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Development Victoria Annual Report 2018–2019 PDF, 6.5 Mb DEVELOPMENT VICTORIA ANNUAL REPORT 2018-19 CONTENTS Chairperson’s report 2 Chief Executive Officer’s report 3 About Development Victoria 4 Declared projects and Ministerial directions 6 Year in Review 7 Key achievements 2018-19 8 Development Victoria’s Board of Directors 20 Executive Leadership Team 23 Report on Operations 24 Development Victoria Projects 2018-19 25 Our people 28 Financial Statements 38 Disclosure Index 83 CHAIRPERSON’S REPORT Development Victoria was created to deliver urban I would like to thank my colleagues on the Board for their revitalisation for all Victorians, and our second annual clear vision and understanding of what Development report reflects how the organisation has grown over Victoria can achieve. the past 12 months. We have moved quickly from On behalf of the Board, I extend my thanks to Chief Executive establishment phase to settling into a maturity across Officer Angela Skandarajah. In Angela we have a CEO who our businesses. leads from the front and behind – carving the way for the Our goals have been ambitious in delivering urban renewal, hardworking, dedicated team at Development Victoria to civic projects and precinct planning across the State. I’m grow in their roles and deliver for government. I look forward proud to report that Development Victoria is leading the to the next phase of our journey. way to solve the challenges of population growth, housing affordability and how best to drive economic development through inner-urban precincts. We have been appointed to prepare the business case to redevelop the State Basketball Centre, coordinate and deliver the Fitzroy Gasworks site, develop the Ballarat and Bendigo GovHubs and plan for Melbourne’s creative future James MacKenzie with the Arts Precinct Transformation. These projects Chairperson showcase the many talents at Development Victoria. 29 August 2019 Gavin Jennings MLC, Minister for Priority Precincts, has provided Development Victoria with a strong and clear mandate to work collaboratively and nimbly across government in areas of policy delivery – particularly in helping government to solve complex housing issues and deliver smartly planned precincts. Thanks go to the Minister and his team for this engagement. I’d also like to thank and acknowledge Jacinta Allan MP. 2 | Development Victoria Annual Report 2018-2019 CHIEF EXECUTIVE OFFICER’S REPORT I am pleased to present Development Victoria’s second Our work on the Ballarat GovHub, the Fitzroy Gasworks annual report and my first as Chief Executive. and Melbourne Arts Precinct highlight the incredible talent and growth in our capability in design leadership, Development Victoria has spent the last 12 months engagement and master planning. delivering critical civic infrastructure, renewing important precincts for commercial and residential activity, as well It is not just our project portfolio that is growing, our as increasing housing diversity in places close to jobs, team culture is too. This year we launched Development transport and services. We have welcomed the creation Victoria’s journey towards a Reconciliation Action Plan, of the portfolio for Priority Precincts and the opportunity achieved 50 per cent gender balance in our workforce, to work with Minister Gavin Jennings to deliver projects developed a sustainability framework and increased for our growing State. our OHS awareness with a new internal campaign, ‘DV Developing Safely’. Precinct planning and delivery is core business for Development Victoria, especially with our history in I am proud of the incredible talent and growth in our Docklands, Dandenong, Wodonga and now Fishermans team’s capability and the demonstrable new level of Bend. Opportunities abound for the government’s declared sophistication in how we collaborate with each other priority precincts and we are working collaboratively with and across government. the new Department of Jobs, Precincts and Regions to I extend my thanks to the former Minister for Major shape Melbourne for the future. Projects, The Hon. Jacinta Allan for her work with us in Key civic infrastructure projects in Development Victoria’s 2018 and to Minister Jennings for his support over the last pipeline received funding in the May State Budget – including six months. I would also like to thank James MacKenzie funding for business case development and planning for the and our other Board members for their ongoing support State Basketball Centre and development of the final stage of and guidance. the Geelong Arts Centre. Projects of cultural significance are Finally, it’s the team at Development Victoria that makes where Development Victoria shines. These projects will add this organisation strong, resilient and rewarding. Thank to the great work underway at the State Hockey and Netball you for your commitment to our vision and innovative ways Centre, the Melbourne Arts Precinct Transformation and of problem solving as we work together for the benefit of Melbourne Park. all Victorians. As the housing needs of Victorians change, so too does the approach with our property portfolio. In 2018-2019, Development Victoria increasingly focused on affordability targets to align with government policy. Building on the experience gained developing thousands of homes in projects such as Riverwalk in Werribee, Jacksons Hill and Valley Lake, we are focused on delivering affordable and diverse housing at new locations, including in Fitzroy, Altona North and Springvale South. Angela Skandarajah Development Victoria’s Affordable and Diverse Chief Executive Officer Communities Framework will guide this critical work. The Framework will make sure that our future property 29 August 2019 portfolio will deliver affordable housing at scale and build more diverse and resilient communities. ABOUT DEVELOPMENT VICTORIA DEVELOPMENT VICTORIA’S STATEMENT OF CORPORATE INTENT Development Victoria was established in April 2017 and is governed by the Development Victoria Act 2003. Development Victoria also has powers under the Docklands Act 1991. Each year Development Victoria prepares a Corporate Plan which sets out the organisation’s mission, purpose and strategic objectives for the coming period. In 2018-19, Development Victoria’s goals were: • To expertly and responsibly manage the design DEVELOPMENT VICTORIA WILL: and delivery of major civic projects, property development and urban renewal projects on • Identify opportunities to increase housing diversity behalf of the Victoria Government, in the interests in places close to jobs, transport of the Victorian community; and services; • To be respected across the Victorian Government • Lead projects to create cultural, recreational and and within the development and infrastructure civic facilities that enrich our communities and sector as a centre of excellence, with top tier enhance Victoria’s reputation; and skills, expertise and commercial acumen; and • Revitalise major activity centres and urban • To be recognised as an employer of choice for precincts to stimulate economic activity and talented professionals across the public and improve access to jobs closer to where people live. private sectors. OUR POLICY PILLARS Development Victoria is shaping the way Victorians live. We develop and revitalise public buildings and land to create spaces and homes that help make Victoria a great place to live. 1 2 3 4 5 Housing Economic Urban Value creation Social and development renewal and capture economic infrastructure Promoting and Delivering projects Planning and Pursuing value Delivering social delivering housing to drive economic developing capture and and economic diversity and development strategic urban creation infrastructure affordable housing renewal precincts opportunities 3. The entity should compete with other providers CORPORATE GOVERNANCE and the customer’s choice of provider is not Development Victoria is a statutory authority influenced by government interventions; and governed by a Board of Directors. 4. The entity is controlled by government in terms of its general corporate policy (and strategic RESPONSIBLE MINISTER direction). This is proxied by ownership, the For the period from 1 July until 22 November 2018, ability to appoint/remove board members and the Minister for Major Projects had primary government provision of debt. responsibility for Development Victoria under the Development Victoria Act 2003. Since 22 November 2018, the Minister for Priority LEGISLATION Precincts has primary responsibility for Development Development Victoria was established on 1 April Victoria under the Development Victoria Act 2003. 2017 and operates under the Development Victoria Act 2003. TREASURER The Treasurer is responsible for oversight of The functions of the organisation set out in the Development Victoria’s finances in accordance Act include: with the Financial Management Act 1994. This • Carrying out property development and social and role requires the Treasurer to manage and monitor economic capital works projects in accordance Development Victoria’s financial position including with government policies and strategies; its capital structure and operating performance. Debt finance for projects is approved by the Treasurer on a • Providing advisory services; and case-by-case basis, and the organisation’s aggregate • Developing declared projects. financial assumptions and forecasts are approved annually by the Treasurer through the Corporate Plan. The Act requires Development Victoria to carry out its functions using commercial disciplines. DEVELOPMENT
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