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ROYAL ADELAIDE SITE A ONCE IN A GENERATION OPPORTUNITY INTERNATIONAL HOTEL DEVELOPMENT OPPORTUNITY REGISTRATION OF INTEREST

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Page 1: ROYAL ADELAIDE SITE · 3 Royal Adelaide Site International Hotel Development Opportunity South Australia’s capital city, Adelaide, has the enviable reputation of being one of the

R O Y A L

A D E L A I D E

S I T EA O N C E I N A

G E N E R A T I O N

O P P O R T U N I T Y

I N T E R N A T I O N A L

H O T E L D E V E L O P M E N T

O P P O R T U N I T Y

R E G I S T R A T I O N

O F I N T E R E S T

Page 2: ROYAL ADELAIDE SITE · 3 Royal Adelaide Site International Hotel Development Opportunity South Australia’s capital city, Adelaide, has the enviable reputation of being one of the

C O N T E N T S

3 Transforming Adelaide’s City Centre

4 The invitation

5 About Renewal SA and the Riverbank Authority

6 About Adelaide

7 South Australia

8 The Adelaide Riverbank

10 Project objectives

11 The site

12 Development opportunities

14 The process

15 Invitation terms and conditions

Royal Adelaide Site International Hotel Development Opportunity2

Page 3: ROYAL ADELAIDE SITE · 3 Royal Adelaide Site International Hotel Development Opportunity South Australia’s capital city, Adelaide, has the enviable reputation of being one of the

T R A N S F O R M I N G

A D E L A I D E ’ S C I T Y

C E N T R E T H R O U G H

T H E C R E A T I O N O F

A N I N N O V A T I V E

M I X E D - U S E

P R E C I N C T

Royal Adelaide Site International Hotel Development Opportunity3

South Australia’s capital city, Adelaide, has the enviable reputation of being one of the best places in the world to live - a reputation confirmed in August 2017 by The Economist, which placed Adelaide 5th in its list of the world’s most liveable cities.

Adelaide has retained the visionary urban design created by Colonel William Light in the late 1830s, including its orderly layout, its green city squares and the lush and expansive parklands which encircle the entire city.

Ideally situated on one of Australia’s foremost cultural boulevards, North Terrace, the seven hectare Royal Adelaide Site connects with the green, open spaces of Adelaide Botanic Garden and the city’s famed parklands.

It also links with the East End retail and entertainment precinct and prestigious North Terrace institutions such as the University of South Australia (SA), the SA Museum and the Art Gallery of SA.

The bold vision for the Royal Adelaide Site will transform it into an innovative mixed-use precinct, focusing on open spaces, accommodation, commerce, arts, culture, and education.

This redevelopment is a once in a generation opportunity to be part of a unique site in a unique city that is making the world take notice.

Page 4: ROYAL ADELAIDE SITE · 3 Royal Adelaide Site International Hotel Development Opportunity South Australia’s capital city, Adelaide, has the enviable reputation of being one of the

Royal Adelaide Site International Hotel Development Opportunity4

Renewal SA is inviting suitably qualified organisations to submit a Registration of Interest (ROI) in developing and subsequently operating a minimum 5-star hotel on a prominent location within the redevelopment of the Royal Adelaide Site which will contribute to the project objectives.

Renewal SA is open to the hotel being located within a new building or the existing State Heritage listed buildings which are to be retained, and will consider a range of delivery options to enable the successful proponent to develop and operate the hotel on the site in accordance with the project master plan and project objectives.

This invitation provides important information in relation to the site, Renewal SA’s vision for its development, recent policy changes to enhance the reactivation or reuse of existing buildings, and what is required for lodging a written response. The final section of this invitation also details the terms and conditions that form part of this invitation that must be read and understood prior to lodging a response.

T H E

I N V I T A T I O N

Page 5: ROYAL ADELAIDE SITE · 3 Royal Adelaide Site International Hotel Development Opportunity South Australia’s capital city, Adelaide, has the enviable reputation of being one of the

Royal Adelaide Site International Hotel Development Opportunity5

The Urban Renewal Authority, trading as Renewal SA, is leading the urban renewal of Adelaide on behalf of the Government of South Australia. Renewal SA is dedicated to developing accessible and connected places as part of our vision for delivering an inspiring urban future.

Our role is to attract more people to live, work, invest and spend time in South Australia through the State Government’s Vibrant City initiative.

We unlock the potential of existing urban areas to enhance the distinctive, high quality South Australian lifestyle through excellence in planning and quality in design and execution.

Our expertise and influence encompass infrastructure, transport, economic and environmental viability through collaboration and consultation with community, industry and organisations.

We plan, engage and enable to produce outstanding results for our stakeholders and the community.

One of our major, ongoing projects is to work with the Riverbank Authority to create a cohesive identity for the many precincts and institutions that border the River Torrens, which runs through the heart of our city.

A B O U T R E N E W A L S A

& T H E R I V E R B A N K

A U T H O R I T Y

A T T R A C T I N G

M O R E

P E O P L E T O

L I V E , W O R K ,

I N V E S T A N D

S P E N D T I M E

I N S O U T H

A U S T R A L I A

Page 6: ROYAL ADELAIDE SITE · 3 Royal Adelaide Site International Hotel Development Opportunity South Australia’s capital city, Adelaide, has the enviable reputation of being one of the

Royal Adelaide Site International Hotel Development Opportunity6

Adelaide is consistently rated amongst the world’s most liveable cities and best business destinations, offering a quality of life that is second-to-none.

From an economic perspective, South Australia has extensive trade and export networks and is linked to fast-growing economies in South East and Northern Asia as well as major North American and European economies.

For investors and business, South Australia offers an economy benefiting from major developments exceeding $100 billion in growth sectors such as urban development, infrastructure, defence, agriculture and food, aquaculture, health, biotechnology, mining and water management. This project pipeline is fueling continued growth in the state’s economy.

The urban development sector directly benefits from the state’s diverse and expanding economy. The Adelaide metropolitan area is being transformed by significant new investment in high quality urban developments and major infrastructure improvements.

The State Government has also committed to establishing a carbon neutral ‘Adelaide Green Zone’, to make it the world’s first Carbon Neutral City. Within a decade, electric and hybrid vehicles will be the preferred form of transport within Adelaide’s city centre.

Access to our city will be made easier by improvements to our cycling and pedestrian infrastructure. We are embracing new industries and technologies that will change the way in which we move around our vibrant city.

South Australia has a progressive, ‘open for business’ attitude supported by good planning and a business-friendly government committed to cutting red tape to allow business to create jobs and opportunities.

The successful redevelopment of the Royal Adelaide Site will help Adelaide to achieve the vision of becoming one of the world’s great cities to live, play, work and invest.

A B O U T A D E L A I D E

Page 7: ROYAL ADELAIDE SITE · 3 Royal Adelaide Site International Hotel Development Opportunity South Australia’s capital city, Adelaide, has the enviable reputation of being one of the

Royal Adelaide Site International Hotel Development Opportunity7

S O U T H A U S T R A L I AA K E Y L O C A T I O N F O R

S U S T A I N A B L E B U S I N E S S

�Home to Australia’s wind and solar power industries.

�The state’s world-class education system is producing a flexible and skilled professionals who will be the future leaders in a range of disciplines, including research and development.

�From 2012 to 2014, the Global Economic Intelligence Unit rated Adelaide as the fifth most liveable city in the world. It also achieved this same ranking from The Economist in August 2017.

�Eastlink Tram Connection – to be completed in the first quarter of 2018, linking the entire length of North Terrace, from the Royal Adelaide Site in the east to the biomedical precinct in the west.

�A robust, resilient, knowledge based economy – with capacity to grow.

�Expanding state population of 1.6 million people of which 1.2 million residents live in the Adelaide metropolitan area.

�World leading mineral and energy assets.

�Leading agriculture region producing quality food and wine for global export markets.

�With the largest health and biomedical precinct in the southern hemisphere, Adelaide has cutting-edge capabilities and capacity to advance health related industries, including commercialising research and development. This precinct is at the western end of North Terrace is located adjacent to the Royal Adelaide Site.

Page 8: ROYAL ADELAIDE SITE · 3 Royal Adelaide Site International Hotel Development Opportunity South Australia’s capital city, Adelaide, has the enviable reputation of being one of the

Royal Adelaide Site International Hotel Development Opportunity8

� Key cultural places, such as the Art Gallery, Museum and State Library, which attract almost two million visitors each year;

� Adelaide Botanic Garden and Botanic Park which provide key recreation and relaxation opportunities in the heart of the city and attract around 1.5 million visitors each year;

� Many South Australians including national and international luminaries have studied at university campuses along the Adelaide Riverbank. These institutions also attract significant numbers of international students who bring major economic benefits to the state and contribute to growth in the city’s residential population;

� The Adelaide Riverbank supports South Australia’s tourism industry and attracts millions of local, interstate and overseas visitors to the largest convention facilities in the southern hemisphere, the Festival Centre, SkyCity Casino, the Intercontinental Hotel, major sports venue Adelaide Oval and Adelaide Zoo. Adelaide Oval alone attracts 1.7 million visitors each year;

� The new health and biomedical precinct includes world-class health and medical services and related research and education facilities;

� Elder Park, Bonython Park and Botanic Park are key destinations for major events including the internationally renowned Womadelaide festival of world music and Adelaide Fringe Festival;

� Adelaide Railway Station is a key gateway to the city for thousands of workers, students and visitors every day.

T H E A D E L A I D E

R I V E R B A N K

The Adelaide Riverbank is an extraordinary place, accommodating some of the city’s most beautiful and important buildings and green spaces. Approximately nine million people visit Adelaide Riverbank each year, thousands of South Australians work and study in the precinct daily and in the future many people will live at its eastern and western

inner-urban fringes.

The Adelaide Riverbank has exceptional cultural and economic significance for South Australia and the nation, including:

Page 9: ROYAL ADELAIDE SITE · 3 Royal Adelaide Site International Hotel Development Opportunity South Australia’s capital city, Adelaide, has the enviable reputation of being one of the

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Royal Adelaide Site International Hotel Development Opportunity9

INDICATIVE BOUNDARY

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Royal Adelaide Site International Hotel Development Opportunity10

C R E A T E A

W O R L D C L A S S

P R E C I N C T

� Deliver significant social and community values for South Australians.

� Deliver innovative and world-class buildings and public spaces.

� Provide a significant tourism or cultural attractor.

H A V E A N

E C O N O M I C

F O C U S

� Advance the State’s ten economic priorities.

� Create new employment opportunities.

� Deliver an economically viable precinct that integrates with the East End and supports the city of Adelaide.

� Aligns with Renewal SA and Adelaide Riverbank strategic objectives.

A C T I V A T E D

T H R O U G H

A M I X O F U S E S

� Improve public activation through a range of cultural, commercial and recreational uses.

� Deliver the optimum mix of uses for the site.

B E C O N N E C T E D

� Strengthen connections to Adelaide’s East End, the Adelaide Riverbank’s education and cultural precinct and Adelaide Botanic Garden.

B E S U S T A I N A B L E

� Support the creation of a carbon-neutral city.

� Achieve best practice in sustainable design.

� Explore the re-use of existing built form and site infrastructure where appropriate.

� Create a healthy, people focused place.

P R O J E C T

O B J E C T I V E S

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Royal Adelaide Site International Hotel Development Opportunity11

The Royal Adelaide Site encompasses approximately 70,000 square metres of prime land on the north-eastern edge of the city of Adelaide. The Royal Adelaide Site has its primary frontage on North Terrace with further street frontage on Frome Road. It also shares its eastern boundary with the Adelaide Botanic Garden.

The redevelopment of the Royal Adelaide Site will cater for accommodation, cultural and institutional buildings and the full range of activities envisaged for a mixed-use innovation and cultural precinct. Heritage buildings will be retained and repurposed to accentuate the unique character these buildings afford and to provide quality activations for the site.

The master plan will be governed by a series of design principles to support the vision of the site. Key to this design will be an integrated innovation precinct encapsulating multiple universities and a world-class research centre for incubators, businesses and organisations. This collaborative approach will be a global showcase for Adelaide. The precinct will be built to the highest standards of excellence in both design and sustainability enlivened by people day and night.

T H E S I T E

Page 12: ROYAL ADELAIDE SITE · 3 Royal Adelaide Site International Hotel Development Opportunity South Australia’s capital city, Adelaide, has the enviable reputation of being one of the

Royal Adelaide Site International Hotel Development Opportunity12

The Royal Adelaide Site will present opportunities for a mixture of significant new developments and adaptive re-use projects.

The majority of non-heritage hospital buildings in the centre of the site and on Frome Road will be demolished and the site remediated.

The demolition of these buildings will make way for new public spaces as well as commercial, educational, arts, cultural, tourism and accommodation development opportunities.

The demolition process will commence in November 2017 with the demolition of the East, Hone and Cobalt Wing buildings on the eastern boundary of the site, making way for a park land setting that will integrate with the adjoining Botanic Garden.

The first new development sites are anticipated to be cleared and shovel ready for development from 2020.

Other buildings including the magnificent Heritage listed buildings on North Terrace and Frome Road will be retained, adapted and re-used. These buildings present great opportunities for immediate, short term tenancies and activations as well as long term redevelopment and a new lease on life.

The recent introduction of the Minister’s Specification SA will make reactivation and reuse if existing buildings more attractive to owners and investors. They can now access a range of measures to help unlock investment opportunities in the Adelaide CBD. Key changes include:

� A reduction in the building performance standards from 79 under the National Construction Code to 24 across the State.

� Eligible buildings within the CBD that wish to take advantage of this will have development application fees waived.

� Bringing the City of Adelaide in line with other councils, ensuring planning consent is no longer required for internal building works (except where the building is heritage listed).

� The Department of Planning, Transport and Infrastructure to work with City of Adelaide to provide proposals in CBD with a case management service to assist them in working through the above (if needed).

More information on the Minister’s Specification SA can be found at: http://www.saplanningportal.sa.gov.au/our_current_system/building_and_development/building_and_technical/adaptive_re-use_of_existing_buildings

The unique mix of open space, culture, industry, commerce, education, history and new development will create a thriving, industrious and vibrant precinct for all South Australians to enjoy and be proud of.

D E V E L O P M E N T

O P P O R T U N I T I E S

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Royal Adelaide Site International Hotel Development Opportunity13

ACCOMMODATION 1

SA PATHOLOGY IMVS Remains operating

ACCOMMODATION 2

CULTURAL FOCUS

OPEN SPACE FOCUS

COMMERCIAL FOCUS

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OPEN SPACE FOCUS

Following completion of Stage 2 demolition

COMMERCIAL FOCUS

Following completion of Stage 2 demolition

CULTURAL FOCUS

Following completion of Stage 1 demolition

Stage 1: 2017–2018Stage 2: 2018–2020

DEMOLITION

Following completion of Stage 2 demolition

ACCOMMODATION 2 AGED/STUDENT/SHORT–STAY

ACCOMMODATION 1 AGED/STUDENT/SHORT–STAY

Potential early revenue: Requires earlier demolition of Dental Hospital and Boiler House

RETAINED BUILDINGS: MARKET RELEASE

STAGE ONE

Lease commencement: 2018–2020Activation/Short-term rental: 2017–2020

Eleanor Harrald Building

Margaret Graham Building

Women’s Health Centre

STAGE TWO

Lease commencement: 2020–2021Activation/Short-term rental: 2017–2021

Allied Health Services Building

McEwin Building

Bice Building

Sheridan Building

Multi-deck Car Park

Hanson Institute9

8

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5

4

3

1

2

6

INDICATIVE BOUNDARIES

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Royal Adelaide Site International Hotel Development Opportunity14

As at the date of this invitation, Renewal SA intends to run a two-stage process to identify a suitable proponent to work collaboratively to plan and develop a hotel on the site.

S T A G E 1

R E G I S T R A T I O N

O F I N T E R E S T

Renewal SA is seeking Registration of Interest (ROI) from suitable proponent(s) to develop and operate the hotel.

The ROI should describe the profile of the organisation and track record in delivering successful 5+ star hotels.

N E X T S T E P S

Renewal SA is embarking on a process to refine the master plan for the site. This process will culminate in the development of a spatial master plan that identifies the most appropriate location for a hotel.

Once the site(s) have been identified Renewal SA will run a process with the registered proponents to select a preferred proponent to deliver and operate the hotel on a ground lease term of up to 99 years.

L O D G E M E N T

Proponents have two alternative methods for lodging a submission.

HARD COPY LODGEMENT

A written response to this ROI should be placed in an envelope or package marked ‘Registration of Interest: International Hotel Development Opportuntiy’ and lodged in Renewal SA tender box located at:

Renewal SA Level 9 Riverside Centre North Terrace Adelaide SA 5000

Proponents must ensure that the written response is stamped with the date and time of receipt at the Renewal SA’s reception desk prior to being placed in the tender box.

A proponent who wishes to lodge an ROI must deliver it together with any relevant attachments (if applicable) to the Renewal SA tender box or by an electronic submission via eLodgement on the Renewal SA Developer Gateway in accordance with this document before the ROI closing time.

ELECTRONIC LODGEMENT

Electronic lodgements are only accessible via Renewal SA’s secure Developer Gateway www.renewalsa.sa.gov.au/developer-gateway

Proponents must login using their Developer Gateway account details and select the relevant opportunity they wish to respond to.

Select the ‘LODGEMENT’ tab from the sub-navigation menu and follow the instructions.

Please note the technical specifications outlined on the website before lodging.

T I M E F R A M E S

Renewal SA’s timing for this invitation is set out below.

EVENT TIMING

ROI issued 22 September 2017

ROI closing time 2.00 pm Adelaide time, Friday 3 November 2017

Project commencement To be negotiated - subject to timing of state government approvals.

CLARIFICATION DURING THE INVITATION PERIOD

Questions about this ROI should be addressed to:

Mark Devine General Manager, Project Delivery [email protected] 8207 1304

T H E P R O C E S S

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Royal Adelaide Site International Hotel Development Opportunity15

N O N - B I N D I N G

N A T U R E   O F

I N V I T A T I O N

This invitation is not:

� an offer to sell of any kind and does not necessarily indicate an intention by Renewal SA to enter into legal relations with any party; or

� to be interpreted as creating a binding contract (including a process contract) as between Renewal SA and any proponent or giving rise to any:

� contractual, quasi-contractual, restitutionary or promissory estoppel rights; or

� expectations as to the manner in which a proponent will be treated in the evaluation.

No legal or other obligations will arise until parties execute formal documentation.

Renewal SA retains the right to vary or abandon the Invitation process at any time.

Renewal SA is not obliged to proceed with, or negotiate, in respect of any written response lodged.

D I S C L A I M E R

The information set out in this invitation or the website is not intended to be exhaustive and proponents should make their own enquiries regarding:

� the contents of this invitation; and

� the suitability of the site for any form of development.

Neither Renewal SA, the contact persons nor any employee, agent or contractor of Renewal SA provides any warranty or makes any representation, expressed or implied, as to the completeness or accuracy of the information either contained in or in connection with this invitation or the website.

A proponent must undertake its own enquiries and satisfy itself in respect of all matters contained in any information provided to it.

I N V I T A T I O N T E R M S

A N D C O N D I T I O N S

P R O P O N E N T

A C K N O W L E D G –

M E N T S

Each proponent agrees and acknowledges that:

� they have fully informed themselves of all conditions and matters relating to the invitation;

� they have sought and examined all necessary information which is obtainable by making reasonable enquiries relevant to the risks, contingencies and other circumstances;

� they do not rely on any expressed or implied statement, warranty, representation, whether oral, written or otherwise, made by or on behalf of Renewal SA, the contact persons or any employee, agent or contractor of Renewal SA;

� they have relied on their own investigations and enquiries in lodging a written response; and

� Renewal SA, the contact persons and any employee, agent or contractor of Renewal SA are not liable for any incorrect or misleading information or failure to disclose information whether in connection with this Invitation or any document attached or related to it including any information on the website.

Page 16: ROYAL ADELAIDE SITE · 3 Royal Adelaide Site International Hotel Development Opportunity South Australia’s capital city, Adelaide, has the enviable reputation of being one of the

renewalsa.sa.gov.au/[email protected] +61 8207 1300

Level 9, Riverside Centre, North Terrace, Adelaide SA 5000 GPO Box 698, Adelaide SA 5001

Royal Adelaide Site International Hotel Development Opportunity16

P R O B I T Y

Renewal SA expects that proponents will:

� not disclose to any rival proponent their response;

� submit a response in good faith and not deliberately submit a response in order to enhance the response of any other proponents;

� maintain the confidentiality of the documents and information provided by Renewal SA, including answers to questions, whether oral or written;

� make inquiries and otherwise liaise on matters relating to this invitation only with the contact persons;

� declare any actual, potential or perceived conflict of interest as part of the invitation process;

� not offer any incentive to, or otherwise attempt to influence any employee of Renewal SA or any member of the evaluation panel;

� not enter into any contract, arrangement or understanding where the purpose of that contract, arrangement or understanding, in the event that a proponent is successful in its response, is that such proponent will pay to or provide an unsuccessful proponent(s) or any other person(s) money or any other benefit or fulfil any undertaking which is a consequence of any collusive circumstances;

� comply with all laws in force in South Australia applicable to the invitation process; and

� comply with Renewal SA’s Fraud and Corruption Policy.

If a proponent acts contrary to the expectations set out above, Renewal SA may exclude the proponent from further consideration, including from any subsequent selection process.

I N V I T A T I O N T E R M S

A N D C O N D I T I O N S