Gurner Group’s $1.25 Billion Adelaide Redevelopment Gets Green Light from State Commission

Gurner Group's Adelaide Redevelopment
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Gurner Group, led by Melbourne property developer Tim Gurner, has successfully obtained planning consent to revitalize the former Australia Post site in Adelaide situated at 237 Grote Street. The State Commission Assessment Panel (SCAP) has given the green light to a substantial $1.25 billion project, aiming to transform a western CBD car park in central Adelaide into a diverse precinct.

The approved plan envisions the construction of five towers ranging between 15 and 28 storeys, constituting a dynamic blend of residential, commercial, and recreational spaces. The tallest tower, standing at 28 storeys and 95 meters, will be situated at the intersection of Grote and Blenheim Street. In total, the central Adelaide development will include 600 apartments, a 220-room hotel, 3242 square meters of retail space, 2401 square meters of commercial space, and 3157 square meters of recreation space.

Tower 2 of the Gurner Group Redevelopment Project Adelaide

SCAP’s minutes from the Wednesday meeting highlighted the unanimous approval, stating, “The SCAP [resolved] Pursuant to Section 107(2)(c) of the Planning, Development and Infrastructure Act 2016, and having undertaken an assessment of the application against the Planning and Design Code, the application is NOT seriously at variance with the provisions of the Planning and Design Code.”

Notably, the SCAP granted planning consent over a 10-year period, allowing the gradual construction of the five towers, a decision aimed at optimizing the development process.

Gurner Group initially disclosed its ambitious plan in June 2022, intending to transform the former Australia Post site into a $1.25 billion precinct in collaboration with landowner Kennards Self Storage. Positioned approximately 150 meters from West Terrace, the 11,150 square meter L-shaped site presently serves as an outdoor car park with some shops in its northeastern corner.

The 28 Storey Hero Building Main Tower for the Project
The 28 Storey Hero Building Main Tower for the Project

Gurner expressed his enthusiasm for the project’s approval, stating,

“We are thrilled to have been able to obtain approval for such an important site for the future growth of the city. We have a very exciting vision for the site that will create a new level of luxury for the Adelaide residential and hotel market, alongside some very exciting retail and hospitality announcements that will be revealed in the coming months.”

The development’s architectural centerpiece is slated to be a 28-storey structure housing 206 apartments, with ground-floor shops, a café, restaurant, and bar. Two 20-storey apartment buildings are planned on either side of the Hero Building, each towering at 66.3 meters and accommodating 136 apartments.

The project also allocates space for various amenities, including office spaces in the Blenheim Street tower (Tower 4), and a “St Haven Wellness Facility” and “Pool Club” in the Grote Street tower (Tower 2). Additionally, a 16-storey hotel on Grote Street (Tower 1) and a 15-storey apartment building facing Gouger Street (Tower 5) complete the development.

The 5 Tower Gurner Group Redevelopment Site Plan Map
The 5 Tower Gurner Group Redevelopment Site Plan Map
Tower 5 on the corner of Gouger and Blenheiim Street
Tower 5 on the corner of Gouger and Blenheiim Street

Out of the 600 planned residences, 246 will be one-bedroom apartments, 302 two-bedroom, and 52 three-bedroom units. Notably, 90 dwellings will be designated for affordable housing, aligning with the 15% affordable housing requirement mandated by the planning code.

Government planning officer Mollie O’Connor recommended the SCAP grant planning consent, emphasizing the project’s role in fostering mixed-use development and supporting residential and tourism opportunities for Adelaide City.

Despite three of the towers surpassing the zone’s maximum building height of 53 meters, the proposal’s inclusion of 15% affordable housing increases the allowable zoning to 69 meters. The Hero Building’s height at 95.4 meters, although exceeding this limit, received approval from both O’Connor and Government Architect Kirsteen Mackay.

Furthermore, the development proposes 3353 square meters of publicly accessible space through internal laneways and a plaza behind the main tower, featuring a cenote adjacent to a pool deck.

Adelaide is seeing some large scale projects take shape, with construction now well underway at ICD Property’s Market Square redevelopment on the Central Market Arcade site in central Adelaide.

Note: The information presented in this article is for general informational purposes only and should not be relied upon as legal, financial, or professional advice. While we make every effort to fact-check and verify the information presented, we cannot guarantee its accuracy or completeness. Readers are encouraged to independently verify any information they find on our website and to consult with relevant professionals before making any decisions based on the information presented.

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