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Vicurban Annual Report 08/09 01 VicUrban’s aim is to deliver liveable places that are compact, VICURBAN sustainable and affordable, today and into the future. We play a significant role in implementing government policy, create investment opportunities for the market and work with ANNUAL REPORT the industry to sustain urban development excellence. VicUrban Annual Report 08/09 01 CONTENTS This annual report outlines VicUrban’s business operations and performance for the financial year 1 July 2008 to 30 June 2009. It reports a year in which VicUrban responded to the challenges of a difficult economic climate to deliver a number of significant achievements. 01 Contents 24 Year in Review / Established Areas 02 Highlights 38 Year in Review / Growth Areas 04 Chairperson’s Report 46 Year in Review / Provincial Areas 06 CEO’s Report 48 Our People 08 Who we are 52 Compliance 10 Location Map 56 Corporate Intent 12 Projects 59 Financial Statements 14 Board of Directors 88 Disclosure Index 16 Executive 18 Corporate Goals & Strategy Report of Operations VicUrban Annual Report 02 08/09 HIGHLIGHS T 08 09 SEBEPT M ER NBOVEM ER F EBRUARY Announcement by Federal Finance Minister Lindsay Tanner VICURBAN AWARDS Carrick Institute of Education Costco commences Melbourne’s Lord Mayor, Robert and Federal Housing Minister 2008-2009 opens new campus at construction at Waterfront City, Doyle launches Docklands’ first Tanya Plibersek with Premier Docklands Docklands. Opens August 2009, purpose-built childcare centre John Brumby that VicUrban will 2009 creating 225 jobs develop the 128 hectare former Tenterfield Digital Harbour’s Life. Lakes Edge launched at Defence Department site at Winner of the National Lab building completed at VicUrban acquires a new urban Hamilton Maribyrnong Urban Development Institute Docklands consolidation site at Avondale of Australia Affordable Heights Northern Hospital Charity MARCH MAY Development Award Auction at Aurora raises Recycled Water is launched at $392,500 D BECEM ER Stage two of Kangan Batman 2008 Aurora with Minister Madden, TAFE commences construction Cheltenham Green National Foods moves its head the local member for Yan Yean, at Docklands O CTOBER office to Bourke St, Docklands Danielle Green MP and the Urban Development Institute Epping CFA Officer and Victoria Harbour of Australia (Victoria) (UDIA) Harbour Town Shopping Centre (Lend Lease) are selected as Award for Urban Renewal Excellence opens at Waterfront City, First land release at Meridian two of the 16 projects from Docklands achieves a 100% success rate around the world to participate Minister for Housing, Richard in the Climate Positive Wynne commemorates start of APRIL Development Program, a Clinton construction of The Merchant, Climate Initiative The Gauge office building to contain Docklands’ first at Victoria Harbour wins the affordable rental housing Premier’s Sustainability Award JUE N initiative (Built Environment) Construction commences at Victoria Green parkland opens Good Friday Appeal Charity the Creeds Farm Living and at Victoria Harbour, Docklands Auction at Cairnlea achieves Learning Centre, Aurora Cheltenham Road realignment a record price of $670,000 Wyndham City adopts in Dandenong opened Last residential lot sells at Amendment C96, enabling Planning Minister Justin Madden Cairnlea, a total of 3134 lots and the 197 hectare Riverwalk launches the completed seven special sites over the life development to proceed Grenda Corporation building of the project at Dandenong 03 OUTLO K Victoria’s Development Challenges Victoria is experiencing significant change as a result of unprecedented population growth and changes in its demographic profile. Maintaining and enhancing Victoria’s liveability while addressing these changes presents a number of key challenges and opportunities. Whilst Melbourne’s established suburbs, growth areas and the provincial regions each have individual needs, they all require solutions for: Maintaining and enhancing Victoria’s liveability; Affordable living; Protecting and adapting against climate change; Efficient development and use of existing infrastructure; and Economic prosperity and competitiveness. In line with Melbourne 2030 and Melbourne @ 5 million, VicUrban will refocus its role to build on its commitment to urban consolidation, while continuing to explore ways to deliver housing choice, diversity and differentiated developments on the urban fringe. Metro Village 3175, Dandenong VicUrban Annual Report 04 08/09 Dear Minister, The commercial property sector has been directly and significantly impacted by the global economic climate. I am pleased to present VicUrban’s Annual Report for 2008/09, Commercial property developers are experiencing difficulty in a year punctuated by unparalleled changes in the global obtaining finance for construction and acquisition of land, while economy, the accelerated growth of Victoria’s housing needs, a the commercial tenant market is proving more cautious. These heightened public awareness of the implications of population factors have directly impacted on the development of the few growth in Melbourne and Victoria, and climate change. remaining sites in the Docklands precinct during 2008/09. This Redirecting Melbourne’s population growth to established impact has also been evidenced in the very low level of take areas represents a significant shift in existing growth patterns. up in 2008/09 of commercial and mixed-use sites in General Achieving increased housing density and diversification of Fund projects. VicUrban is actively exploring ways to partner employment locations with enduring community support, or otherwise assist developers to commence development and will require comprehensive urban renewal and consolidation sustain construction employment in Victoria. implementation strategies across government. In support of these VicUrban paid dividends totalling $8.9 million in December 2008, policy objectives, VicUrban continued the delivery of Revitalising arising from General Fund activities in the 2007-08 year Central Dandenong, and has commenced in planning roles for ($3.4 million) and from the Revitalising Central Dandenong the Footscray and Broadmeadows central activities districts. project 2007-08 activities ($5.5 million). VicUrban has participated in discussions during the year with The Board met on 11 occasions during the year and Committees you, your Department and other parts of government regarding of the Board met five times. John Stanley was appointed to the ways it can continue to contribute to delivering Melbourne the Board on 16 December 2008, bringing great strengths in C HAIRPERSON’S @ 5 Million outcomes, and looks forward to exploring delivery strategic economic planning, transport and sustainability. Marcus models to increase VicUrban’s impact in established urban areas. Spiller resigned from the Board on 16 April 2009, and I would REPORT / Whilst the global economic situation and a series of interest like to take this opportunity to acknowledge the significant rate reductions moderated established area house prices for contributions made by Mr Spiller to the Board over his five years TONY DARVALL the majority of the financial year, there continues to be limited and eight months of tenure. ability for moderate income households to purchase a home Michael Roux and Warwick Heine retired from the Board at the in established areas. Accordingly, VicUrban has developed expiry of their appointments in July 2009. I would like to thank practical strategies for achieving housing affordability during the them for their significant contributions to VicUrban and the year, including the delivery of the first affordable rental dwellings Board which, in the case of Mr Roux, extends to VicUrban’s in Docklands in partnership with Lend Lease and Melbourne predecessor organisation being the Urban and Regional Land Affordable Housing (now Housing Choices Australia). Corporation. Julia Mason, Michael Roberts and Meredith Sussex Planning of the Sustainable Living Centre at Meridian is in have been appointed to the Board during August 2009, and progress, and will illustrate 7-Star affordable housing for the I welcome them to VicUrban and the Board. volume product market through a series of architect designed I would also like to thank the CEO and all at VicUrban for their homes. In addition, the Board was particularly pleased that efforts during the year. Officer and Docklands’ Victoria Harbour were selected as two of the 16 world wide founding projects to participate in the Climate Positive Development Program, a Clinton Climate Initiative. VicUrban’s residential property business has weathered the uncertain economic times, delivering 776 settlements during the year. Residential lot sales in the last quarter of the financial TO NY DARVALL AM year were bolstered by both improved consumer sentiment and Chairperson the extension of the State and Federal Government first home owners’ grants. Valley Lake, Keilor East 05 Redirecting a significant proportion of Melbourne’s population growth to established areas represents a shift in existing growth patterns. VicUrban is focusing on delivering liveable neighbourhoods that provide affordable living solutions. This means embracing densification, housing diversity, local employment opportunities and environmental measures, within all of our communities. VicUrban Annual Report 06 08/09 VicUrban participates in the market to improve the quality of urban living, to open up choice to customers and to provide investment opportunities to the private sector.
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