East Circular Quay Redevelopment (Series): The shift towards residential development (1993)

In the 12th entry of my series, I will focus on the shift towards redeveloping East Circular Quay as a residential precinct.

Colonial Mutual Limited (CML) proposed and advocated for a commercial development of their site, while Mirvac wanted to build a hotel on it.

Economic factors also influenced the type of redevelopment that would result. Office vacancy rates in central Sydney were around 20% in 1993, stemming from the recession of 1990-1991 and recently completed commercial developments that were planned and had commenced construction prior to the recession. 

Sydney City Council were also advocating residential development in central Sydney to encourage more people to live in the city and increase street activity outside of working hours.

In November 1993, Mirvac decided to axe its plan to build a hotel on its site (61 Macquarie Street) and proceed with an apartment tower. CML was "exploring" the option of focusing on residential development.

 

Source: Harley, R. 1993. "Apartments the key for Quay projects". The Australian Financial Review,  November 11: 43.

In December 1993, it was reported that both CML and Mirvac would lodge plans the following year (1994) for redeveloping the sites, but CML had not ruled out a "tower" or "revolving building" based on previous schemes. 

Source: McDougall, B. 1993. "Back to drawing board on Quay". The Daily Telegraph Mirror, December 3: 27. 

Meanwhile, Mirvac's development application for 61 Macquarie Street (as covered a fortnight ago) had lapsed. The planning guidelines restricted the height limit to that of ICI House, which was currently occupying the site. CML purchased the airspace above ICI House for $12 million in compensation, as any redevelopment of East Circular Quay would limit Mirvac's redevelopment potential on its site.

Source: Harley, R. 1993. "Quay $12m for Mirvac". The Australian Financial Review, October 28: page unknown.  

Next week, I will focus on the unveiling of the scheme that we would see today.

Entries in this series

1. East Circular Quay Redevelopment (Series): The first apartment block proposal (1979)
2. East Circular Quay Redevelopment (Series): Opera Garden Centre Scheme (1984)
3. East Circular Quay Redevelopment (Series): Unilever House Hotel Conversion (1986)
4. East Circular Quay Redevelopment (Series): Opera Garden Centre Scheme Revisited (1986)
5. East Circular Quay Redevelopment (Series): Unilever House Hotel Conversion (1987)
6. East Circular Quay Redevelopment (Series): CML's 1990 Scheme
7. East Circular Quay Redevelopment (Series): CML's Bennelong Centre (1991)
8. East Circular Quay Redevelopment (Series): East Circular Quay Redevelopment (Series): The Revolving Office Tower Scheme (1991)
9. East Circular Quay Redevelopment (Series): East Circular Quay 'Ideas Quest' (1992)
10. East Circular Quay Redevelopment (Series): Mirvac Hotel Scheme - 61 Macquarie Street (1992)
11. East Circular Quay Redevelopment (Series): New Planning Guidelines unveiled (1993)