

The Loggia overlooks the new civic street, Halpin Way, that is under construction and which will be a new retail precinct linking the rail station and Lonsdale Street. ”The building steps to allow light to filter to the street,” Mr Deutschmann said.

The kiln-dried timber was not treated. ”It’s the focal point of three entrances, gives warmth, a humane, relaxed feel, along with green-planted walls,” he said.

Mr Poulton said Grocon chief Daniel Grollo had challenged the builders to achieve the 6-star rating. It was eventually reached with 77 points – two points above the 6-star target. Key sustainability features include a solar hot water plant; a 40,000-litre below-ground rainwater tank for toilets and irrigated landscaping; fire protection test water in a 6000-litre water recirculation tank; waterless urinals and water-efficient fixtures; a chilled water system with air-cooled chillers that reduce water consumption; and mechanical underfloor ventilation air distribution.

PEFC timber certification also contributes points to the sustainability criteria of the Green Building Council of Australia.

The building has been designed to integrate with the civic centre and city square to be built next door. South East Water and the Australian Tax Office are also talking with bidders about building new offices in central Dandenong on the other side of the new building.

February 13, 2012

Floodwater to Provide Irrigation in Queensland

floodwater used for irrigation

Queensland has seen some devastating effects as a result of natural environmental disasters such as the powerful floods they experienced at the beginning of this year. In light of the damage caused by the floods, both the federal government and Queensland state government have banded together in order to use the excess water more effectively.

In the latest reports, the combined government entities plan to harness the wet season floodwaters and channel them into irrigation systems.

In creating an irrigation system that puts the floodwaters to positive use, the government hopes to protect infrastructure from the effects of the environment, as well as harness the water efficiently.

“The aim of the agreement is to improve infrastructure, liveability and economic resilience in these high-growth regional economies through providing skilled and flexible workforces, more affordable housing and better services” says Queensland Agriculture Minister Tim Mulherin.

Flood IrrigationFlood Irrigation

Wet seasons floods from the Flinders and Gilbert Rivers in the state’s north will be fed into a multi-million dollar irrigation system.

While residents of the region have welcomed the agreement, the opposition has stated that the government is thinking on the small scale and should expand nationally.

“Get serious and expand your horizon across the whole of the nation so that we can make sure that Australia takes the opportunity and becomes the food bowl of Asia” says Queensland Nationals Senator Barnaby Joyce.

Before a project of this nature can be undertaken on a national scale, the northern Queensland area will take priority. If it is effective, then there is room for future negotiations with other states.

The new agreement is set to ring in ‘a new era of agriculture’, and if successful, could see the one of Australia’s most effective resilience planning moves in modern history.

By Tim Moore – http://designbuildsource.com.au/floodwater-to-support-irrigation-queensland

Construction Activity Up 12.5%

Filed under: Uncategorized — Tags: , — tom @ 10:16 pm

Civili Construction Up

Construction activity in Australia rose by 12.5% in Australia during the third quarter, according to the latest data from the Australian Bureau of Statistics (ABS).

And there are signs of improved building conditions in the US with the architecture billing index in that country on the rise.

According to the latest Construction Work Done report from the ABS, on a seasonally adjusted basis, the overall value of construction work done in Australia rose 12.5% in the September quarter to come in at $47.467 billion. Compared with the September quarter last year, overall activity is up 18.1%.

But the data highlights the two speed nature of the industry. Building activity remained flat during the September quarter (up 0.6%, seasonally adjusted) and is down 9.1% in one year ago. Civil construction work, by contrast, surged 22.6% during the quarter and was up a whopping 48.9% compared with the September quarter last year.

Not surprisingly, resource rich Western Australia led the way, with the seasonally adjusted value of work done in the state up a whopping 44.1% during the quarter. This was followed by the Northern Territory, which recorded an increase of 13.7%. New South Wales (up 5.4%) and Victoria (up 3.1%) recorded respectable gains, Queensland remained virtually flat and South Australia and Tasmania recorded declines of 8.7% and 7.9% respectively.

Meanwhile, in America, the architectural billings index rose 2.5% to 49.4, according to the latest data from the American Institute of Architects. Whilst any reading below 50 in the index represents an overall decrease in demand for design services, improvement implied by the latest data indicates that conditions are becoming less negative.

The index is widely considered to be a good indicator of likely US construction spending nine to twelve months into the future.

Building conditions in America are strongest in the north-east but remain weak in the west of the country.

http://designbuildsource.com.au/civil-construction-activity-up

Flood Resistant Architecture Becomes Top Priority

New Queenslander by Cox RaynerNew Queenslander by Cox Rayner

Even with all of the effort going into infrastructure and damming solutions to support flood-ravaged areas of Australia, Queensland and New South Wales continue to battle against water levels that are simply too high.

The latest floods up north have been so extreme that some areas still remain completely isolated with more storms and extreme weather conditions to continue.

While these areas face the brunt of the flooding in this country, and have a long history of these events, the support, ongoing and present from both government and public entities, means that responsive action has been swift with future irrigation planning in place.

However, these freak weather incidents will still occur, and several architectural bodies have called for a push in further resilience planning.

The Australian Institute of Architecture’s building advisory Archicentre has advised that flood resilient building designs should become a priority in these areas that show a history of concurrent flooding, giving them the same amount of importance as bushfire resistant housing in fire-prone parts of this country.

Flood Resistant home by Dion SeminaraFlood Resistant Home by Dion Seminara

Cox Raynor director Michael Raynor came out last year with his interpretation of the ‘New Queenslander’, which is a prime example of water resistant home design. The living spaces are built higher up, including carefully put together ‘dry spaces’, natural ventilation and shading devices and a ground floor that is cement based, easily cleanable, secure and durable.

Now, with the completion of the 2011 architectural competition devised by the team of Archicentre, LJ Hooker and The Future Housing Taskforce to support the growth of water resistant design innovation, designs in this same vein are increasing in their popularity and standard.

“The architects in the competition have set new standards in flood-safe home design by designing homes within a construction budget of $200,000” says Archicentre Queensland State Manager, Ian Agnew.

The winning flood resistant design concept created by Dion Seminara Architecture fit into the $200,000 construction budget while providing those key water resistant features that Raynor also included in his design, of undercover parking, high leveled living spaces and light weight building materials.

We cannot control the weather conditions in this country. They are erratic at best, and with climate change and other man-made influencers currently taking their toll on our environments the need to safeguard ourselves is imperative. We may not be able to control the weather, but we can control our buildings. In fact, it is our responsibility to do so. By creating a precedent for water resistant designed homes in floor prone areas, we are potentially safeguarding Australians from more than just an economic fall out.

By Tim Moore – http://designbuildsource.com.au/flood-resistant-architecture-becomes-top-priority

Thousands of units on the drawing board

Filed under: Uncategorized — Tags: , , — tom @ 10:12 pm

MELBOURNE’S already bloated apartment market is set for yet another mega-residential development with Industry Superannuation Property Trust filing plans for a 2992-unit development in the city’s CBD.

The $1 billion-plus project on the former Age newspaper site in Spencer Street will be Melbourne’s largest single apartment development.

Six towers from 39 to 63 storeys reaching between 142m and 222m in height will be erected on the site and funded by the nation’s largest industry super funds.

“The submitted application is for a master plan development approval for the entire site; subsequent details for each individual development will be considered under conditions within the approved planning permit now being sought,” ISPT chief executive Daryl Browning said.

The project’s size means that rather than the council reviewing the plans, the final decision on the project will be made by state Planning Minister Matthew Guy.

The Australian housing market is showing signs of life, with data revealing that national median house prices recorded an incremental gain over the final three months of last year.

The relief for homeowners and residential developers could be short-lived, with the threat of thousands of jobs cuts looming across a number of sectors set to take any heat out of what is already a tepid market.

Research data released this week by Australian Property Monitors showed that Melbourne apartment prices have been falling over the past year, shedding 0.9 per cent in value in the last three months of last year alone.

APM found that national median prices rose to $533,650 from $533,521 in the three months to December 31. However, over the year, house prices have fallen 3.5 per cent nationwide.

Melbourne’s housing market fared the best over the quarter, rising 1.1 per cent, but those gains were offset by further house price falls in Brisbane, where median prices were down 1.2 per cent for the quarter.

Prices in Perth also fell 1.2 per cent over the last three months of the year.

http://www.theaustralian.com.au/business/property/thousands-of-units-on-the-drawing-board/story-fn9656lz-1226252816041

February 9, 2012

Big Redevelopment for Little Melbourne Market Icon

Melbourne Little Saigon Market in FootscrayMelbourne’s Little Saigon Market, Footscray

Melbourne has a subtle culture that is all its own. While major cities around the world are often characterised by their strong ethnic roots, the cultural melting pot that is Victoria’s capital city does things its own way. This includes an architectural style that is founded heavily upon the small, unseen spaces rather than overbearing ostentatiousness, such as the CBD’s Degraves Street laneways and Victoria Market.

Another subtle Melbourne icon is Footscray’s Little Saigon market. The heart of Maribyrnong is set to receive a $70 million redevelopment and has featured as a key project in Victoria’s latest industry sector analysis.

The plans include the demolition of the current three-storey market building, which will be replaced by a four-stroey podium and two multi-residential towers, bringing with it a completely new, and vertically extended, skyline.

While culturally, the little market is set to explode, allowing for a plethora of new business and residents, aesthetically, the area will gain a new modern architectural exterior that will bring CBD elegance into the Footscray area.

The four-storey podium space will include a ground floor market space, office and commercial space and two levels of car parks.

Little Saigon Market FootscrayLittle Saigon Market, Footscray

On top of this, the two multi-residential towers of eight and 12 storeys respectively will host 260 one, two and three bedroom apartments. In addition to the dwellings, sky gardens will be created in order to help develop a sense of community, style and bring the environment into the urban space.

As with any redevelopment of a beloved space, it is going to bring with it controversy, especially a redevelopment that is so visually different from its original. It is for this reason that eleven objections have been made against the redevelopment for issues relating to its height, increased car parking and noise pollution.

Another fear has been the loss of business and inconvenience that the construction process will cause the market.

While these may well be valid concerns, the owner of Little Saigon, Binh Le has been reassuring people that the process will enhance the market and the lifestyles of all in the area.

Progress is important. Redevelopments need to be made in order to bring back life to some of Melbourne’s most culturally important places. It is vital to remember that is in no one’s best interest to create an unsuccessful space and by nurturing our cultural architectural heritage and bringing it into a modern form, we are able to hold onto it for longer.

Image Courtesy: Techne Architects
By Tim Moore – http://designbuildsource.com.au/big-redevelopment-for-little-melbourne-market-icon?utm_source=rss&utm_medium=rss&utm_campaign=big-redevelopment-for-little-melbourne-market-icon

February 8, 2012

Victoria’s First Rate rating tool up for sale

Filed under: Uncategorized — Tags: , , — tom @ 10:57 pm

Sustainability Victoria will call tenders for the sale of its FirstRate5 residential thermal rating tool, but only private industry need apply, it seems.

Newly appointed chief executive officer of SV Stan Krpan on Wednesday said: “We believe owning and maintaining software is not in line with our future direction and FirstRate5 would be better maintained by private industry.

“This is an exciting opportunity for a potential new owner and for the industry in general,” he said.

But a leading expert in rating tools said that any rating tool that is used for statutory performance standards needs to be managed by government in order to access the data critical for its accuracy.

The tool is part of a suite of tools on the market to rate buildings underpinned by the NatHERS (Nationwide House Energy Rating Scheme)

The move to sell the FirstRate5 tool comes as Victoria’s lead environmental agency continues to shift away from broad based transformational policies under the coalition government in Victoria to focus on waste management. It is understood this is to reflect the agency’s primary source of funding from a landfill levy.

A wide ranging review of the agency that has taken almost the entire term of the new government to date, has been concluded but its results not yet released. A spokeswoman for the minister for environment and climate change Ryan Smith recently told The Fifth Estate that the document was still with cabinet.

Mr Krpan said SV has owned and maintained FirstRate5 and its predecessor software for more than 20 years. The software has helped existing home owners and the building industry to improve the energy efficiency of Australian dwellings.

Mr Krpan said it was hoped a new owner would improve the software and provide a high level of service to new and existing licensees.

However, Bruce Taper, one of the developers of the NSW BASIX residential rating tool, said he believed a private owner of the tool would struggle to access the data required to provide accurate information such as accurate data sets of water and energy consumption from utilities.

Access to such data was particularly important for tools used to mandate and assess regulatory standards, he said.

“Yes the private sector can have a role in administering the tools but where government relies on those tools to meet regulatory standards then they need to be in the game,” Mr Taper said.

“The private sector can own the tool but the government needs to have some skin in the game, with servicing or furnishing those tools with the data sets that might only be with government departments.”

However, he said that the FirstRate tool had been “oversold” because it related to thermal performance of building fabric not the overall energy efficiency of a home.

“Everyone knows that a five star house with a black roof and no eaves is not energy efficient,” Mr Taper said.

“It still exists in BASIX and forms a discrete and important part of BASIX, but only a small part.”

Lightweight structures such as those built by leading architects tended to perform poorly under a FirstRate tool but were actually highly efficient homes.

Asked to explain the decision to sell FirstRate5, a spokesman for Mr Krpan said:  “The Victorian Government maintains that allowing software developers to own intellectual property in the software they create for the Victorian Government is important to encourage innovation and provide software developers the opportunity to benefit from the commercial exploitation of the software outside of the Victorian Government.”

The spokesman denied  Mr Krpan’s comments on the tender offer that the tool would be better maintained by private industry excluded government agencies such as the NSW Government-owned NABERS, which has significant experience managing rating tools.

“SV would not exclude the NSW Office of Environment and Heritage (which owned of NABERS) from tendering as the process is designed to be fair and open in order to find the very best tenderer.”

The spokesman also said the quality of the tool would be protected.

“CSIRO will maintain ownership of the calculation engine that sits behind FirstRate5 so that a government agency will still provide all climate data and will ensure the software incorporates the best available data in the Australian context,” he said.

For tender details are at: www.tenders.vic.gov.au

For the  FirstRate5 update patch released 25 January, see the Sustainability Victoria website

By Tina Perinotto

9 February 2012 – http://www.thefifthestate.com.au/archives/31653

Council rules on ‘air rights’ case

Filed under: Uncategorized — Tags: , , — tom @ 10:37 pm

MELBOURNE,AUSTRALIA-APRIL 8, 2011 : Photo of Michael Yates in South Yarra  on Friday, April 8, 2011. AFR  / LUIS ENRIQUE ASCUI

STONNINGTON Council has approved a 26-storey apartment block in South Yarra, ruling that the developer’s unsuccessful attempts to buy the ”air rights” over a neighbouring building to secure unimpeded river views was not a planning matter.

After the decision, experts said the use of air rights was likely to become more common as Melbourne grew upwards and outwards, and planners should consider greater regulation.

In December, South Yarra developer Michael Yates offered the residents of 19 Yarra Street, a two-storey building next to Melbourne High School, $250,000 for the ”airspace lot” above their roof on the condition that they did not lodge further objections to his neighbouring development proposal. They declined.

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Mr Yates had earlier bought a top-floor $650,000 apartment inside 19 Yarra Street, which gives him veto rights – like other residents – over attempts to redevelop the building.

On Monday night, Cr Angus Nicholls told Stonnington Council the planning application for Mr Yates’ apartments proposal at 18 Yarra Street was ”impressive” and any discussion about air rights was a commercial rather than planning matter.

Air rights are not common in Australia, but there are a number of high-profile examples in the US, where media tycoon Donald Trump bought the air rights to protect views from his Trump World Tower.

Melbourne University planning expert Dr Alan March said Australia’s planning system had long been subservient to individual property rights, but as development intensified, planners would need to regulate decisions – such as air rights or rights to a view – that affected large numbers of people.

Janet Watson, a resident of 19 Yarra Street, said she was disappointed with the decision and objectors planned to take the matter to the Victorian Civil and Administrative Tribunal.

Miki Perkins

February 9, 2012

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