Poly Australia is the latest developer to start building a major Melbourne office on a speculative basis.
The developer last Thursday held a turning of the first sod ceremony at 1000 La Trobe Street, Docklands, where it plans to build a 23-storey skyscraper.
It has appointed Probuild the construction contract for the 40,000 square metre commercial development which abuts the south-side of Marvel Stadium.
Following a clearing of the 1000 La Trobe Street site, the new building is set to start taking shape from the third quarter of this year.
It is scheduled for completion in 2021.
“This is the first commercial building to be built in the Melbourne’s CBD/Docklands in 30 years without requiring pre-commitment for funding,” Colliers International’s national director, Edward Knowles, said.
Poly Australia’s executive director Steve Wang said that the company “is confident to progress with construction prior to the pre-commitment of an anchor tenant”, pointing to Melbourne’s tight office sector.
The office vacancy rate in the Melbourne CBD is at a 10-year low: 3.2 per cent according to Property Council of Australia research released in February, 2019, and due for updating next month.
“Poly Australia will develop, manage and hold their flagship development for Victoria, 1000 La Trobe, contributing significantly to their asset portfolio across Australia,” Mr Wang said.
Demolition and preparation of the site are currently underway with the Early Works contractor CDL.
“Poly Australia and Probuild are excited to see 1000 La Trobe advance into the construction phase, debuting what hopes to be a broad portfolio of work together in future,” Probuild managing director, Luke Stambolis, said.
The Woods Bagot designed 1000 La Trobe Street will be the first major tower in the precinct of Docklands known in planning circles as Digital Harbour.
The office will consist “of highly efficient floor plates averaging [a large] 2100-square-metres, allowing ample flexibility for tenants,” the company said.
It will also contain health and wellness facilities, a 700 sqm co-working centre, and a large ground floor retail area configured with cafes and amenities.
“The location of 1000 La Trobe has marked itself as one of the most connected destinations in the
Melbourne CBD and Docklands precinct, positioned directly next to Southern Cross Station, the free tram zone, Capital City Trail, major freeway arterials such as City Link and the upcoming West Gate Tunnel Project estimated for completion in 2022,” Mr Wang said.
Last week we reported that Melbourne builder Vicland Property Group, directed by Bill McNee, was building a $100 million office at 11-13 Wilson Street, South Yarra, on a speculative basis – like 1000 La Trobe Street.
Another local builder, Goldfields, plans to speculatively build a 24-storey office at 627 Chapel Street, South Yarra.