An artist’s impression of an earlier scheme for Stockland Piccadilly showing its location.
Listed heavyweight Stockland has opened the way for a dramatic redevelopment of the landmark Piccadilly Complex that would include luxury apartments capitalising on its position overlooking Sydney’s Hyde Park.
The property, which serves as its headquarters and includes the 32-storey Piccadilly Tower, the 14-storey Piccadilly Court and a shopping centre, has long been earmarked for an overhaul as a commercial project.
However, Stockland has now flagged the potential for luxury apartments to be developed in the top floors of a mixed-use scheme it is considering alongside a purely commercial revamp.
Putting in luxury apartments would bring the complex into line with proposals for buildings in its neighbourhood, including Charter Hall’s 201 Elizabeth Street and Lendlease’s planned 175 Liverpool Street.
Private lending real estate group Metrics Credit Partners and Billbergia Group are also undertaking a multibillion-dollar luxury apartment and hotel project overlooking Hyde Park.
Stockland itself developed The Hyde on Liverpool Street overlooking the park in 2010. It again has the capacity to undertake high-rise projects and is working on the Sydney’s Waterloo Estate revamp and is planning apartments in St Leonards.
While the city plans are at an initial stage, the luxury apartments that would overlook Hyde Park are likely to appeal to owner-occupiers rather than the investor market, which has been slugged in the wake of the federal budget.
The overall scheme would allow for about 14,752sq m of residential floor space, making up about 15 per cent of the project, with buildings as high as 44 storeys.
A Stockland spokesman confirmed the company had lodged a planning proposal for the Piccadilly Complex as the first step in the planning process. “The redevelopment of Piccadilly would significantly contribute to the ongoing evolution of Midtown as a premier commercial, retail and lifestyle destination in Sydney’s CBD,” he said. “The proposal allows Stockland to explore and shape a highly sustainable and future-focused precinct that responds to the changing and diverse needs of Sydney, while aligning with the city’s long-term growth objectives.”
The property covers Stockland’s retail and commercial buildings at 133 Castlereagh Street, 210 Pitt Street and 222 Pitt Street. The proposal would provide for either offices or a mixed-use tower of up to 104,000sq m gross floor area.
A redevelopment would be in keeping with Stockland’s sustainability strategy, with the designs to retain and up-cycle the buildings’ structure and save on upfront embodied carbon.
A commercial redevelopment would allow for the Uniting Church of Australia’s Wesley Mission to stay but a partly residential scheme would see it depart. Stockland is understood to be working with the organisation.
The developer is planning public domain improvements similar to the areas surrounding Quay Quarter Tower at Circular Quay.
Stockland has wanted to undertake an overhaul of the complex since before the pandemic struck. The changes that have hit office markets also tilted the balance away from a purely commercial scheme in favour of a mixed use project.
Stockland took full control of the Piccadilly Complex in 2019 in a deal in which it sold a stake in a nearby $680m tower.
Both deals were with the Investa operation. Investa bought a half stake in 135 King Street and Glasshouse in Sydney from Stockland. In turn, Stockland took a 50 per cent stake in the Piccadilly property from Investa-advised Oxford for $347m.
The Piccadilly Complex sports dual frontages to Pitt and Castlereagh streets. It is linked to existing stations, the new George Street light rail, and the coming Pitt Street Metro rail station.