Canberra Outlet Centre Planning Report
Client: Balmain Asset Management
Date: 5 May 2016
Contact: Roz Chivers [email protected] (02) 6274 3302
Canberra Phone: 02 6274 3300 Fax: 02 6274 3333 25 Lennox Crossing Acton ACT 2601
www.elton.com.au [email protected] Sydney | Canberra | Darwin ABN 56 003 853 101
Prepared by Roz Chivers
Reviewed by Matt Meyer, Rob Taylor
Date 5 May 2016
Document name Planning Report
Version 3
Contents
1 EXECUTIVE SUMMARY 6
PART B –DESCRIPTION OF THE PROPOSED PLAN VARIATION 8
2 BACKGROUND 9 2.1 The proponent 9 2.2 Location 9
3 THE PROPOSED TERRITORY PLAN VARIATION 14 3.1 Current and proposed land tenure arrangements 14 3.2 The intended development 15 3.3 The form of the required variation 18
PART C - JUSTIFICATION OF THE PROPOSED PLANNING POLICY CHANGE 19
4 NEED FOR THE PROPOSED POLICY CHANGE 20 4.1 Objectives of the proposed plan variation. 20 4.2 Current viability of the Canberra Outlet Centre 21 4.3 Development trends in Outlet Centres across Australia 21 4.4 Evolution of Fyshwick 22 4.4.1 Change in use of floorspace 22 4.4.2 Employment Growth 24 4.6 Estimated catchment 30 4.8 Light rail 32 4.9 Demand for alternate uses permitted under existing zone 33 4.10 Alternate sites 35 4.11 Other potential uses of the site 35
PART D – STRATEGIC PLANNING POLICY CONTEXT 38
5 STRATEGIC PLANNING POLICY CONTEXT 39 5.1 The Territory Plan 39 5.1.1 The Statement of Strategic Direction 39 5.1.2 IZ2 Industrial Mixed Use Land Use Zone 46 5.1.3 Fyshwick Precinct Map and Code 48 5.1.4 Overlay Zone: MAAR - Main Avenues and Approach Routes 49 5.1.5 Commercial Zone Development Code 49
PART E – PRELIMINARY CONSULTATION 53
6 CONSULTATION SUMMARY 54 6.1 Consultation process 54 6.2 Staged approach 54 6.2.1 Market research 54 6.2.2 Community Information Sessions 55 6.2.3 Correspondence 55 6.3 Outcomes of consultations 55 6.3.1 Market research outcomes 55 6.4 Community Information Sessions 63 6.5 Correspondence 66 6.6 Findings of the Consultation 66
PART F – POTENTIAL IMPACTS 67
7 PHYSICAL FEATURES, INFRASTRUCTURE AND BUILT FORM IMPACTS 68 7.1 Typography 68 7.2 Soils and geology 68 7.3 Hydrology 69 7.4 Physical Infrastructure 69 7.4.1 Traffic 69 7.4.2 Parking 70 7.4.3 Public Transport 71 7.4.4 Utilities 71 7.5 Hazards 71 7.6 Built Form 72 7.7 Amenity of the area 72
8 NATURAL FEATURES AND VALUES 73 8.1 Ecological values 73
9 SOCIAL AND CULTURAL CONTEXT 74 9.1 Communities of interest 74 9.2 Impact on social infrastructure 74 9.3 Cultural and Heritage Environment 74 9.4 Economic environment 74
10 NET COMMUNITY BENEFIT AND OPPORTUNITY COSTS 77
APPENDICES
A Community Information Session Advertisements 80 B Community Information Session Posters 81 C Correspondence to Canberra Business Chamber 83
FIGURES
Figure 1 Location map for the Canberra Outlet Centre showing surrounding major arterial routes 10 Figure 2 Detailed map of the location of the Canberra Outlet Centre 11 Figure 3 Aerial photograph of the Canberra Outlet Centre highlighting adjacent developments and surrounding undeveloped land. 12 Figure 4 The Symonston-Jerrabomberra Valley part of the Eastern Broadacre area. 13 Figure 5 Current floor plan for the Canberra Outlet Centre. 16 Figure 6 Proposed floor plan for the homemaker hub demonstrating location of the supermarket 17 Figure 7 Worker Trade Area surrounding the Canberra Outlet Centre 25 Figure 8 Eastern Broadacre Study Area Map 27 Figure 9 Bus stop immediately outside of the Canberra Outlet Centre 32 Figure 10 Light Rail Corridors Draft Network showing proposed Park and Ride near Canberra Outlet Centre 33 Figure 11 Zoning of Fyshwick 46 Figure 12 Fyshwick Precinct Map 48 Figure 13 Typography of site prior to development 69 Figure 14 Canberra Outlet Centre car park 1.30pm Friday 27/6/14 71
TABLES
Table 1 Amount and Use of Floorspace in Fyshwick and South Canberra 2011 23 Table 2 Employment distribution in Canberra 1981-2006 24 Table 3 Canberra Outlet Centre Worker Trade Area- worker population profile 2011 26 Table 4 Canberra Outlet Centre - estimated total additional employment levels 28 Table 5 Floorspace (m2) by district in Canberra September 2011 compared to population size. 29 Table 6 South Canberra Population Projections 2001-2021 30 Table 7 Location of supermarkets near Fyshwick 30 Table 8 Canberra Outlet Centre- Supermarket estimated sales potential 31 Table 9 Current IZ2 land being marketed by the Land Development Agency 34 Table 10 Industrial land release by industrial area (site in m2) 34 Table 11 Permitted uses and compatibility with the existing development 37 Table 12 Consistency with the Statement of Strategic Direction 46 Table 13 Zone specific controls area RC2 industrial mixed use zone 48 Table 14 Canberra Outlet Centre - supermarket impact analysis 2016/17* 76
1 Executive Summary
Block 8 Section 48 Fyshwick (337 Canberra Avenue Fyshwick) was sold by the ACT Government by restricted auction in December 2005 for one or more of the following purposes: (i) Bulky Goods Retailing; (ii) Non Retail Commercial Use; (iii) Restaurant; and (iv) Shop. A Direct Factory Outlet (DFO) and Homemaker Hub opened for trading on the site in 2008 boasting space for 100 fashion stores, 24 homemaker stores and approximately 1800 car spaces. Since its earliest days of trading DFO has been in direct competition with the Capital Airport Groups Brand Depot which closed in 2011 after struggling to find and retain tenants. Majura Park has since opened in place of Brand Depot and has been and is continuing to entice tenants and shoppers away from DFO and the Homemaker Hub. As a result DFO was placed in receivership in March 2012. The vacancy rate is expected to increase sharply in the near future as a result of the significant number of tenancies (14,118m2) either on holdover or with leases maturing in the next six to 12 months, the incentives being offered by the Canberra Airport Group, and the desire of many of the homemaker tenants to relocate to be closer to IKEA and located in a more traditional homemaker centre environment. Over 30% of the Centre’s tenancies are at risk, with the bulk refusing to recommit to the Centre without a clear strategy to underpin the Centre’s attraction. The financial viability of the Centre would suffer further with additional store closures and loss of employment the clear flow on effects. The Centre currently provides employment (permanent and casual) for around 850 people (tenants and centre management staff) and approximately 100 contractors. Additional store closures may mean that it is no longer financially viable to keep the entire Centre open. If the Centre was to close it would send a negative message to the business and broader community about the strength of the ACT economy, and also potentially result in a derelict building on a major avenue and approach route in Canberra. To avoid this outcome, the Asset Manager on behalf of the Receiver, wishes to reposition the asset. As the building is of a high quality and less than ten years old assessments of potential uses of the existing building have been undertaken. The result of these assessments is that there is limited capacity for uses other than retail, leisure or entertainment. Consequently it is proposed to incorporate into the existing building envelope a small supermarket (1000m2) to underpin the future financial viability of the Centre and increase employment within the Centre. However, Block 8 Section 48 falls within the RC2 area on the Fyshwick Precinct Map (IZ2 Mixed Use Industrial Land Use Zone) which restricts the maximum gross floor area of a supermarket to 200m2. Without the removal of this restriction the inclusion of a supermarket will not be feasible as a 200m2 supermarket is not sustainable and would not assist in tenant retention and attraction. Balmain Asset Management on behalf of Direct Factory Outlets Pty Ltd (Receivers & Managers appointed) is therefore seeking a site specific Territory Plan variation. The variation will make Canberra Outlet Centre a multi-purpose shopping destination – discount outlet, homemaker component and supermarket & fresh food – providing significant community benefits including
6 Canberra Outlet Centre Elton Consulting
» Additional and sustained employment of over 50 people directly employed by the supermarket and an additional 50 people employed indirectly as a result of the supplier induced multiplier effect (100 jobs created) » Greatly improving the range of retail facilities including fresh food and groceries available for the 12,700 plus strong Fyshwick workforce, shoppers and the growing population in South Canberra. » Improving the underutilised floorspace at the Canberra Outlet Centre » Facilitating Fyshwick growth as a retail destination and attracting shoppers from outside of the ACT – the Outlet component is the only discount retail outlet between Essendon in Melbourne and Homebush in Sydney » Supporting the range of community facilities currently on offer at the Canberra Outlet Centre and facilitating the establishment of other community facilities e.g. child care, indoor recreation facility » Enhancing the ongoing financial viability of the Centre, ensuring that the standard of the building is maintained » Increasing the attractiveness of land on the land release program in Fyshwick and Symonston by improving convenience for employees and employers » Improving lease negotiations and most importantly tenant retention and attracting new tenants, based on increased sales rate per sqm and attracts retailers that like to be in centres that have supermarkets » Improves the ability to hold shoppers already at Canberra Outlet Centre (over 4.2 million visitors per year) The repositioning of the Centre may also involve the inclusion of a Park and Ride facility for 100 cars and a Bike and Ride facility in the basement car park. This will potentially increase the patronage of public transport due to the amenity and convenience of the facility.
Canberra Outlet Centre Elton Consulting 7
PART B –DESCRIPTION OF THE PROPOSED PLAN VARIATION
8 Canberra Outlet Centre Elton Consulting
2 Background
This proposal to vary the Territory Plan relates to Block 8, Section 48 Fyshwick (337 Canberra Avenue Fyshwick). This significant site is the location of the Canberra Outlet Centre, formerly Direct Factory Outlet (DFO) Canberra.
2.1 The proponent
The original lessee and signatory to the Crown Lease was Glenshine Pty Ltd. Direct Factory Outlets Canberra Pty Ltd subsequently acquired the site and became the new Lessee. Direct Factory Outlets Canberra Pty Ltd developed the site into the DFO and Homemaker Hub. Direct Factory Outlets Canberra Pty Ltd was placed into receivership in March 2012. Presently the Lessee is: Direct Factory Outlets Pty Ltd (Receivers & Managers appointed) C/O: Balmain Asset Management, L39, 140 William Street, Melbourne Vic 3000 ATTN: Rob Taylor The Proponent for this proposal is: Balmain Asset Management on behalf of Direct Factory Outlets Pty Ltd (Receivers & Managers appointed) Level 39,140 William Street, Melbourne Vic 3000 ATTN: Rob Taylor
Elton Consulting have been authorised by Mr Rob Taylor of Balmain Asset Management to prepare and submit this Planning Report.
2.2 Location
The Canberra Outlet Centre is located at Block 8, Section 48 Fyshwick (337 Canberra Avenue, Fyshwick). This 68,843m2 site is bounded by Canberra Avenue to the south, Newcastle Street to the west and Iron Knob Street to the north. Hindmarsh Drive commences immediately northwest of the site (see Figure 1). This intersection is a major entry point to Fyshwick and prominent visually from both directions along Canberra Avenue, Hindmarsh Drive and Newcastle Street. As a result it is identified as a Major Avenue and Approach Route under the National Capital Plan. The site is 8.7km to Civic, 9.2km to Queanbeyan and 10km to Woden Town Centre. It is 4km to the nearest South Canberra Group Centres at Manuka (Forrest) and Kingston (Figure 2).
Canberra Outlet Centre Elton Consulting 9
Figure 1 Location map for the Canberra Outlet Centre showing surrounding major arterial routes Source: Google Maps https://www.google.com.au/maps/@-35.3307017,149.1765638,15z Downloaded 11/2/16)
10 Canberra Outlet Centre Elton Consulting
Figure 2 Detailed map of the location of the Canberra Outlet Centre Source Google Maps https://www.google.com.au/maps/place/Canberra+Outlet+Centre/@- 35.3376162,149.178141,17z/data=!4m2!3m1!1s0x6b164c3c2e9700ff:0xa240891ebdb4459 downloaded 11/2/16
Fyshwick is an existing light industrial suburb. There has been significant recent development immediately adjacent to Block 8, Section 48 Fyshwick along Iron Knob Street mostly for bulky goods retailing. This has included Baby Bunting, Anaconda, Mercedes Benz Canberra and the Master Builders Australia ACT headquarters and training centre (Figure 3). Parts of Section 47 are on the land release program for 2016-17 (30,000m2) and forward years. The eastern edge of Fyshwick and the land to the south east is undeveloped and the subject of the Eastern Broadacre Study and strategic assessment (Figure 4). A 90 car capacity park and ride facility currently exists on Tom Price Street primarily to service commuters from Queanbeyan.
Canberra Outlet Centre Elton Consulting 11
Figure 3 Aerial photograph of the Canberra Outlet Centre highlighting adjacent developments and surrounding undeveloped land. Source: https://www.google.com.au/maps/place/Iron+Knob+St,+Fyshwick+ACT+2609/@- 35.3371803,149.1766263,890m/data=!3m1!1e3!4m2!3m1!1s0x6b164c3b8d11bc3d:0x674af122725972e1 downloaded 15/2/2016
12 Canberra Outlet Centre Elton Consulting
Figure 4 The Symonston-Jerrabomberra Valley part of the Eastern Broadacre area. Source: http://www.planning.act.gov.au/topics/current_projects/studies/eastern_broadacre_planning_project downloaded 15/2/2016
Canberra Outlet Centre Elton Consulting 13
3 The proposed Territory Plan Variation
3.1 Current and proposed land tenure arrangements
Block 8 Section 48 Fyshwick (Deposited Plan No 10183) is leased land with a 99 year lease commencing 16 December 2005. Lease and Development Conditions for the block were approved on 15 September 2005. The Crown Lease was granted 3 February 2006. The Lease Purpose as the time it was granted was as follows: To use the land for one or more of the following purposes (i) Bulky Goods Retailing; (ii) Non Retail Commercial Use; (iii) Restaurant; and (iv) Shop PROVIDED ALWAYS THAT the combined gross floor area of any non-retail commercial use shall not exceed 2,000 square metres AND FURTHER PROVIDED THAT the maximum gross floor area for any supermarket or shop selling food shall not exceed 200 square metres, and for any other shop, except bulky goods retailing, shall not exceed 3,000 square metres. In 2016 as part of the repositioning of the Centre a lease variation was sought to allow for the inclusion of a small (400m2 GFA) entertainment precinct in the Centre. The development application for the lease variation has been approved and the issue of the new lease is imminent (subject to payment of the lease variation charge). The lease variation will add the following two further uses to the Lease (as defined by the Territory Plan): » Indoor recreation facility; and » Indoor entertainment facility. To allow the proposal for the inclusion of a 1000m2 supermarket in the Centre to precede a new variation to the Crown Lease will be required in addition to the Territory Plan Variation. This will be sought via a Development Application consistent with the requirements of the Planning and Development Act 2007 once the Territory Plan has been varied. The variation to the Crown Lease will be as follows: Lease Purpose: To use the land for one or more of the following purposes (i) Bulky Goods Retailing; (ii) Non Retail Commercial Use; (iii) Restaurant; (iv) Shop; (v) Indoor recreation facility; and (vi) Indoor entertainment facility.
14 Canberra Outlet Centre Elton Consulting
PROVIDED ALWAYS THAT the combined gross floor area of any non-retail commercial use shall not exceed 2,000 square metres AND FURTHER PROVIDED THAT the maximum gross floor area for any supermarket or shop selling food shall not exceed 1000 square metres, and for any other shop, except bulky goods retailing, shall not exceed 3,000 square metres. The proposed variation does NOT change the gross floor area of the development above that specified in the lease i.e. ‘the combined gross floor area of all buildings erected on the land shall not be less than 50,000 square metres and shall not exceed 60,000 square metres’. The proposed supermarket will be located in the entertainment precinct for operational reasons. The entertainment precinct is unlikely to exceed 1500m2 as the precinct is not considered destination but ancillary to the existing retail offering. The land tenure will not change as a result of this variation. This is purely another use within the existing building envelope to enable a supermarket of 1,000m2 that will underpin the future financial viability of the Centre and increase employment within the Centre. In terms of the proposed Territory Plan Variation it is anticipated that public consultation on the draft Territory Plan variation will commence in late May 2016. It is hoped that the Minister will approve the variation in time to allow it to be tabled in the Legislative Assembly as a disallowable instrument on 2 August 2016. It is not anticipated that the variation will be referred to the Planning, Public Works and TAMS standing committee. It is expected that the variation will commence in August 2016. It is proposed that a development application for the lease variation be lodged concurrently with the draft Variation under Division 7.32A of the Planning and Development Act 2007. It is anticipated that a supermarket will be trading in the building by late 2016. The proposed Park and Ride and Bike and Ride could be operational within the same period.
3.2 The intended development
Canberra Outlet Centre, formerly the Discount Factory Outlet and Homemaker Hub, opened for trading in 2008 boasting space for 100 fashion stores, 24 homemaker stores and approximately 1800 car spaces. The Centre comprises a single storey retail building with a basement car park under. All shops front an internal, circular mall system with cut throughs which ensure effective circulation and linkages throughout the Centre. There are two main sections in the Canberra Outlet Centre. One section primarily houses the discount factory outlets and the food court (20,632m2). Most tenancies in this area are typically small. The other section, the homemaker hub (24,576m2), involves tenancies with large floor plates reflecting their bulky goods nature (figure 5). The total NLA for the centre is 45,208m2. This proposal does not relate to the factory outlet section of the building. Any changes proposed for this end of the building are minor in nature and aimed to improve shoppers convenience. The proposal relates to changes within the homemaker hub section of the building. The proposal is to develop a small supermarket of 1,000m2 (GFA) in the homemaker hub end of the centre within the existing building envelope (figure 6). The homemaker component of the Centre will be internally reconfigured to include the supermarket. The total floorspace of the centre will not be increased and the current building envelope will not change. The façade of the building is unlikely to change except for the signage. The façade re-work will be consistent with the original lease and development conditions and the Main Avenue and Approach Routes policy from the National Capital Plan.
Canberra Outlet Centre Elton Consulting 15
The supermarket will take up a significant portion of the 4000m2 entertainment precinct (recently lease variation) as the Centre layout and a number of existing long term tenants preclude it from going anywhere other than in the entertainment precinct. It is intended to utilise one of the existing loading dock areas to service the supermarket. The ability to amend the current floor layout without major structural works is the result of the non- load bearing structural walls within the centre and the current level of vacancies and short term tenancies (lease term < 12 months) in the centre.
Figure 5 Current floor plan for the Canberra Outlet Centre.
16 Canberra Outlet Centre Elton Consulting
Figure 6 Proposed floor plan for the homemaker hub demonstrating location of the supermarket
Canberra Outlet Centre Elton Consulting 17
3.3 The form of the required variation
To enhance the sustainability of the Canberra Outlet Centre, Balmain Asset Management on behalf of Direct Factory Outlets Pty Ltd (Receivers & Managers appointed) (the proponent hereafter) is seeking a site specific Territory Plan Variation for Block 8 Section 48 Fyshwick to allow the gross floor area of a supermarket to increase from 200m2 to 1000m2. Currently, Block 8, Section 48 Fyshwick is zoned IZ2 Industrial Mixed Use. It falls within the RC2 area in the Fyshwick Precinct Map and Code. While a SHOP is a permitted use in the IZ2 Zone, the RC2 area has a rule which limits the floor area as follows:
Rules Criteria
2.1 SHOP - floor area limit
R2 This is a mandatory requirement. There is no The maximum gross floor area per shop applicable criterion. complies with all of the following: a) SHOP selling food or supermarket , except produce market – 200m2 b) SHOP, except bulky goods retailing – 3000m2 Fyshwick Precinct Map and Code: Effective 31 May 2013 Conscious of the retail hierarchy and the possibility of unrestrained supermarket development skewing this in a similar manner that has occurred at Majura Park, the proponent do not seek a variation that applies to the entire RC2 area. Instead it is proposed that the variation applies only to Block 8, Section 48 Fyshwick and is applied as a new area (RC5) on the Fyshwick Precinct Map. The proponent seeks to have this rule changed as follows:
Rules Criteria
2.1 SHOP - floor area limit
RX This is a mandatory requirement. There is no The maximum gross floor area per shop applicable criterion. complies with all of the following: a) SHOP selling food or supermarket , except produce market – 1000m2 b) SHOP, except bulky goods retailing – 3000m2
The proponent is not seeking to have the overlay zone (MAAR) changed or any other controls changed.
In summary, the proponent is seeking a site specific variation for Block 8 Section 48 Fyshwick allowing the gross floor area limit for a supermarket on the subject block to increase from 200m2 to 1000m2. The changes will exclude the subject block from the RC2 area and place it in a newly created RC5 area on the Fyshwick Precinct Map along with a new planning provision for a supermarket of 1000m2 in the Fyshwick Precinct Code.
18 Canberra Outlet Centre Elton Consulting
PART C - JUSTIFICATION OF THE PROPOSED PLANNING POLICY CHANGE
Canberra Outlet Centre Elton Consulting 19
4 Need for the proposed policy change
This section outlines the objectives of the proposed plan variation. It also highlights a range of factors that have changed since the opening of the Discount Factory Outlet that necessitate a policy change. It should be read in conjunction with chapter 6 which outlines the impacts of the proposal.
4.1 Objectives of the proposed plan variation.
There are a number of objectives that will be achieved by granting the request to vary the Territory Plan for Block 8 Section 48 Fyshwick to increase the maximum allowable gross floor area for a supermarket. Supermarkets strengthen poor performing precincts and assist with tenant retention as they are destinational and more frequently visited. Other objectives of the proposal include: » Making the Canberra Outlet Centre a multi-purpose shopping destination – discount outlet, homemaker component and supermarket & fresh food – providing additional and sustained employment and community benefits. » Improving the amenity and diversity of services available to the significant workforce located in Fyshwick. This workforce of 12,700 people does not have easy access to supermarket facilities. This workforce will continue to expand with the proposed release of employment land in Symonston. » Providing convenient access to supermarkets for the residents of Symonston and surrounding suburbs (including the vulnerable residents of the long stay caravan park and visitors staying at the Canberra South Motor Park). » Providing convenient access to groceries for users of the Park and Ride and proposed Bike and Ride (both the one in Tom Price Street and potentially its replacement or a second facility in the Canberra Outlet Centre). This will have an additional advantage of increasing NSW resident’s expenditure in the ACT. » Providing convenient access to groceries for commuters along Canberra Avenue and Hindmarsh Drive. This will have an additional advantage of increasing NSW resident’s expenditure in the ACT. » Increasing the choice in supermarket operators for the people of South Canberra. » Providing shoppers with the greater diversity of experiences at the Centre and allowing them to access daily needs at one location. » Providing new employment opportunities and increasing the proportion of jobs in the private sector in Canberra. » Stemming the exodus of existing traders from the Centre by introducing new anchor tenants. » Enhancing the sustainability of the Centre, helping to ensure its ongoing viability. If this is not achieved there is a significant risk of losing tenants, increased unemployment, possible Centre closure and potentially adverse impacting on the aesthetics of the Canberra Avenue corridor. » Increasing weekday visits to the Centre thereby increasing vibrancy and sustainability » Counterbalancing the offering at Majura Park.
20 Canberra Outlet Centre Elton Consulting
4.2 Current viability of the Canberra Outlet Centre
The retail scene in Canberra, particularly bulky goods retailing, has changed significantly since the Discount Factory Outlet (DFO) Canberra opened for trade in 2008 boasting space for 100 fashion shops, 24 homemaker stores and an 1800-space car park. When the Centre opened, Fyshwick was predominantly comprised of light industrial and industrial showrooms. Over the following eight years Fyshwick has become a major commercial and retail precinct providing substantial employment including Anaconda (rear of subject), Baby Bunting (rear of subject), Domayne and Bunnings (immediately north of the subject); Paul’s Warehouse and Chemist Warehouse (directly opposite to the north) and Captain Snooze, Harvey Norman and Officeworks all within 500m – 750m of Canberra Outlet Centre. This represents a substantial shift in land use pattern, and consequently an increased employment base in the area. The Canberra Outlet Centre alone provides employment (permanent and casual) for around 850 people (tenants and Centre Management staff) and approximately 100 contractors. Approximately 5km away at the Canberra Airport, Brand Depot (Capital Airport Group Pty. Ltd) was opened by the Snow Family in direct competition with DFO, (outside of the ACT Governments planning controls). This competition, played out through the courts, ended in 2011 when Brand Depot closed after struggling to find and retain tenants and shoppers. Majura Park has since opened in the place of Brand Depot and boasts Toy’s and Babies are Us, Big W, Australia’s largest Woolworths, Lollipop’s Playland, CostCo, Masters, Jim Murphy, Ray’s Outdoors, Pet Barn, PillowTalk, and a range of speciality stores and food outlets. A 1000m2 Aldi has also recently been announced. We note that both Ray’s Outdoors and Dick Smith (now closed) were enticed to relocate from Canberra Outlet Centre to Majura Park. As with Brand Depot, Majura Park is in direct competition with DFO (now Canberra Outlet Centre). DFO went into receivership following a spike in vacancies and a corresponding breach of financial covenants by the former owners. The competition with Majura Park is to becoming more severe as Majura Park aggressively expand its homemaker hub to leverage off the nearby presence of IKEA. To achieve these expansion plans, Capital Airport Group announced its intention of financially enticing homemaker tenants from Canberra Outlet Centre prior to lease expiry. This places Canberra Outlet Centre under extreme competitive pressure to retain its homemaker hub tenants. Vacancies are expected to increase sharply in the near term noting the above pressures on the homemaker hub and the significant number of tenancies (14,118m2) either with leases expiring within the next six to 12 months or on holdover (i.e. lease has expired). The financial viability of the Centre would then further suffer with store closures and loss of employment the clear flow on effects. At this point it may no longer be financially viable to keep the entire Centre open. This will send a negative message to the community about the strength of the ACT economy and also potentially result in a derelict building on a major avenue in Canberra.
4.3 Development trends in Outlet Centres across Australia
Contemporary outlets centres across Australia have in recent years expanded their range of services to offer ‘one stop shopping’. This is in response to consumer demand and efforts to increase patronage during the working week (peak trading time for Outlet Centres is typically the weekend). The majority of Outlet Centres include full – line supermarkets as follows: » Spencer Outlet Centre, Melbourne - Coles 2497m2
Canberra Outlet Centre Elton Consulting 21
» Harbour Town Adelaide - Woolworths - 3500m2 » Harbour Town Gold Coast - Woolworths - 3888m2 » Birkenhead Point - Coles 3200 m2 » Cairns DFO - Coles 2900 m2 Majura Park adjacent to the Canberra Airport, a big-box type shopping centre that commenced as a discount outlet, boasts a 3969m2 Woolworths and a Costco wholesale warehouse which is 13,500m². A 1000m2 Aldi is scheduled to open later in 2016.
4.4 Evolution of Fyshwick
4.4.1 Change in use of floorspace Fyshwick was originally intended as an industrial area. However, from the late 1960s its function began to expand. By the mid-1980s, Fyshwick was recognised as a major retail destination particularly for activities requiring low rent extensive floorspace such as furniture and hardware stores (ACTPLA, 2009a). In 1989 the changed role of Fyshwick was acknowledged in the Fyshwick Policy Plan. The Plan did not limit the amount of retailing, but effectively excluded major supermarkets, discount department stores and department stores being developed in the area. In 2003 the planning restrictions were eased to further accommodate market demands by removing the floorspace limit on bulky goods retailing (ACTPLA, 2009 a). This allowed for the establishment of the Discount Factory Outlet and other bulky goods retailers such as Bunnings, Harvey Norman and Domayne. By 2007, Fyshwick was the location of an estimated 250,000m² of retail floorspace, 28 percent of the retail space in Canberra. By 2011 this had increased to 31 percent of Canberra’s total retail floorspace, the largest proportion of retail floorspace in Canberra. The average retail floorspace per premise in Fyshwick (598m2) is almost twice the size of an average premise in Commercial Centres (312m2) (ISG ,2011). An inventory of the amount and use of floorspace in commercial and industrial areas was undertaken in August and September 2011 for the ACT Government by ISG (2011). The results for Fyshwick and South Canberra are detailed in the table 1.
22 Canberra Outlet Centre Elton Consulting
Description Fyshwick South Canberra
Dept. & Variety 2 20,245 0 0 Food – Supermarket 3* 1,987 9 9,070
Food – Other 69 36,457** 40 3,225
Clothes/Shoes 106 31,114 42 3,402 Textile/Furniture 115 90,616 4 8,196
Appliance/Hardware 88 54,167 11 866 Other Retail 115 63,060 49 6,952
Vacant 187 82,084 52 6,571
Finance/Insurance 20 7,813 21 4,059 Restaurants/Cafes 16 2,484 85 15,724
Health/Welfare/Education 36 34,356 86 14,633
Business/Property/Travel 165 5,972 99 13,786 Other Services 79 47,493 83 15,678
Petrol Stations 7 2,590 3 1,015 Motor – Other 155 87,966 0 0
Community facilities 5 2,570 2 208
Offices (n.e.c) 47 61,835 12 1,849 Other (manufacture etc) 454 282,137 13 3,591
TOTAL 1,69 964,946 611 108,825 Table 1 Amount and Use of Floorspace in Fyshwick and South Canberra 2011 Source: ISG 2011
Notes: *”Supermarkets” are in fact convenience or speciality stores. They are Quix Food Store on Canberra Avenue, Southside Store in the Southside Caravan Park and T&E Asian Groceries at the Fyshwick Fresh Food markets. ** Fyshwick Fresh Food Markets In terms of services, 19 percent of Canberra’s services floorspace is in Fyshwick. Services in industrial areas often serve the metropolitan level catchment and include computing services, repairing services, etc. (ISG, 2011). In all by November 2011 Fyshwick had 31% of total commercial floorspace and 31% of total retail floorspace in Canberra (ISG, 2011). Fyshwick’s predominance as the location for extensive, low rent, floorspace to accommodate uses such as bulky goods and big box retailing has in the past provided the Territory with the flexibility to respond to unanticipated changes in demand generated by the greater mobility and affluence of the population. With the emergence of Majura Park as a major hub of bulky goods retail, the establishment of IKEA at Pialligo and the proposed land releases at Symonston for industrial purposes (still to be zoned) the reliance on Fyshwick has lessened.
Canberra Outlet Centre Elton Consulting 23
4.4.2 Employment Growth The reports Employment location in Canberra (ACTPLA, 2009c) and Employment – growth, change and location (ESDD, 2011) revealed that significant growth in employment in Fyshwick between 1981 and 2006 (last data available). This growth is outlined in the table below and contrasted with other areas:
1981 1986 1991 1996 2001 2006
Fyshwick 8,800 10,250, 12,150 12,980 12,245 12,230
Central 63,700 78,600 79,230 76695 78,665 95,260 Canberra
Woden Town 10,100 13,450 12,545 12,865 13,500 14,235 Centre
Belconnen 8,700 10,800 9,475 11,580 11,960 12,900 Town Centre
Tuggeranong 0 0 5,180 7,985 8,890 9,280 Town Centre
Gungahlin 0 0 0 0 770 1,650 Town Centre
Bruce 1,800 2,050 4,185 4,200 4,655 5,590
Hume 250 500 745 1,335 1,690 2,230
Mitchell 800 1,350 2,450 3,415 3,265 3,180 Table 2 Employment distribution in Canberra 1981-2006 Source: ACTPLA (2009c) and ESDD (2011) This table reveals that the largest workforce is concentrated in Central Canberra, reflecting the concentration of Federal Government departments in this location. The workforce in Fyshwick rivals that of the town centres. However, unlike employees in these town centres who typically have access to a number of large supermarkets, workers at Fyshwick do not have ease of access to a supermarket. This accessibility issue disadvantages the Fyshwick workforce and increases workers reliance on cars to have basic needs met during the working day. It also results in productivity loss from employees within the Centre and across Fyshwick who have to travel to local centres to obtain basic necessities that should otherwise be available within the Centre. Survey results have indicated that most people travel to Queanbeyan due to parking issues at the surrounding ACT local and group centres. 2011 Working Population MacroPlanDimasi (2015) modelled the worker trade area for the Canberra Outlet Centre using Journey to work data collected from the ABS Worker Profile 2011. It is estimated that in 2011 that around 10,109 people worked in the Fyshwick sector and an extra 2,564 worked in the area to the south, labelled the Symonston Sector. Canberra Outlet Centre is ideally placed to serve workers and businesses within this area, in terms of both general retail needs as well as the fresh food and grocery needs of the worker population.
24 Canberra Outlet Centre Elton Consulting
Figure 7 Worker Trade Area surrounding the Canberra Outlet Centre Source: MacroPlanDimasi (2015) Economic Impact Assessment ABS Worker Profile 2011 allows for the generation of a profile of workers within the immediate trade area. Table 3 details the key characteristics of the worker population, compared with the average for the ACT and Australia. The key highlights are as follows: » The worker population of the trade area is dominated by males, at 69% of the population overall. » The age profile of the trade area workforce is comparable to the broader ACT workforce. » Income levels of the trade area workforce are skewed towards the lower ranges, as compared with the ACT Benchmarks. » By far the mode of transport mostly commonly used by the trade area workforce is car driver. The trade area workforce includes much higher than average proportions of tradespersons and technicians as well as labourers and transport workers, compared with the broader ACT workforce.
Characteristics Fyshwick Symonston Total ACT Australia Worker Sector sector Avg.
Worker population 10,109 2,564 12,673 207,900 10,058,325
Gender Male 71.3% 61.9% 69.4% 50.2% 53.4% Female 28.7% 38.1% 30.6% 49.8% 46.6%
Canberra Outlet Centre Elton Consulting 25
Characteristics Fyshwick Symonston Total ACT Australia Worker Sector sector Avg.
Age distribution 15-19 5.6% 1.1% 4.7% 5.6% 5.6% 20-29 25.5% 17% 23.8% 23.1% 20.8% 30-49 43.3% 52.6% 45.2% 45.7% 45.2% 50-64 22.5% 27.1% 23.4% 23.2% 25.1% 65+ 3.1% 2.2% 2.9% 2.4% 3.2% Average age 39.8 42.6 40.4 40.1 41.0
Occupation Managers 17.8% 16.2% 17.5% 16.7% 13.1% Professionals 12.7% 39.6% 18.1% 30.7% 21.7% Clerical & service workers 19.2% 24.9% 20.3% 30.0% 24.9% Sales workers 14.6% 0.9% 11.9% 6.8% 9.5% Tradespeople & technicians 21.3% 13.0% 19.7% 9.2% 14.4% Labourers & transport 14.3% 5.4% 12.5% 6.5% 16.3% workers
Personal income Less than $20,799 9.4% 1.9% 7.9% 11.1% 16.4% $20,800-$41,599 23.9% 8.7% 20.9% 16.5% 27.5% $41,600-$64,999 31.9% 20.1% 29.5% 23.9% 25.9% $65,000-$103,999 24.4% 45.4% 28.6% 31.3% 20.0% $104,000 or more 10.4% 23.9% 13.1% 17.3% 10.3% Average income 64,415 96,024 70,807 76,742 59,378
Mode of transport Train 0.0% 0.0% 0.0% 0.1% 6.3% Tram (and light rail) 0.0% 0.0% 0.0% 0.0% 0.5% Bus 1.7% 2.3% 1.8% 6.3% 3.5% Car driver 79.9% 79.1% 79.7% 63.2% 60.2% Car passenger 5.1% 5.1% 5.1% 7.1% 5.3% Bicycle 0.5% 1.6% 0.8% 2.3% 1.0% Other 3.9% 2.7% 3.7% 7.6% 8.6% \non- travel 8.9% 9.0% 8.9% 13.4% 14.6%
Table 3 Canberra Outlet Centre Worker Trade Area- worker population profile 2011 Source: ABS Worker Population Profile 2011, MacroPlanDimasi
Eastern Broadacre planning project The working population in the area is likely to continue to grow in the short to medium term. The eastern area of the ACT was identified in The Canberra Spatial Plan (2004) as a future potential employment corridor for the growth of industrial, broadacre commercial, tourism, recreation and transport-related land uses. The Eastern Broadacre area extends from the Majura Valley to Hume and includes Symonston and the Jerrabomberra Valley (Figure 9).
26 Canberra Outlet Centre Elton Consulting
In 2010 the ACT Eastern Broadacre Economic and Strategic Direction Study (also known as the Eastern Broadacre Planning Study) was undertaken. The Study and a subsequent discussion paper identified ten potential development areas for further investigations. In response to the public comments and further consideration, the Pialligo and Mount Majura investigation areas were withdrawn and are not being progressed further under this study. A Strategic Assessment under the Environmental Protection and Biodiversity Conservation Act (the EPBC Act) is currently underway. The extent of the areas for development and conservation will be determined through this process. Parts of Symonston have been included in the ACT Indicative Land Release Program for the years 2016-17 onwards. Zoning of this land is subject to a Territory Plan Variation. Over time, the development of new employment areas in the Eastern Broadacre will help provide an adequate supply of employment land (particularly industrial) for the ACT and region, more than adequately ameliorating the impact of the proposed change of use at the Canberra Outlet Centre. It is estimated that there will be between 20 and 50 jobs per hectare created from the release of Eastern Broadacre land. This employment generated will support the diversification of the ACT economy and further justify the provision of a 1,000m2 supermarket at a convenient, easy to access location for the workforce of the area.
Figure 8 Eastern Broadacre Study Area Map Source: http://www.planning.act.gov.au/topics/current_projects/studies/eastern_broadacre_planning_project
Canberra Outlet Centre Elton Consulting 27
Additional employment The addition of a supermarket at Canberra Outlet Centre will create a number of new ongoing jobs, which will benefit the local economy of the region. Table 4 below presents an estimate of the likely additional employment that would be directly generated by the proposed supermarket. Based on the amount and nature of the floor space, which in the most part will replace the existing vacant floor space at the Centre, MacroPlanDimasi estimate that 38 net ongoing jobs will be created by the addition of a supermarket at the centre. The estimated 38 new retail jobs at Canberra Outlet Centre will result in a further 15 jobs created directly in the community from supplier induced multiplier effects (based on the appropriate ABS input/output multipliers). Jobs created include both full time and part time positions. While the employment creation estimated to be directly attributable to the incorporation of the supermarket within Canberra Outlet Centre is estimated to be in excess of 50 jobs, there would be additional employment generating benefits that would flow indirectly from the supermarket’s addition. In particular, it is expected that the incorporation of the small supermarket would stimulate additional leasing for the remaining vacant space within the centre, which amounts to around 3,000 m2 over and above the space to be occupied by the proposed supermarket.
Direct employment1 Supplier Total employment multiplier effect
Centre employment2 38 15 53
1. Indicates net employment at the proposed supermarket, estimated at 40 employees per 1000m2 and includes an allowance for reduced employment levels at impacted centres, estimated at 5% of the total increase 2. Indicates the estimated number of net additional ongoing jobs as a result of the proposed development Table 4 Canberra Outlet Centre - estimated total additional employment levels Source: MacroPlanDimasi (2015) The addition of a supermarket is also highly likely to improve the prospects of the Centre retaining tenants which are currently on holdover or which face an expiring lease in the next six months. In total, the incorporation of a small supermarket is likely to increase employment at the Centre by more than 100 new positions.
4.5 Population growth in South Canberra and accessibility to supermarket facilities
In Canberra, retailing has historically occurred in the context of a metropolitan structure based on accommodating growth in separate urban districts (towns). The associated centres hierarchy of Civic (city), town, group and local centres (introduced following the development of Canberra Central) has been designed to offer residents of each district convenient and equitable access to goods, services and facilities. The hierarchy is based on meeting three basic types of shopping trips: » trips to local centres to provide goods bought daily » trips to group centres for weekly grocery shopping » trips to town centres to primarily meet the needs for higher order goods which were bought less frequently and for which customers would travel further. The hierarchy has been used as a management tool for allocating commercial activity to achieve retail objectives. Its intention has not been to protect individual businesses from competition but to:
28 Canberra Outlet Centre Elton Consulting
» provide certainty to commercial investors about where to invest, » ensure good accessibility to retail facilities, » coordinate infrastructure and to provide certainty to home occupiers that the amenity of their residential area will not be threatened by retail and commercial developments that have unacceptable noise and traffic impacts Over time, the hierarchy has been modified to respond to social and economic changes for example to allow for large supermarkets, big box retailing, (ACTPLA, 2009a). Retail development is also occurring outside of the hierarchy for example at Majura Park. The hierarchy is weak at the group centre level (low supermarket provision per capita) in Central Canberra (table 5). The majority of supermarkets in the inner north and south are provided at the local centre level. The ‘group’ centres in the inner south closest to Fyshwick - Kingston (IGA) and Manuka (Woolworths) -have a limited supermarket offer compared to group centres in Belconnen, Woden, Weston Creek and Tuggeranong which typically have two or more supermarkets.
Canberra Canberra Belconnen Woden/ Tuggera- Gungahlin Majura Total North South Weston nong
Supermarket 15,147 9,070 32,931 18,982 30,514 12,561 0* 119,205
Population 49,917 25,068 94,696 57,005 89,134 49,734 0 360,753 Table 5 Floorspace (m2) by district in Canberra September 2011 compared to population size. Source: ISG (2011) and ABS (2011 Note: The largest Woolworths in the Australia has subsequently been opened at Majura Park. A Supabarn is also proposed on the site of the car park in Kingston. The population of the inner south is anticipated to continue to grow (Table 6) as infill development occurs in line with the ACT Planning Strategy. This growing population will put more pressure on the existing supermarket facilities in the area unless more are developed or floor spaces increased.
Year South Canberra 2001 23,300
2002 23,400
2003 23,450
2004 23,450 2005 23,950
2006 24,700
2007 25,300
2008 25,650 2009 26,000
2010 26,750
2011 27,450
2012 28,000 2013 28,550
Canberra Outlet Centre Elton Consulting 29
2014 28,850 2015 29,000
2016 29,200
2017 29,400
2018 29,650 2019 29,950
2020 30,250
2021 30,600
Table 6 South Canberra Population Projections 2001-2021 Source: ACT Demographer (Chief Minister’s Directorate). http://www.cmd.act.gov.au/policystrategic/actstats/projections/actdivisions As highlighted in earlier sections of the report Fyshwick is an employment node with intensive activity (12,700 employees). At present there is no easy access for this substantial workforce to convenience shopping and personal services such as can be obtained in a supermarket. Table 7 details the distance to convenience shopping. This lack of ready access has both productivity implications and health implications due to a lack of access to healthy, fresh foods.
Canberra Outlet Centre
Distance to Town Centre Woden 9.2km (furthest point) Civic 11.9km
Distance to Group Centre Kingston 4.5km – IGA 1,140m2 plus new supermarkets under development (Supabarn/Coles) Manuka 5.2km – Full line Coles 3,480m2
Distance to Local Centre Griffith 3.1km 800m2 independent supermarket Narrabundah 2.3km 960m2 IGA Table 7 Location of supermarkets near Fyshwick
4.6 Estimated catchment
MacroPlanDimasi (2015) analysed the key market segments which a future supermarket at Canberra Outlet Centre is expected to serve, together with estimates of sales potential the supermarket is considered likely achieve from each segment. The analysis highlighted: » There are 12,700 workers within close proximity of Canberra Outlet Centre, who generate a total of $90.6 million of food, grocery and packaged liquor (FLG) expenditure. Around 10% of this expenditure is expected to be directed to a future supermarket at Canberra Outlet Centre, having regard to the size of the proposed supermarket. » Local Businesses in Fyshwick are also expected to use a future supermarket in the local area, with supermarket sales from businesses estimated at around $1.1 million. » Existing users of the outlet centre are also expected to shop at a new supermarket at the Centre. There are currently (end 2015) around 4 million visitors per annum at Canberra Outlet Centre. Around 2.5% of these visitors are estimated to patronise the future supermarket, spending an average of $15 each visit.
30 Canberra Outlet Centre Elton Consulting
In summary, the sales potential of a 1,000m2 supermarket at Canberra Outlet Centre is estimated to be around $11.6million in 2016/17 (in constant 2014/15 dollars and including GST) (table 8). The supermarket would mainly serve local workers and local businesses.
Market segments No. Est FLG Estimated Estimated spend market sale ($M) share potential (%) ($m)
Workers 12,700 90.6 10.0% 9.1
Businesses1 760 1.9 56.0% 1.1
Existing/future outlet centre shoppers No of Centre visitors2 4,000,000 1.5 % of visitors est. to use supermarket 2.5% Avg. spend at proposed supermarket $15
TOTAL 11.6
1. Number of employing businesses in Fyshwick/Symonston. Businesses are assumed to spend an average of $2,500 p.a ($50 per week) on FLG. 2. Based on late 2015 visitor numbers to the Centre Table 8 Canberra Outlet Centre- Supermarket estimated sales potential Source: MacroPlanDimasi 2015
4.7 Park and Ride at Fyshwick
A key initiative in the Transport for Canberra Policy is the establishment of Park and Ride Facilities. At the present time, a network of Park and Ride and Bike and Ride facilities is being built along the ACTION Rapid bus routes, and at selected group centres to connect with peak hour bus services. Park and Ride facilities provide people with flexibility in designing a journey that suits their needs by allowing them to combine bus travel with a drive in a car. Park and Ride aims to reduce car only trips and in turn the need for additional road capacity and demand for parking in the city and major employment centres. It also aims to reduce the level of congestion on ACT roads. A 90 car capacity Park and Ride Station exists in Fyshwick on Tom Price Street. It is serviced by Red Rapid Buses and caters for commuters from Queanbeyan predominantly. The Feasibility Study for this facility was undertaken prior to the announcement of paid parking in the Parliamentary Triangle. It is likely that there will be additional latent demand for Park and Ride now that paid parking has been introduced. Important factors in the success of Park and Ride is that it is attractive and convenient for commuters and that commuters are protected from the environment, (particularly rain and wind), they and their vehicles are safe and that the area is well lit. The inclusion of the supermarket at the Canberra Outlet Centre will add amenity and convenience for commuters using the Fyshwick Park and Ride facility. It may encourage more people to use the facility thereby reducing road congestion. Queanbeyan commuters, given the opportunity to grocery shop on the way home from work at the Canberra Outlet Centre would be contributing to the ACT economy. There is also an opportunity to utilise spare capacity within the car park at the Canberra Outlet Centre for Park and Ride Facilities. This could be for ‘overflow’ parking for the Tom Price Street Facility or
Canberra Outlet Centre Elton Consulting 31
could replace the Tom Price Street facility allowing the Government to include it in the Land Release Program. The latter would increase IZ2 Mixed Use Industrial land (ie. free up Tom Price Street Park and Ride facility).
An undercover Bike and Ride facility could also be incorporated in the basement carpark at the Centre. Cyclists and their bikes will be protected from the environment, (particularly rain and wind), in a safe and secure area that is well lit. They could access the proposed supermarket to obtain their convenience needs during their commute.
Figure 9 Bus stop immediately outside of the Canberra Outlet Centre
4.8 Light rail
In 2015 the ACT Government released a draft Light Rail Network (figure 10) for community discussion about where light rail should go after Stage One between Gungahlin and the city and potentially to Russell. The Eastern Connection (Fyshwick and Airport) was identified as a high priority corridor as it » Capitalises on our key economic flows between City, Russell, Barton, Fyshwick and Majura » Supports growth in tourism and future direct international flights from Canberra Airport » Infrastructure Australia data says these corridors are under pressure » Supports compact growth in our eastern residential and commercial areas – Kingston, Eastlake, Fyshwick and Eastern Broadacre » Investment leads urban renewal and development along the corridors at key transit nodes
32 Canberra Outlet Centre Elton Consulting
The draft network map (Figure 9) highlights a Park and Ride near or at the Canberra Outlet Centre. The advantages listed in the section above related to Park and Ride for buses equally apply for the light rail.
Figure 10 Light Rail Corridors Draft Network showing proposed Park and Ride near Canberra Outlet Centre http://haveyoursay.planning.act.gov.au/Light-rail-network (downloaded 22/2/2016)/
4.9 Demand for alternate uses permitted under existing zone
The ACT Government’s Indicative Land Release Program 2014-15 to 2017-18 (Economic Development Directorate, 2014) indicated that the slower than average take up of industrial land in recent years is expected to continue in the short term. The report reveals that based on recent industrial land sales, demand continues to exist for mixed use industrial land (IZ2) while there is limited demand for general industrial land (IZ1). According to the 2014-15 to 2017-18 Land Release Program the supply of unsold industrial land consisted of:
Canberra Outlet Centre Elton Consulting 33
» 15 private sector industrial blocks (67,485 m2) » 15 industrial blocks (80,487 m2), which have been released and are available for purchase. Based on an average annual take up rate of 47,000m2 of industrial land over the past nine years, this level of supply is equivalent to 3.1 years of demand. The slow demand for industrial land is borne out by the sale figures for industrial land sales in 2014- 15. The Canberra Times (23/105/15) reports that of the 106,000m2 of industrial land released to the market in the previous twelve months IKEA took up two thirds (69,100m2). The rest of the land released was in Hume, where four blocks totalling 37,000m2 were released to market. The Canberra Times also indicated that the release of industrial land fell short of the LDA’s target for the year. The 2015-16 to 2018-19 Indicative Industrial Land Release Program includes a release target of 230,283m2 of industrial land over the next four years. The report highlights that over the four years from 2008–09 to 2011–12, the Government released approximately 140,000m2 of industrial land. In addition, the private sector released 361,552m2 in Hume and Beard. These releases have resulted in an inventory of available industrial land. New precincts in Fyshwick and Symonston have also been identified to accommodate large format retailing and mixed-use industrial development. Planning is also underway to expand the available land in Majura. In terms of mixed use industrial land (IZ2) the Land Development Agency are currently marketing the New West Industrial Park at Hume, a total offering of 18,933m2. This includes a variety of block sizes as follows:
Parcel Size
Block 2 Section 30 Hume 2613m2
Block 4 Section 30 Hume 1682m2
Block 6 Section 30 Hume 2037m2
Block 7 Section 30 Hume 1974m2
TOTAL 8,306m2
Table 9 Current IZ2 land being marketed by the Land Development Agency
Source: http://www.lda.act.gov.au/developments/?location[]=12&land_type=Commercial&availability[]=1 downloaded 18/6/14. It is worth noting that these blocks remained on the market on 22 February 2016 (21 monthly after data originally analysed for this report).
Location 2014-15* 2015-16 2016-17 2017-18 2018-19
Fyshwick 0 61,662 30,000 11,000 12,000
Hume 45,646 0 68,600 22,930 29,618
Symonston 0 0 7,650 8,000 6,000
Pialligo 78,000* 0 0 0
Mitchell 0 2,823 0 0
TOTAL 123,646 64,485 76,250 41,930
Table 10 Industrial land release by industrial area (site in m2)
34 Canberra Outlet Centre Elton Consulting
Source: * Economic Development Directorate, 2014, pp17 and Economic Development Directorate Indicative Land Release Program 2015-16 to 2018-19 and Economic Development Directorate, 2014, pp20, 22, 24 and 26 * Land set aside for IKEA On top of the land currently available and scheduled for land release over the next four years there is also a significant amount of industrial property for sale in the ACT. In Fyshwick alone there was 156,3501m2 of industrial properties for sale in late June 2014. These varied in size from quite small units (43m2) to larger developments (10,600m2) spread across both the IZ1 General Industrial and IZ2 mixed use industrial zone.
4.10 Alternate sites
No alternate sites for a supermarket at Fyshwick have been considered. The subject site block 8, section 48 Fyshwick is the location of an existing retail centre. The building on the site is less than ten years old and of high quality as is befitting a development on a main avenue and approach route in the National Capital. The height, massing and spatial arrangements of the buildings and design of the built form of the Centre reflects the strategic importance and prominence of the site. The Centre has ample parking and is serviced by public transport with bus stops immediately adjacent to the building and a Park and Ride nearby. There is also the possibility of providing Park and Ride Facilities at the Canberra Outlet Centre servicing both the bus network and light rail network and reducing congestion on Canberra Avenue. The objective of the proposed variation to the Territory Plan is to allow for the inclusion of a small supermarket (1000m2) into the existing building envelope to underwrite the future financial viability of the Centre and increase employment within the Centre.
4.11 Other potential uses of the site
The proposal to add a supermarket of approximately 1,000m2 within the existing building envelope of the Canberra Outlet Centre (Block 8, Section 48 Fyshwick) does not reduce the amount of mixed use industrial (IZ2) land available. The Canberra Outlet Centre’s building is less than 10 years old with the building opening for trade in 2008. Given the age and quality of the building the proponent is not seeking to demolish the building and undertake a new land use. Instead they are seeking to include a land use within the existing building envelope that is compatible with the existing uses and tenants. The IZ2 Industrial Mixed Used Development Code lists a range of permitted uses (all merit assessment track). Table 8 details these uses and the outcomes of an assessment as to whether they are applicable to incorporate into the existing Canberra Outlet Centre building. It can be seen from the table that many of the uses permitted in the IZ2 zone are not compatible with the existing development at Section 8, Block 48 Fyshwick. Many others are fully or partially compatible and may be considered for other vacant areas in the centre to support the sustainability of the retail offer. This assessment effectively limits the other uses of the Canberra Outlet Centre to retail, leisure or entertainment.
Permitted Use in IZ2 zone Compatibility ancillary use (to the primary use of the Yes – Retail purposes land) bulk landscape supplies Not compatible bulky goods retailing Yes – current purpose of the development
Canberra Outlet Centre Elton Consulting 35
Permitted Use in IZ2 zone Compatibility car park Yes – existing car parks in development. Not a higher order use of the site. caretaker’s residence Not compatible club Yes communications facility Partially e.g. Australia Post facility is compatible community use Yes. Opportunities will remain in the centre for these uses consolidation Not applicable craft workshop Yes. Opportunities will remain in the centre for this use. defence installation Not compatible demolition Not applicable drink establishment Yes emergency services facility Not compatible freight transport facility Not compatible funeral parlour Not compatible general industry Not compatible indoor entertainment facility Yes Opportunities will remain in the centre for this use. indoor recreation facility Yes Opportunities will remain in the centre for this use. industrial trades Not compatible light industry Partially e.g. craft workshop is compatible. Some other light industries may not be. liquid fuel depot Not compatible major road Not compatible major utility installation not compatible minor road not compatible minor use yes municipal depot not compatible non retail commercial use compatible outdoor recreation facility not compatible parkland Not compatible pedestrian plaza Not compatible plant and equipment hire establishment Compatible but access issues partially preclude public transport facility Yes – opportunity for park and ride recyclable materials collection Yes- partially compatible recycling facility Not compatible restaurant Yes Opportunities will remain in the centre for this use. scientific research establishment Not compatible service station Not compatible SHOP Yes – retail purposes sign Yes – within overlay zone constraints store Not compatible subdivision Not applicable temporary use Not applicable transport depot Partially – height constraints within car parks vehicle sales Partially compatible but access issue
36 Canberra Outlet Centre Elton Consulting
Permitted Use in IZ2 zone Compatibility veterinary hospital Not compatible warehouse Compatible waste transfer station Not compatible
Table 11 Permitted uses and compatibility with the existing development
Canberra Outlet Centre Elton Consulting 37
PART D – STRATEGIC PLANNING POLICY CONTEXT
38 Canberra Outlet Centre Elton Consulting
5 Strategic Planning Policy Context
5.1 The Territory Plan
The Territory Plan is the key statutory planning document in the ACT, providing the policy framework for the administration of planning. The purpose of the Territory Plan is to manage land use change and development in a manner consistent with strategic directions set by the ACT Government, Legislative Assembly and the community. The Territory Plan must not be inconsistent with the National Capital Plan. The Territory Plan includes a statement of strategic directions, a map (the Territory Plan Map) which sets out zones and precincts in the ACT, objectives and development tables applying to each zone, and a series of general, development and precinct codes. The relevant sections of the Territory Plan as they apply to Block 8, Section 48 Fyshwick and the proposal are detailed below.
5.1.1 The Statement of Strategic Direction The Statement of Strategic Directions sets out the principles for giving effect to the main object of the Territory Plan as required by the Planning and Development Act 2007. The Statement includes principles for sustainable development as well as spatial planning and urban design principles that are intended to guide the more specific policy content of the Territory Plan. Each principle needs to be given due consideration where relevant to a proposal. Principal Comment 1. Principles For Sustainable Development General Principles 1.1 Planning processes and decisions will be This proposal achieves economic vitality and focused on the combined achievement of community wellbeing outcomes. As it involves economic vitality, community wellbeing, and the maintenance of an existing building of high environmental quality. Broad community quality it also achieves environmental outcomes. involvement will be a key element in the pursuit of sustainable development, as will complementary regional strategies and agreements. 1.2 Matters of broader National Capital, The market reach of the Canberra Outlet Centre metropolitan and regional significance will be is regional as it is the only outlet centre in south carefully considered when formulating Territory eastern NSW and the ACT. The closest other Plan policies and when making decisions about outlet centre is in Homebush, Sydney. development proposals and sequencing.
Canberra Outlet Centre Elton Consulting 39
Principal Comment 1.3 Economic, social and environmental The proposal is for an internal remix of an objectives will be pursued in a balanced and existing retail facility. integrated way, having regard to both short- term and long-term factors, such that present needs can be met without prejudicing the welfare of future generations, and without serious or irreversible loss of life-supporting natural resources or damage to the environment. 1.4 Wherever appropriate, the broader global Not applicable and regional context and potential cumulative impacts of decisions will be taken into account. Where there are threats of serious or irreversible damage, lack of full scientific certainty should not be used as a reason for failing to prevent environmental degradation Environmental Sustainability 1.5 Planning policies will seek to ensure the The proposal is for an internal remix of an efficient use of all resources and to reduce existing high quality retail facility. consumption of non-renewable resources. Waste minimisation, reuse and recycling will be encouraged, whilst energy-rating and conservation measures will be applied wherever appropriate, particularly in transport, subdivision planning, and building design and construction. 1.6 The pattern of development is to reflect land Not applicable. The proposal relates to an capability constraints resulting from topography, existing building in a developed area. soils, geotechnical factors, drainage, natural hazards, microclimate and the sensitivity of ecosystems. Particular attention will be given to the need to conserve soil, water and vegetation; maintain biological diversity; safeguard important ecosystems and ecological processes; and provide and protect wildlife corridors. 1.7 Land and water resources will be planned in Not applicable. The proposal relates to an accordance with the principles of integrated existing building in a developed area. catchment management and water sensitive urban design. Policies will seek to protect identified environmental values, whilst focusing on opportunities for multi-purpose use of resources. Special attention is to be given to protecting sources of the Territory’s water supply and to maintaining environmental flows in rivers and streams. 1.8 Planning policies will provide for the Not applicable. The proposal relates to an sustainable management of rural areas, ensuring existing building in a developed area. that rural lands nominated for future urban development or other purposes can be retained in productive use and properly managed for the time being. Appropriate activities to reduce net greenhouse gas emissions will be encouraged.
40 Canberra Outlet Centre Elton Consulting
Principal Comment 1.9 Urban expansion will be contained in order Not applicable. The proposal relates to an to minimise impacts on valuable natural and existing building in a developed area. rural areas. 1.10 Integrated land use and transport planning This proposal plans to ensure the ongoing will seek to maximise accessibility and transport viability and operation of an existing efficiency, reduce energy consumption, support development. In addition, it will encourage the preferred pattern of development, promote patronage of public transport by enhancing the safety, safeguard environmental quality, and amenity and convenience of commuters. It will minimise greenhouse gas emissions. also reduce workers reliance on cars to access fresh food and groceries during, before and after work. This will therefore help to minimise greenhouse gas emissions. 1.11 Policies for environmental planning and Not applicable. The proposal relates to an management will ensure amenity, minimise existing building in a developed area. pollution, and protect public health and safety. Economic Sustainability 1.12 Planning policies will facilitate the widest This proposal will underpin employment growth possible range of commercial, retail, industrial, and maintenance. It will help to widen the retail rural, tourism, and other forms of economic opportunities for the workers of Fyshwick and activity in order to promote new investment and surrounds and residents of South Canberra and a more diversified economy, to underpin further afield. It responds to changing economic employment growth, and to respond to changing opportunities both in terms of the impacts of economic opportunities. Majura Park and Ikea and the growth in the workforce in Fyshwick and surrounds. 1.13 The characteristics of the city that The proposal will assist with the enhancement of contribute to economic growth: Canberra’s role the vibrancy of a major centre that provides for as the national capital and the seat of Federal social, cultural and business exchange. Parliament; the ease of getting around the city; the safe and clean environment; and the vibrancy of centres as places of social, cultural and business exchange, will be enhanced. 1.14 An adequate and diverse supply of This proposal maintains the supply of industrial industrial land will be maintained to facilitate land as the proposed development falls within both conventional and new forms of industry. an existing building with limited capacity for uses other than retail, leisure or entertainment. The offer to incorporate the Fyshwick Park and Ride Facility within the basement car park at the Canberra Outlet Centre could allow the site on Tom Price Street to be released to the market for other purposes. 1.15 Tourism will be fostered by permitting a Not directly applicable, however the Centre can variety of entertainment, leisure and have a positive impact on regional accommodation facilities, including opportunities tourism/visitation. for ecotourism, in appropriate locations throughout the Territory. 1.16 Sufficient land will be set aside for major Not applicable. The proposal relates to an communications, educational, scientific, or other existing building in a developed area. activities requiring broadacre sites in appropriate locations outside urban areas.
Canberra Outlet Centre Elton Consulting 41
Principal Comment 1.17 In planning future development and Not applicable. The proposal relates to an redevelopment, particular emphasis will be existing building in a developed area. placed on cost-effective provision and management of existing and new infrastructure and services, taking into account whole-of-life and whole-of system costs, including the ecological footprint of proposed developments and activities. Social Sustainability 1.18 Provision will be made for a comprehensive The proposal maintains the indoor recreational range of readily accessible community, cultural, facility already located at the Canberra Outlet sporting and recreational facilities, distributed Centre and will help to ensure its ongoing according to the varying needs of different viability. Other minor changes that are being localities and population groups. In major considered for the Centre, consistent with the centres and developing areas, sites will be current provisions of the Territory Plan, will safeguarded where necessary for particular increase the community and recreational community needs. facilities in Fyshwick. Consistent with the Centre these may have a metropolitan and even regional range (attracting more visitors from outside the ACT). 1.19 A variety of open space types will be Not applicable. The proposal relates to an provided in each district or local area to meet existing building in a developed area. the diverse recreational needs of residents and visitors, and to contribute to community health. 1.20 Planning policies for community facilities Some community facilities including and open space will encourage multiple use and entertainment and recreation facilities can be flexible design to allow for changing needs. incorporated in the existing building. The inclusion of a supermarket does not preclude this 1.21 Provision of affordable, adaptable and Not applicable. The proposal relates to an special-needs housing will be promoted existing building in a developed area. throughout the city, as well as modification or redevelopment of existing stock to meet emerging social needs 1.22 Urban development will be planned in a The building has been developed to take manner that promotes community vitality and account of community safety. safety, applying principles of crime prevention through environmental design. Provision will also be made for emergency services infrastructure necessary to ensure a high standard of safety for residents and visitors. 1.23 The needs of people with disabilities will be The building has been developed with the needs recognised in all facets of urban planning, of people with disabilities taken into particularly including the design and operation of consideration. transport and access systems and the assessment of development proposals.
42 Canberra Outlet Centre Elton Consulting
Principal Comment 1.24 New suburban areas will be planned with a Not applicable. The proposal relates to an legible and permeable hierarchy of roads; existing building in a developed area. conveniently located commercial and community facilities; a network of open spaces; an off-road system for pedestrians and cyclists; and provision for accessible public transport. 1.25 Heritage and cultural values will be Not applicable. There is no heritage or cultural safeguarded, including in particular those of the values associated with the site. Territory’s Aboriginal peoples and those derived from both its rural history and urban development as the National Capital. The distinctive qualities of residential areas and other places, as well as elements of community heritage, will also be recognised and their conservation promoted 1.26 Identified places of heritage significance Not applicable. The proposal relates to an will be protected in accordance with existing building of less than 10 years in a requirements for their conservation contained in developed area. the Heritage Register and any relevant heritage guidelines under the Heritage Act 2004. Special provisions are included in the Heritage Act for the recognition, registration and conservation of Aboriginal heritage. 2. Spatial Planning And Urban Design Principles Urban Areas 2.1 Canberra will continue to develop as a series Not applicable. The proposal relates to an of discrete urban areas within a landscape existing building in a developed area. setting of hills, ridges and other open spaces. Each town will offer a diversity of housing types; the broadest possible range of employment opportunities; and convenient, linked access to retail centres, community facilities and open space. 2.2 Future residential settlement will be Not applicable. The proposal relates to an accommodated through development of existing building in a developed area. greenfields areas, subject to detailed feasibility and suitability studies; some expansion of existing towns; and appropriate use of suitable vacant or underdeveloped sites. 2.3 Commercial and retail activity will be Fyshwick is an employment node with intensive concentrated in centres and other planned activity (12,700 employees) which is well served nodes of intensive activity that are well served by public transport. Bus stops are located by public transport to ensure an efficient pattern immediately adjacent to the Centre and a Park of development. Primary emphasis will be placed and Ride Facility has been constructed in an on strengthening and enhancing existing and adjacent street. A Park and Ride facility within new centres and nodes, including improved the existing under croft car park of the Canberra urban design and encouragement of more Outlet Centre is also proposed. The proposal mixed-use development will enhance this important node and support the future development of Symonston (part of the eastern Broadacre study area).
Canberra Outlet Centre Elton Consulting 43
Principal Comment 2.4 Planning policies will support revitalisation of Not applicable. The proposal relates to an the City Centre as the preeminent centre of existing building in a developed area. governance, commerce and entertainment for the ACT and its region, while keeping the City Centre in appropriate balance with other town centres. Within the City Centre, provision will also be made for a range of major community facilities and opportunities for high-density residential development. 2.5 A wide range of housing types will be Not applicable. The proposal relates to an permitted in identified residential areas close to existing building in a mixed use industrial area. commercial centres and some major transport routes to increase choice; maximise opportunities for affordable housing; and secure some intensification of development consistent with maintaining residential amenity. Outside of these areas, planning policies will protect the typically low density, garden city character of Canberra’s suburban areas. 2.6 Higher density development will be Not applicable. The proposal relates to an encouraged within and near major centres, and existing building in a developed area. in other suitable locations that are well served by public transport. 2.7 Development will be planned to encourage The proposal includes the opportunity to use of public transport, walking and cycling, incorporate Park and Ride and Bike and Ride at including commuter cycling. Routes will be the Canberra Outlet Centre, a convenient reserved for an enhanced inter-town public location for such a facility. transport system. Requirements for vehicle parking will be related to commercial needs and transport policy objectives. 2.8 Industrial areas will be in locations Canberra Outlet Centre is located in an existing accessible to suitable freight services, and where industrial area with excellent accessibility to industrial activity is unlikely to have a significant freight. adverse effect on the environment or the amenity of residential areas. 2.9 A planned hierarchy of roads will be Not applicable. The proposal relates to an maintained in order to promote road safety, existing building in a developed area. protect the amenity of residential and commercial areas, and facilitate the efficient movement of major traffic flows and heavy vehicles. 2.10 Adequate provision of open space Not applicable. The proposal relates to an throughout the Territory will remain a high existing building in a developed area. priority. Open space will be planned and carefully maintained as an integrated, hierarchical system that provides for a diversity of sport and recreation activities, contributes to the legibility and character of urban development, is cost-effective to maintain, and assists in the effective management of stormwater.
44 Canberra Outlet Centre Elton Consulting
Principal Comment Non-urban Areas 2.11 Planning policies will protect the landscape Not applicable. The proposal relates to an and environmental qualities of the hills and existing building in a developed area. ridges surrounding urban areas, the Murrumbidgee and other river corridors, the mountains and forests west of the Murrumbidgee River, and productive rural landscapes. 2.12 Planning for non-urban and natural areas Not applicable. The proposal relates to an will also recognise the values of land for existing building in a developed area. research, education, recreation and tourism purposes. 2.13 Clearance zones will be established where Not applicable. The proposal relates to an necessary around major facilities to protect the existing building in a developed area. operational efficiency of those facilities and to minimise adverse environmental impacts. Urban Design 2.14 Policies and procedures to promote high The Canberra Outlet Centre building is of high quality, creative design of development, urban quality as is befitting a development on a main spaces and landscape settings will be applied avenue and approach route in the National throughout the Territory, and innovation Capital. The height, massing and spatial encouraged, in keeping with the spirit of the arrangements of the buildings and design of the National Capital as an exemplar of best practice. built form of the Centre reflects the strategic Particular care will be taken to ensure high- importance and prominence of the site. amenity, quality design outcomes within residential areas, heritage areas, major centres and activity nodes, and along principal approach routes. The relationship between the public and private realms will also be emphasised in terms of the design quality of precincts and shared spaces, including spaces around buildings, as well as that of individual developments. 2.15 Policies will acknowledge Canberra as the Not applicable. The proposal relates to an national capital and the symbolic heart of existing building in a developed area. Australia and will seek to preserve the landscape features that give the national capital its character and setting; respect and reinforce the key elements of Walter Burley Griffin’s formally adopted plan for Canberra within the proposed urban settlement pattern; enhance and strengthen approaches and backdrops to the city and its national institutions; conserve open space between urban areas as visual separation buffers consistent with the landscape setting; retain areas that are identified as the rural setting surrounding the city; and retain key vistas created by the landscape network within new settlement areas.
Canberra Outlet Centre Elton Consulting 45
Principal Comment 2.16 Retention of Canberra’s unique landscape Not applicable. The proposal relates to an setting, including the integration of natural and existing building in a developed area. cultural elements that create its ‘garden city’ and ‘bush capital’ qualities, will be accorded the highest priority. Special attention will be given to safeguarding visual amenity, protecting vegetation and other important features within the established urban landscape, and ensuring the high quality of environmental design in new developments or redevelopment. 2.17 Advertisements and signs will be carefully Advertisements and signage is consistent with controlled to maintain environmental amenity. an approved DCP.
Table 12 Consistency with the Statement of Strategic Direction Source: ACT Territory Plan Statement of Strategic Direction, http://www.legislation.act.gov.au/ni/2008- 27/current/default.asp#Strategic+Direction. Downloaded 23/2/16
5.1.2 IZ2 Industrial Mixed Use Land Use Zone Block 8 Section 48 Fyshwick falls within the IZ2 Industrial Mixed Use Zone (Figure 5).
Figure 11 Zoning of Fyshwick Source: ACTMAPi Downloaded 26/6/14
46 Canberra Outlet Centre Elton Consulting
In the Territory Plan the objectives for the IZ2 Mixed Use Industrial zone are as follows: a) Support the diversification and expansion of the ACT’s industrial base and employment growth b) Facilitate investment in a wide range of industrial and related activities, with efficient land utilisation and provision of infrastructure c) Provide convenient access for ACT and regional residents to industrial goods, services and employment opportunities d) Ensure that industrial development achieves high environmental standards of cleaner production, waste disposal, noise and air quality e) Encourage the design and construction of industrial and commercial buildings that are energy efficient, functional and flexible f) Ensure that development along major approach routes and major roads meets appropriate standards of urban design g) Accommodate industry-associated retailing, services and other commercial uses without jeopardising an adequate supply of industrial land h) Provide for a range of commercial and service activities at a scale that will protect the planned hierarchy of commercial centres and the Territory’s preferred locations for office development i) Meet the need for a mix of lower rent bulky goods retailing, specialised industrial, commercial and service activities alongside general industry j) Preserve and promote viable industries that can coexist with more commercially oriented uses k) Make provision for small-scale services that support surrounding industrial activities, or which meet the needs of the local workforce (ACT Territory Plan [online: http://www.legislation.act.gov.au/ni/2008-27/copy/96340/pdf/2008-27.pdf downloaded 6/6/14]
The proposal is not inconsistent with these objectives. The proposal facilitates employment growth; it is an efficient use of existing infrastructure designed to high environmental and aesthetic standards. The proposed use is compatible with the commercially orientated uses already being undertaken in the Centre. The proposal will provide retailing and services that support the employees based in Fyshwick and Symonston.
Under the IZ2 Industrial Mixed Use Zone a SHOP is an assessable development under the merit track.
Canberra Outlet Centre Elton Consulting 47
5.1.3 Fyshwick Precinct Map and Code Block 8 Section 48 Fyshwick falls within the RC2 area on the Fyshwick Precinct Map. In relation to this proposal for the relevant control is a restriction on use (table 13).
Figure 12 Fyshwick Precinct Map ACT Territory Plan [online: http://www.legislation.act.gov.au/ni/2008-27/copy/94771/pdf/2008-27.pdf downloaded 6/6/14] In relation to this proposal for the relevant control is a restriction on use (table 13).
Rules Criteria
1.1 Gross Floor Area R2 This is a mandatory requirement. There is no The maximum gross floor area per shop is as applicable criterion follows: a) supermarket or shop selling food: 200 m2 b) other shops, except for bulky goods retailing: 3000 m2 Table 13 Zone specific controls area RC2 industrial mixed use zone ACT Territory Plan [online: http://www.legislation.act.gov.au/ni/2008-27/copy/94771/pdf/2008-27.pdf downloaded 6/6/14
48 Canberra Outlet Centre Elton Consulting
The intent of this restriction on use is a) To provide for complementary commercial services to meet the needs of the Industrial Zones while protecting the viability of commercial centres through limited size and nature of uses (Industrial zone development code)
The proposal is inconsistent with this development control. Hence, the need to seek a Territory Plan variation. Cognisant of the intent to protect the viability of commercial centres the proposed supermarket will be limited to 1000m2 i.e. the GFA limit for supermarkets in local centres.
5.1.4 Overlay Zone: MAAR - Main Avenues and Approach Routes Block 8, Section 48 has an overlay imposed on it. This is because it is a Main Avenue or Approach Route and therefore subject to special requirements under the National Capital Plan. The special requirement provisions are transferred from the National Capital Plan and are shown for information purposes only and do not form part of the Territory Plan. The requirements are detailed in the National Capital Plan section of this chapter (section 3.3.1).
5.1.5 Commercial Zone Development Code Block 8 Section 48 Fyshwick is not part of a commercial zone. However, it is worth noting that there are GFA restrictions on shops (including supermarkets) in the CZ2 Major Centres Business Zone and CZ3 Major Centres Service Zones. The maximum GFA is 300m2 in CZ3. The 300m2 applies in the CZ2 if it is contiguous with a CZ1 zone. The GFA reduces to 100m2 if not contiguous. There are no GFA restrictions on shops including supermarkets in the CZ1 major centres core zone. The intent of these restrictions is to ensure that the non-core commercial zones do not undermine the function of the core zone.
5.2 ACT Planning Strategy 2012
The ACT Planning Strategy was adopted by the ACT Government on 26 June 2012 replacing the Canberra Spatial Plan 2004. The strategy provides long-term planning policy and goals to promote orderly and sustainable development, consistent with the social, environmental and economic aspirations of Canberrans. The Planning Strategy has five outcomes setting future direction to 2030. Nine strategies direct how the outcomes will be achieved. Each strategy has a list of actions for new and continuing work in the short or longer term. The relevant strategies and actions are detailed below. Strategy 1 Create a more compact, efficient city by focusing urban intensification in town centres, around group centres and along the major public transport routes, and balancing where greenfield expansion occurs. Action: Continue the development of Kingston Foreshore and prioritise development of East Lake to establish an exemplary sustainable development.
Canberra Outlet Centre Elton Consulting 49
The Canberra Outlet Centre is located at 37 Canberra Avenue (Block 8, Section 48 Fyshwick). This is a major public transport route and transport corridor. Kingston Foreshore and East Lake are 4km and 2km away respectively. The residents of these developments will benefit by the presence of a supermarket nearby.
Strategy 2 Improve everyone’s mobility and choice of convenient travel by integrating the design and investment of the various networks and transport systems with the land uses they serve. Implementing this strategy will mean: Creating points where people can ‘cross-over’ and change transport modes will encourage the use of public transport on longer trips. Park and Ride and Bike and Ride facilities can be located and developed near or at centres to improve the amenity and convenience for commuters. Action: Implement specific public transport measures including:–bus priority and transit ways at key locations – Northbourne Avenue, Flemington Road, Canberra Avenue, Barry Drive (ANU), College Street and Haydon Drive.
A Park and Ride facility has been constructed at Tom Price Street near the Canberra Outlet Centre. There is also an opportunity to add additional Park and Ride and Bike and Ride spaces within the Centre or completely relocate the facility from Tom Price Street. This will improve the amenity and convenience of commuters and may reduce private car travel.
Strategy 4 Ensure everyone has convenient access to a range of facilities, services and opportunities for social interaction by reinforcing the role of group and local centres as community hubs.
Whilst Fyshwick is not a group or local centre it is a significant employment hub with 12,700 people employed there. The workforce does not have convenient access to a range of facilities and services. It is particularly poorly supplied with opportunities to purchase groceries and fresh food (except for Fyshwick Markets which is only open Thursday to Sunday). The Canberra Outlet Centre because of its metropolitan draw can also function as a community hub.
5.3 National Capital Plan
The National Capital Plan is the strategic plan for Canberra and the Territory. It ensures that 'Canberra and the Territory are planned and developed in accordance with their national significance'. One of the key principles of Canberra's urban structure has been that a hierarchy of centres has been developed, with each town having a centre acting as a focal point for higher order retail functions, commercial services, offices and community facilities. This hierarchical principle, at the metropolitan level, means that: » Canberra Central continues to be the main location of metropolitan employment » Civic has been encouraged to develop as the most specialised retail, commercial, cultural, entertainment and tourist centre » Town centres provide retail, commercial, cultural, entertainment and other facilities to meet community needs, and serve also as locations for office-based employment.
50 Canberra Outlet Centre Elton Consulting
Centres at each level in the hierarchy form the focus of a range of retail, commercial and community facilities and services, in which specialisation increases at successively higher levels. The hierarchy is intended to offer residents in each district convenient access to goods services and facilities.
Within the context of the centre’s hierarchy Fyshwick is not a centre. However, with a weekday working population of 12,700 people it is similar in scale to a group centre. The closest group centres are Kingston and Manuka which were established after the hierarchy was developed. The Canberra Outlet Centre is the only dedicated factory outlet Centre in the Canberra region and as such offers a significant point of difference from the other more traditional retail centres in the ACT. Majura Park, the Canberra Outlet Centre’s main competitor, also falls outside of the hierarchy.
5.3.1 Main Avenues and Approach Routes Canberra's main avenues and approach routes have historically been subject to rigorous planning scrutiny and care has been taken to ensure that suitably high standards of development and landscaping have been observed. The Canberra Outlet Centre, on Canberra Avenue is on a main avenue and approach route (MAAR). Design policies are concerned with achieving awareness of the special symbolic and functional significance of the National Capital through the following: » marking the boundary of the ACT » establishing a clear and identifiable route from the boundary to the symbolic centre of the city, by providing visual cues and strong structural links eg. avenue planting » building up expectations by progressively formalising the design character as travellers approach the Central National Area » enhancing views to recognisable and popular images of the National Capital so as to further build expectation and define the approach » ensuring that the structure, detailing and signage is consistent along each approach route into the National Capital. To create an identifiable approach, which increases in formality as the Central National Area is neared, and which clearly signifies the symbolic and functional roles of the National Capital: » buildings which enhance the approach route function should front these roadways » the main avenues are to be enhanced in their formal character and maintained to the highest standards.
A Development Control Plan (DCP 11/03) prepared for the guidance and control of development including design, siting, scale, purpose, timing and phasing, construction, landscaping and other relevant matters guided the development of this site in 2006-7. This proposal is consistent with the development control plan as it will have no impact on building form or scale and is unlikely to impact on the façade. New signage will be in accordance with the DCP.
Canberra Outlet Centre Elton Consulting 51
5.4 Other approvals and process
Development approval for the supermarket is unlikely to be required as the proposed supermarket will not change the building class under the building code and there is no increase in gross floor area. This however will be confirmed with the Planning Authority following variation to the Territory Plan to allow for a supermarket. A crown lease variation will also be required. This will be obtained via a development application consistent with the Act.
52 Canberra Outlet Centre Elton Consulting
PART E – PRELIMINARY CONSULTATION
Canberra Outlet Centre Elton Consulting 53
6 Consultation Summary
6.1 Consultation process
On 15 December 2015 the ACT Environment and Planning Directorate issued a Scope for a Planning Report “to inform a proposed Territory Plan Variation for block 8, section 48 Fyshwick allowing the gross floor area limit for a supermarket on the subject block to increase from 200m2 to 1000m2. The changes will include excluding the subject block, the location of the Canberra Outlet Centre, from the RC2 area and applying a new area of RC5 to it on the Fyshwick Precinct Map along with a new planning provision for a supermarket of 1000m2 in the Fyshwick Precinct Code.” The scope for the Planning report included the following: E. Preliminary Consultation Community Consultation with affected communities and interested members of the general public on the proposal is required. At a minimum, consultation should include holding at least one public meeting/public discussion session that is widely advertised including The Canberra Times and the Canberra Chronicle.
6.2 Staged approach
Consultation on the proposed inclusion of a supermarket at the Canberra Outlet Centre was undertaken in two stages. Whilst the first stage was not directly related to the Scope for a Planning Study it is included here as it adds to the depth of understanding of the community’s attitude of the desirability of including a supermarket at the Canberra Outlet Centre.
6.2.1 Market research The first stage, undertaken in July and August 2015 prior to the Minister for Planning agreeing to a scope for the planning report was market research for the Centre. The research, carried out by an independent research company Platinum Global Business Solutions sought the views of shoppers (n=600), tenants of the Centre (internal stakeholders, n=150) and tenants of other businesses located in Fyshwick (external stakeholders, n=120). The research on shopper’s attitudes was undertaken as an intercept survey in the Centre. Shoppers were asked a range of questions including the frequency of visiting the centre, reason for visiting, average expenditure, areas for improvement in the Centre, what types of other shops they would like to see in the Centre and if they would use a supermarket and why. Telephone surveys were used to elicit feedback from businesses located in Fyshwick. Business owners and employees were asked if there were any products currently not available in Fyshwick and the distance they travelled to obtain these products. They were also asked if a supermarket was located in the Canberra Outlet Centre would they use it for business and/or personal reasons. The survey of tenants and employees sought feedback on products not directly available in the Centre, distance travelled to obtain these products, whether they would use a supermarket for business and personal reasons, would the inclusion of a supermarket in the Centre attract more customers to the Centre and their own business and whether there would be productivity benefits.
54 Canberra Outlet Centre Elton Consulting
6.2.2 Community Information Sessions The second stage related directly to the requirements of the Scope for the Planning Report. Two community information sessions, or drop in sessions were held on Saturday 14 and Sunday 15 February 2016 from 11.00am to 1.00pm. The sessions were timed to coincide with peak visitation at the Centre. The location adjacent to the food court also maximised visibility. The information sessions were advertised in the Canberra Times on 10 and 13 February and the Chronicle on 10 February. Copies of the advertisements are at Appendix A. The information session featured two large (A0) posters that provided an overview of what is planned at the Centre (Appendix B). In addition to the proposed supermarket the posters also highlighted the entertainment precinct. A development application (DA) for a lease variation was on public notification until 19 February 2016. The DA sought the inclusion of two additional uses in the Lease Purpose Clause namely indoor entertainment facility and indoor recreation facility. Both of these uses are permitted in the IZ2 – Industrial Mixed Use Zone.
6.2.3 Correspondence To ensure that the business community were aware of the proposed inclusion of a supermarket at the Canberra Outlet Centre a letter was sent to the Chief Executive Officer of the Canberra Business Chamber informing the Chamber of the proposed lease variation and Territory Plan Variation (Appendix C). Canberra Business Chamber is the ACT and capital region’s leading business organisation, representing more than 5,000 businesses through direct membership and over 100,000 affiliated industry and association groups.
6.3 Outcomes of consultations
The follow section details the outcomes of the market research and the Community Information Sessions. Given the two different methodologies utilised the outcomes are not directly comparable.
6.3.1 Market research outcomes
Shoppers at the Centre 600 shoppers were involved in an intercept survey. Whilst the survey was broad in nature the following results are relevant to the patronage of a supermarket at the Canberra Outlet Centre.
Canberra Outlet Centre Elton Consulting 55
Frequency of visits to the Canberra Outlet Centre (%)
more than once a week about once a week several times a month about once a month several times a year about once a year less than once a year first visit
The majority of shoppers at the Centre involved in the intercept survey visited monthly (21.5%) or several times a year (30.33%). Main reason for visiting the Canberra Outlet Centre (%)
to shop at a retail store
to shop for homewares/furniture to eat at the food court
to play at the indoor kids centre other
The majority of visitors (65.83%) were attracted to the Centre by the retail stores.
56 Canberra Outlet Centre Elton Consulting
What, if anything, can be improved at the Centre (%)
layout range of shops services/facilities available car park nothing other
The majority (33.33%) felt that nothing required improving. Almost a third (31.33%) sought a greater range of shops. In the ‘other’ group were requests for more coffee shops, more food options including fresh food and a supermarket, more places for kids including free play areas, more direction signage. What type of other shops would you like to see at the Centre (%)
banks newsagent pharmacist medical/doctor supermarket bakery other
The majority of respondents (51.22%) requested a supermarket. A bakery and pharmacy were also sought after. In the ‘other’ category more food choices including fresh food was a frequent response, as were higher end clothing brands, discount department stores (eg Kmart and Target), more shops for men and outdoor, surfing and sports stores.
Canberra Outlet Centre Elton Consulting 57
If a supermarket was located in the Centre would you visit it? If so why? (%)
full weekly shop
convenience
only if I was in the area
I would not visit a supermarket
77.5% of respondents to the survey indicated that they would use a supermarket if one was located in the centre. Of these almost 20% of respondents indicated that they would use the supermarket for a full weekly shop, 25.33% for convenience shopping purposes and 32.67% indicated that they would use the supermarket only if in the area. Lessees and Employees at the Canberra Outlet Centre 150 lessees and employees were surveyed about the Centre and need for a supermarket. What products or items are not easily accessible within the Centre? (%)
pharmaceuticals
personal care items
vitamins
fresh food items
convenience items (eg bread, milk) office supplies
Fresh food items and convenience items (e.g. bread, milk, coffee) were overwhelmingly the most common items cited by lessees and their employees. These were followed by personal care items, many of which can be purchased in supermarkets. Survey participants indicated that they typically travelled 1 to 2km to obtain these items (44.67%). A further 31.33% indicated that they travelled greater than 2km to purchase these items.
58 Canberra Outlet Centre Elton Consulting
Would you utilise a supermarket in the Centre for your own personal shopping requirements? (%)
yes no undecided
Overwhelmingly (88%) of lessees indicated that they would use a supermarket in the Centre for their own personal shopping needs. Would your employees utilise a supermarket for their own persoanl shopping (%)
yes no undecided
Lessees overwhelmingly (82%) felt that their employees would use a supermarket in the Centre for their own personal shopping. 63% of lessees felt that this could result in productivity gains.
Canberra Outlet Centre Elton Consulting 59
As a business would you utilise a supermarket within the Centre to purchase items you require? (%)
yes no undecided
76% of lessee and employees indicated that they would use a supermarket in the Centre for business needs. Do you feel the addition of a supermarket in the Centre will attract more potential customers to the Centre? (%)
yes no undecided
The majority of respondents (84.67%) felt that the addition of a supermarket would attract more customers to the Centre. The increased foot traffic would benefit other businesses according to 67.33% of respondents. Another 17.33% were undecided about the benefits.
60 Canberra Outlet Centre Elton Consulting
Business owners and employees elsewhere in Fyshwick 120 business owners and employees based in other parts of Fyshwick were surveyed. As a Fyshwick based business what products or items are not easily accessible to your location (%)
personal care items fresh food convenience items office supplies other
Overwhelmingly (55.07%) business owners and employees indicated that convenience items were not readily available in Fyshwick. Almost a third (31.88%) of respondents indicated that fresh food was also not readily available. 87.18% of respondents indicated that they travelled over 2km to obtain these items. Would you use a supermarket at the Canberra Outlet Centre for your personal shopping requirements? (%)
yes no undecided
Almost three quarters (73.33%) of respondents indicated that they would use a supermarket at the Canberra Outlet Centre for their personal shopping requirements.
Canberra Outlet Centre Elton Consulting 61
Would you use at supermarket at the Canberra Outlet Centre for your business needs? (%)
yes no undecided
Two thirds (66.69%) of respondents indicated that they would utilise a supermarket at the Canberra Outlet Centre to purchase goods for their business. Would your employees utilise a supermarket at the Canberra Outlet Centre for their own personal shopping requirements?
yes no undecided
Two thirds (69.17%) of employers in Fyshwick thought that their employees would utilise a supermarket at the Canberra Outlet Centre. 13% were undecided.
62 Canberra Outlet Centre Elton Consulting
6.4 Community Information Sessions
Information at the Community Information Sessions was gained in two ways. The first was verbal feedback obtained from people who stopped to view the display posters or ask directions. The second was via feedback forms available adjacent to the display stand. Forty nine people stopped and spoke to the team at the display. Overwhelmingly the response to the question “what do you think of including a supermarket in the Centre?” was positive. The following summarise the feedback. Verbal feedback » Really good/great idea (25) » An Aldi would be good (3) » Fresh food and veg is a great idea (4) » Good idea but doesn’t need to be too big (2) » Will bring a new dynamic to the Centre (3) » Wouldn’t use it (3) » Not sure (2) Survey results Reason for visiting the Canberra Outlet Centre
shop at the retail shops
shop for homewares/furniture visit the food court
visiit the play centre
other
The majority of people responding to the survey had visited the Centre to shop in the retail stores. The majority of people in the “other’ category worked at the Centre.
Canberra Outlet Centre Elton Consulting 63
What, if anything, can be improved at the Centre
layout range of shops services/facilities carpark nothing other
The majority of respondents felt that the range of shops could be improved suggesting more “high end” clothing manufacturers, more clothing for men and older women, more sports stores and fresh food. In the “other” category the majority of responses related to fresh food produce and more food options. What type of other shops would you like to see in the Centre?
banks newsagents pharmacy doctor/medical supermarket bakery other
Respondents indicated that a supermarket was the most desirable inclusion in the Centre followed by a bakery and then a newsagent.
64 Canberra Outlet Centre Elton Consulting
If a supermarket was located at the Centre would you use it? If so, why?
full weekly shop convenience shop only if I was in the area would not use
In contrast to the survey in 2015 a slight majority (43%) of respondents thought that they would use the supermarket for a full weekly shop compared to a convenience shop (41%). 13% of respondents indicated that they would only use the supermarket if they were in the area i.e. would not make this the destination for a supermarket shopping trip only. Would you use other fresh food retailers?
would not use only if in the area bakery butcher fruit and veg bottleshop florist
The presence of a bottle shop was considered favourably by 32% of respondents followed by a bakery and butcher shop (23% support each) and a fruit and vegetable shop (20%).
Canberra Outlet Centre Elton Consulting 65
6.5 Correspondence
There was no response to the correspondence to the Canberra Business Chamber. No email submissions were received at the email address on the Community Information and Feedback Session posters.
6.6 Findings of the Consultation
There were no issues or concerns raised about the proposal to include a supermarket at the Canberra Outlet Centre during either stage of the consultation (2015 and 2016). The vast majority of people were very supportive of the concept of including a supermarket in the Centre and wished to know when it would open and which of the supermarket chains it would be. Many people indicated that they would not make a special trip to the supermarket but would use it while they were at the Centre for convenience shopping and to a lesser extent for their full weekly shop. This proposal has not been amended as a result of the outcomes of the consultation.
66 Canberra Outlet Centre Elton Consulting
PART F – POTENTIAL IMPACTS
Canberra Outlet Centre Elton Consulting 67
7 Physical features, infrastructure and built form impacts
A Territory Plan Variation is required to add another use (a supermarket of 1,000m2) within the existing building envelope of the Canberra Outlet Centre. The Canberra Outlet Centre is a high quality building less than 10 years old in an existing highly modified environment, Fyshwick. If approved, the supermarket will be housed within the existing built form of the Canberra Outlet Centre. There will consequently be no new impact on topography, soils, geography and hydrology. Similarly there will be no impact on the amenity of the area in terms of noise, odour, light spill impacts and safety. As per the existing Lease and Development Conditions, the proponent will illuminate and keep illuminated all public areas, car parks, driveways and pedestrian areas and pathways on the land during the evening hours of operation. Landscaping and paving will also be maintained in an acceptable condition as per the lease and Development Conditions issued in 2005.
7.1 Typography
The site is highly modified as a result of the construction of the Canberra Outlet Centre and surrounding buildings and supporting infrastructure. Figure 13 demonstrates the typography of the land prior to development. The site has a gentle but modest slope falling approximately 8m from west to north east and approximately 9m west to south east. Some modification to the sites typography would have occurred when the Canberra Outlet Centre, and its under croft car parks were constructed. The proposal to include a small supermarket within the existing building envelope will have no impact on, and not be impacted upon, by the sites typography.
7.2 Soils and geology
A preliminary geotechnical investigation was conducted by ACT Geotechnical Engineers in March 2006 which provided preliminary information on surface conditions, and on the geotechnical implications for design and construction of the Canberra Outlet Centre. The surface investigation indicated that Mt Ainslie Volcanics of mainly dacite tuff covers the southern or Canberra Avenue end of the site and also the northern end, particularly the north east corner. The Canberra Formation of siltstone, tuff and tuffaceous sediments is present in a band running north west diagonally across the mid-section of the site, extending over a width of less than 75m at the eastern end, to 150m at the Newcastle Street side. Prior to construction shallow soil fill up to 0.5m/1m deep was present along the Newcastle Street side, but thinned out inside the block. The fill was a mixture of local soils and weathered bedrock.
68 Canberra Outlet Centre Elton Consulting
Figure 13 Typography of site prior to development
7.3 Hydrology
A ground water table was not present on site within the required depth of basement excavation and was at least 10m below pre construction surface level. The required depth of excavation for the basement level car park was typically 3m to 5m, but as great as 7m to 9m for the hillrock near Canberra Avenue and for the higher ground along Newcastle Street. The development captures roof and paving run off in a number of detention tanks at the south eastern corner of the site (the lowest point). The detained water is used for irrigation and toilets. Connections to the stormwater system allow overflow from major storm events (1 in 10 years intensity or greater) to enter the mains systems.
7.4 Physical Infrastructure
7.4.1 Traffic Extensive traffic and parking assessments were undertaken at the time that the initial development was planned in 2005-6. This included a traffic impact assessment (including a parking assessment of the site) prepared by Ratio Consultants Pty Ltd which was submitted with the development application. Ratio Consultants modelled traffic generation greater than that likely to be generated (i.e. a worst case scenario was assumed) finding that “the proposed DFO and retail development could potentially generate around 1,165 vehicle movements during the workday PM peak hour and around 2,337
Canberra Outlet Centre Elton Consulting 69
vehicle movements during the lunchtime peak hour on Saturdays. In reality, the peak traffic generation of the whole development will be less than the aggregate of the traffic generation of its two components. That is because customers at one component will be likely to also visit other components, leading to longer average durations of stay at the development as a whole. In addition, a proportion of traffic generated to the site is expected to be “pass by” traffic (i.e. drivers already on the road network and not solely generated to the site” (Ratio, 2006 p 11). This proposal is not likely to result in an intensification of use above that originally modelled with a fully operational centre or led to a material change to the use of the land. Subsequently there have been traffic studies undertaken on adjoining blocks. For example, in 2013 Indesco was commissioned by the LDA to prepare a traffic and parking assessment for Blocks 6, 7, 8 and 11 Section 47 Fyshwick and Rural Blocks 21, 353 and 2028 Fyshwick for commercial and industrial land uses. These studies should have used a development scenario with the Canberra Outlet Centre fully tenanted. They should take into account the intensification in land use in this part of Fyshwick since the development of the then Direct Factory Outlet.
7.4.2 Parking The basement car park has capacity for 1,833 car park spaces. The parking assessment undertaken to inform the consideration of the development application relied upon empirical studies of parking demand at similar developments elsewhere in Australia. These studies showed that peak demand for both the factory outlets and the bulky goods retailing (home maker centres) occurred around lunchtime on Saturdays. For the factory outlet peak parking demand rates were 3.6 spaces/100m2 of GFA and 1.7 spaces/100m2 GFA for bulky goods retail. Observation of the car parks over time at the Canberra Outlet Centre has confirmed that peak demand is around Saturday lunchtime. During the working week the car park is underutilised.
The Parking and Vehicular Access General Code adopts a performance based approach which provides the flexibility to enable a proposal to be supported where the proponent can demonstrate to the satisfaction of the Territory that the codes objectives can be met either by provision of a lesser on-site rate or by utilising spare capacity in publicly available on-street or off-site parking. The flexibility in the code is essential when considering a building such as the Canberra Outlet Centre. SMEC have provided advice on the potential impact on parking of including a small supermarket in the Centre. SMECs analysis highlighted that the parking provision in the existing basement car park will be able to accommodate an increase in parking demand due to the provision of a 1000m2 supermarket and 950m2 of other new tenancies inside the existing Canberra Outlet Centre, primarily due to the existing generous supply of parking in the basement. SMEC calculated that the proposed internal remix of shops, including the supermarket, would require between 1,596 to 1,635 spaces under the Parking and Vehicular Access General code.
70 Canberra Outlet Centre Elton Consulting
Figure 14 Canberra Outlet Centre car park 1.30pm Friday 27/6/14
7.4.3 Public Transport The Canberra Outlet Centre is well serviced by public transport with the bus stops located on Iron Knob Street immediately outside of the Centre. The following routes stop at the centre: » 80 to the City and Woden » Red Rapid 200 to Gungahlin via Russel, Barton and City » 980 (weekends) to Belconnen via Russel, City, Northbourne Avenue, Ginninderra Avenue. This proposal will not impact on the bus stops or bus routes. In fact it may encourage the use of the Park and Ride Facility in Tom Price Street and thereby increase patronage of public transport. There is also the option of including a Park and Ride and Bike and Ride facility in the Canberra Outlet Centre discussed elsewhere in this report.
7.4.4 Utilities All utilities (sewerage, water, gas, electricity, stormwater and telecommunications) are currently provided to the Canberra Outlet Centre. The inclusion of small supermarket in the centre, which will utilise currently unleased space, will not impact on these utilities or require their augmentation.
7.5 Hazards
There are no bushfire, flooding or site contamination hazards associated with Block 8, Section 48 Fyshwick.
Canberra Outlet Centre Elton Consulting 71
7.6 Built Form
The built form will not be impacted by the proposed inclusion of a supermarket in the Centre. The existing building was designed to be a high quality development within a landscaped setting. Consideration was given to the visual impact of the development, particularly when viewed from Canberra Avenue. The building presents an attractive façade to Canberra Avenue. Car parking and service storage areas have been suitably screened and are not visible from Canberra Avenue. Special attention was given to the integration of building design, landscape and signage along Canberra Avenue commensurate with the planning and design quality required for an approach route to the National Capital. The height, massing and spatial arrangement of the building and design of the built form reflects the urban design context of existing developments (at the time of construction) in the section of Canberra Avenue between Ipswich Street and Newcastle Street. A level façade was maintained along Newcastle Street with steeped building platforms following the topography on the east/west axis.
7.7 Amenity of the area
The inclusion of the supermarket within the Centre will not impact on amenity. The development was designed to comply with concepts of community safety and crime prevention through environmental design, and incorporates important principles from the ACT Government’s ACT Crime Prevention and Urban Design Reference Manual, particularly those concerned with on-site lighting, landscaping, car parks and natural surveillance, and avoidance of entrapment spaces.
72 Canberra Outlet Centre Elton Consulting
8 Natural features and values
8.1 Ecological values
Environmental assessment was undertaken, in the form of a Preliminary Assessment, prior to the ACT Government selling the then unleased block in 2005. The preliminary assessment concluded that there were no ecological issues affecting the site. Prior to the sale of the site, a pine plantation on part of the site was removed with the approval of the then Environment ACT. There were no other trees on the site. Subsequent to the development of the Canberra Outlet Centre landscaping has been undertaken in accordance with an approved Landscape Master Plan. The landscaping within the leased boundary includes mulched planting beds with predominantly native species including Eucalypts and a mix of shrubs and groundcovers to soften the building edges. All existing trees in the Canberra Avenue verge were retained and were supplemented with additional informal groupings of Australian Native Tree species. The proposed supermarket will have no impact on the ecological values of the site.
Canberra Outlet Centre Elton Consulting 73
9 Social and Cultural Context
9.1 Communities of interest
The Canberra Outlet Centre is a metropolitan scale facility which attracts visitors across Canberra and the broader region. The discount retail outlet is the main attraction, as the Centre offers the only significant discount outlet in Canberra and the surrounding region. The closet town centres are the City and Woden both of which feature a broad of retail and entertainment offering. There is no residential area in the immediate vicinity. There is however a significant workforce in Fyshwick.
9.2 Impact on social infrastructure
The Canberra Outlet Centre provides a variety of social infrastructure for local workers and nearby residents as well as the broader Canberra and regional population. These include: » A wide variety of retail outlets including children’s, men’s and women’s clothing; footwear, furniture; handbags/luggage; jewellery and accessories; lingerie; manchester; speciality stores and sporting goods/apparel » A variety of food outlets in the food court and a café » An indoor play centre (Monkey Mania) for young children. The proposal will not reduce the range of social infrastructure. In fact the offering is likely to be strengthened by the inclusion of a supermarket and other minor changes being considered.
9.3 Cultural and Heritage Environment
Fyshwick and the site itself is a highly modified environment. The Preliminary Assessment undertaken prior to the sale of the site highlighted that the only aspect of the site with heritage interest was an aboriginal scatter. This was salvaged by the Land Development Agency with the agreement of the ACT Heritage Unit, prior to the sale of the site. Block 22 Section 13, Fyshwick on the corner of Canberra Avenue and Newcastle Street Fyshwick to the west of the Canberra Outlet Centre was deemed not eligible for provisional registration in 2014. This is the site of RADIO HILL the earliest built structure which is still visible today is the concrete water reservoir that was constructed c.1918 to supply water to the Molonglo Internment Camp.
9.4 Economic environment
MacroPlanDimasi undertook an analysis of the likely economic impact on surrounding centres of the inclusion of a small supermarket at the Canberra Outlet Centre. A number of factors were taken into account when determining the likely broad trading impacts and subsequent
74 Canberra Outlet Centre Elton Consulting
According to MacroPlanDimasi’s report the anticipated impacts on other retail facilities in the region can be estimated on the basis of the available information, but such projections should be considered indicative only for the simple reason that it is very difficult to predict with certainty the precise impact on any one retailer or any other centre that will result from the change of retail structure serving a particular region. The impacted centre or retailer has a number of possible actions which it may be able to take to mitigate the extent of the impact or potentially eliminate it altogether. Expansions and improvements may be undertaken at other centres throughout the region, and all of those factors can change the nature of the impact from the proposed development. In estimating how the likely impacts will play out on the network of supermarkets, the following factors were considered of relevance: » The distance of the (impacted) supermarkets, by road, from Canberra Outlet Centre. » The size of the centre, in terms of total relevant retail floorspace. More specifically in this instance, the amount of supermarket floorspace is the most important factor to consider. » The brand of the anchor tenant(s) with the relevant supermarket anchors again being the key factor. » The respective role and function of each centre/supermarket. For example, a centre might be oriented towards convenience retailing, higher order retailing, homewares/bulky goods, or it might primarily service a worker/transit market. » The relative accessibility and convenience of the impacted centre/supermarket compared with the proposed retail development. » The estimated performance of the centre/supermarket (in current sales) and projected future performance. This accounts for any future developments in the region that might also impact on the future sales of existing centres. Based on the above, Table 14 below provides an estimation of the broad trading impacts that the addition of a 1,000m2 supermarket at Canberra Outlet Centre would have on the surrounding supermarkets. The key points to note are as follows: » he addition of a 1,000m2 supermarket at Canberra Outlet Centre would enable the Centre to improve its convenience offer to better serve its customer segments, particularly workers in the area, possibly resulting in some transfer of business from supermarkets/stores located in the surrounding region. » For the estimated impacts on other supermarkets, Table 14 shows that only around $2 million, or 18.2%, of the estimated supermarket sales would be redirected/redistributed from supermarkets located in the immediate area, while around $6 million, or 51.7%, of the estimated supermarket sales, would be expected to flow from supermarkets located in the broad Canberra region. » The estimated dollar impacts on the surrounding local centres are therefore estimated to be negligible, based on the following considerations:
> The local centres serve their own respective localised catchments incorporating the immediately surrounding residents, for their convenience and top-up needs only, and would continue to fulfil that role following the proposed addition of a supermarket at Canberra Outlet Centre.
> Furthermore, the great majority of the patronage for the proposed small supermarket at Canberra Outlet Centre would be drawn from the surrounding workers at Fyshwick and shoppers already visiting the centre. This patronage obviously originates from a broad region comprising all or most of Canberra, rather than solely from the local area. For this patronage, the main supermarket facilities utilised for their weekly food and grocery shopping needs would
Canberra Outlet Centre Elton Consulting 75
be located closer to their place of residence, rather than their place of work, thus the impacts would be diffused across a large number of such stores. » The estimated dollar impacts would be distributed across a large number of supermarket facilities, and would be all relatively minor. The estimated impacts therefore would not threaten the viability of any surrounding supermarket facilities, and existing facilities are likely to recover from such trading impacts within a short period of time (less than one year).
Supermarkets Distance from Estimated impact Canberra Outlet Centre (KM) ($M) (% of total)
IGA Narrabundah 4.1 0.5 4.3%
Shop-Rite Griffith SC 4.5 0.3 2.6%
Coles Manuka 4.8 1.0 8.6%
Friendly Grocer Red Hill 5.1 0.2 1.7%
Other (throughout - 6.0 51.7% broader Canberra
Total Supermarkets 8.0 68.9%
Plus impact on non – 3.6 31.1% supermarket traders**
Total supermarket 11.6 100% sales
* Constant 2014/15 dollars including GST ** includes small food stalls, fresh food operators, markets, free standing liquor stores etc
Table 14 Canberra Outlet Centre - supermarket impact analysis 2016/17*
Source: MacroPlanDimasi (2015)
76 Canberra Outlet Centre Elton Consulting
10 Net Community Benefit and Opportunity Costs
There are a range of economic and social benefits that are likely to accrue from the development of a supermarket at the Canberra Outlet Centre. These benefits can be summarised as follows: » Greatly improving the range of retail facilities available for the substantial local workforce and shoppers at Fyshwick » Increase the provision of fresh food facilities for the local workforce and shoppers thereby indirectly addressing obesity » Increase the provision of fresh food facilities for the population of South Canberra » Reduce private car travel by the local community to access fresh food and meals » Support the ongoing sustainability of the Park and Ride Facility at Fyshwick by enhancing commuter amenity and convenience » Use of the underutilised floorspace at Canberra Outlet Centre » Ensure that the Canberra Outlet Centre is a multipurpose shopping destination thereby increasing the enjoyment and convenience of shoppers » Opportunity for Fyshwick to grow as a retail destination and attract shoppers from outside of the ACT » Support the range of community facilities currently on offer at the Canberra Outlet Centre and facilitate the establishment of other community facilities e.g. child care, indoor recreation facility » Additional employment and economic development opportunities » Enhance the ongoing financial viability of the Centre, ensuring that the standard of the building is maintained » Increase the attractiveness of land on the land release program in Fyshwick and Symonston by improving convenience for employees and employers » Additional revenue for the ACT Government generated as a result of the improved overall performance of the Centre. » Increases the spend and time spent in the Centre » Increases the possibility of improving the average visitation to the Centre from monthly to weekly » Improves ability to hold shoppers within Fyshwick rather than leaving Fyshwick to purchase elsewhere » Increased retail employee productivity during the working day due to reduced disruptions of leaving the Centre to gather grocery items » Increased convenience for shoppers already at Canberra Outlet Centre (over 4.2 million visitors per/year)
Canberra Outlet Centre Elton Consulting 77
The opportunity costs if a small supermarket is not developed at the Canberra Outlet Centre include the following: » Lack of retail facilities to better meet the needs of workers in the Fyshwick precinct » Reduced employment opportunities in Fyshwick » Constraining the ability of Fyshwick to continue to grow as a key destination for retail goods and services » Missed opportunity to ensure the future viability of Canberra Outlet Centre and make effective use of the underutilised space at the Centre » Missed opportunity to make Canberra Outlet Centre a multi-purpose shopping destination providing Canberra’s only discount outlet offering, homemaker retailing and a small supermarket for convenience shopping. » Increased perception amongst the community of an economy struggling reducing further expenditure » Further growth and expansion at Majura Park » Decline in the broader Fyshwick precinct as shoppers and services relocate or close as passing trade declines » Limited uptake of Park and Ride at Fyshwick increasing congestion along Canberra Avenue and into Central Canberra.
78 Canberra Outlet Centre Elton Consulting
Appendices
A Community Information Session Advertisements B Community Information Session Posters C Correspondence to Canberra Business Chamber
Canberra Outlet Centre Elton Consulting 79
A Community Information Session Advertisements
80 Canberra Outlet Centre Elton Consulting
B Community Information Session Posters
Canberra Outlet Centre Elton Consulting 81
82 Canberra Outlet Centre Elton Consulting
C Correspondence to Canberra Business Chamber
Canberra Outlet Centre Elton Consulting 83
84 Canberra Outlet Centre Elton Consulting
Canberra Outlet Centre Elton Consulting 85