Oxford Street. The Bulimba District, Brisbane, Australia. Project Type: Mixed-Use/Multi-Use. Case No: C Year: 2003

Transcription

1 Oxford Street The Bulimba District, Brisbane, Australia Project Type: Mixed-Use/Multi-Use Case No: C Year: 2003 SUMMARY A public/private partnership to transform a defunct shopping strip located in the Bulimba District of Brisbane, Australia, into a vibrant, mixed-use district. The catalyst for this transformation is a city-sponsored program to renovate and improve the street and sidewalks along the 0.6-mile (one-kilometer) retail strip of Oxford Street. FEATURES Public/private partnership City-sponsored improvements program Streetscape redevelopment

2 Oxford Street The Bulimba District, Brisbane, Australia Project Type: Mixed-Use/Multi-Use Volume 33 Number 07 April June 2003 Case Number: C PROJECT TYPE A public/private partnership to transform a defunct shopping strip located in the Bulimba District of Brisbane, Australia, into a vibrant, mixed-use district. The catalyst for this transformation is a city-sponsored program to renovate and improve the street and sidewalks along the 0.6-mile (one-kilometer) retail strip of Oxford Street. SPECIAL FEATURES Public/private partnership City-sponsored improvements program Streetscape redevelopment PROGRAM MANAGER Brisbane City Council Brisbane Administration Center 69 Ann Street Brisbane 4000 Queensland Australia Postal Address GPO Box 1434 Brisbane 4001 Queensland Australia (07) Fax: (07) council_at_work/improving_city/ creating_living_villages/ suburban_centre/index.shtml

3 GENERAL DESCRIPTION Over the past ten years, Oxford Street, located in the Bulimba District of Brisbane, Australia, has been transformed from a defunct shopping strip into a vibrant, mixed-use district. The catalyst for this turnaround is a public/private partnership between Brisbane s city council and Oxford Street s local business owners. In 1996, the city of Brisbane created the Suburban Centre Improvement Project (SCIP), providing a grant of AU$600,000 to renovate and improve the general ambience of the 0.6-mile (one-kilometer) retail strip of Oxford Street. The key components of the SCIP include curb buildouts, sidewalk widening and paving, tree plantings, lighting improvements, public artwork, and new street furniture. These improvements not only have increased pedestrian safety and reduced traffic impacts, but they also have helped to establish Oxford Street as a gathering place and the social hub of the suburb. As a result of the improvements made through SCIP, new retail businesses have expanded on or moved to Oxford Street, with eateries such as Café Circus, the Coffee Club, and Baskin-Robbins all opening within a year of the start of the SCIP process. The historic Balmoral Hotel was refurbished, while the Balmoral Cinema Complex expanded to six screens. THE SITE AND ITS HISTORY The Bulimba District, as defined by the Brisbane City Council s Local Area Plan, primarily includes the areas of Bulimba, Balmoral, and Hawthorne, in addition to parts of Morningside and Norman Park. Geographically, the area is a peninsula bordered on three sides by the Brisbane River, and connected to the central business district via the CityCat river ferry service and the Wynum Road/Shafston Avenue arterial road network. The commercial heart of the Bulimba District is Oxford Street, which is located approximately 3.7 miles (six kilometers) from the Brisbane central business district via the Story Bridge. Considered the village center of the Bulimba District, Oxford Street runs east-west from the intersection of Riding, Hawthorne, and Lytton roads to the Brisbane River, a distance of approximately 0.6 mile (one kilometer). Property fronting the street is a mix of shops, cafés, offices, cinemas, liquor outlets, churches, residential units, light-industrial uses, and parkland. For the latter half of the 20th century, the area s proximity to the local transit system, the tram, made Oxford Street a convenient and accessible place for both residents and shoppers. However, over time, as the number of automobile trips for shopping greatly increased and the tram's ridership declined, Oxford Street was passed over by shoppers en route to newer retail centers. Property values throughout the surrounding area declined and many retailers relocated or went out of business. This decline was not unique to Oxford Street a number of other areas throughout Brisbane also experienced significant drops in main street retail patronage. The Brisbane City Council and Lord Mayor Jim Soorley initiated SCIP in order to revamp Brisbane s suburban retail strips. The goal of the program is to create living villages that are pleasant places in which to work, socialize, shop, and relax. In addition to the Oxford Street redevelopment, other notable SCIP areas include Caxton Street, Paddington; Logan Road, Stones Corner; Brighton Road, Sandgate; Merthyr Road, New Farm; and Boundary Street, West End. So far, the city council has completed approximately 30 SCIPs throughout Brisbane. The SCIP process began when the city of Brisbane provided money for the transformation of Albert Street, in inner-city Brisbane, which included widening sidewalks lined with landscaping features and sidewalk dining areas. The success of the Albert Street project led to ideas on how to replicate this concept in the suburbs. The SCIPs were a natural progression from the Local Area Plans to renew suburban precincts that were already in place. The improvements program is innovative in that it provides capital to local business communities upfront, holding the community accountable for helping to create and implement a plan for the money s use. Rather than tying up development plans for years in bureaucratic red tape, the SCIP process provides a specific amount of money for localities. This method has produced efficient and productive results throughout Brisbane s suburbs. DEVELOPMENT PROCESS, FINANCING, AND OPERATIONS The Oxford Street renaissance began in 1996 when the Brisbane City Council awarded the aforementioned initial SCIP grant. Since that time, the city council has spent more than AU$600,000 upgrading Oxford Street. Upon receiving the SCIP designation, the Bulimba District revised its Local Area Plan and formed a 16-member Design Working Group for ongoing consultation among the city council, local merchants, and community groups (including the nearby Bulimba State School and the Bulimba Senior Citizens Center). A number of amendments to the original design of the Oxford Street SCIP came out of the community consultation process, including the continued improvements further west along Oxford Street to benefit more businesses, and changes to the design of curb buildouts in various locations.

4 Key components of the Oxford Street project include the following: curb buildouts; sidewalk widening and paving; tree plantings; sidewalk seating; lighting improvements; coordinated street furniture (trash receptacles, lights, seating, etc.); public artwork; and uplighting for trees in Memorial Park. Oxford Street was one of the very first SCIPs approved by the city council. In order to ensure its financial success, the city council granted the project 100 percent of its funding and did not impose a tax on retail uses to recoup part of its expenses. However, with most subsequent projects, the city council expects to collect approximately one-half of its grant money over a ten-year period through taxing the retailers that benefit from the SCIP. The City of Brisbane Act grants the city council the ability to enforce this tax, known as a benefited area levy. In cases where a SCIP area will be taxed, property owners must first vote on whether or not they want to participate in the SCIP. The approval of an SCIP requires a majority of owners to agree to pay back half of the cost of the project over a ten-year period. A majority of owners simply means one more than half, and the city council makes it clear that if it does not hear from an owner within the time specified for a response, then the owner will be counted among those in support of the levy. The levy payments do not commence until the owner pays the levy. The payments start at the beginning of the financial year after the project has been completed. One of the first major successes for the Oxford Street SCIP was the redevelopment of the Balmoral Cinema Complex in The expansion of the cinema complex increased the number of screens from two to six, including one 51-foot (16-meter) screen and two 43-foot (13-meter) screens. The renovated complex offers current movies at discounted prices and provides 120 off-street parking spaces. Following the renovation of the cinema complex, a number of cafés and restaurants opened along Oxford Street. Before the SCIP was completed in 1997, and the cinema complex expanded in 1998, there was only one café on Oxford Street; now there are 17 cafés, restaurants, and fast-food outlets there. One of the first restaurants to occupy the newly redeveloped Oxford Street was Café Citrus, which brought with it a renowned chef who attracts patrons from all across Brisbane. Oxford Street s various pedestrian-friendly streetscape improvements make the area conducive to the creation of a café culture where shoppers, residents, and store owners meet and chat. The uplighting of the fig trees in Memorial Park is beautiful as well as an added safety feature, allowing park users to remain in the area into the evening hours. Three Brisbane artists Jamie McLean, Russell Anderson, and Gavin Fenelon were commissioned to create public artwork pieces along Oxford Street. These various pieces include a community notice board and a series of handrails resembling mangrove roots. The art pays tribute to the area s history, with an emphasis on Bulimba s maritime past. An innovative public/private partnership, SCIP is successfully reversing the trend of suburban sprawl by renovating retail strips into mixed-use villages. These improvements have renewed interest in the area, with businesses undertaking renovations, new retailers opening stores, and property values in and around Oxford Street increasing by as much as 100 percent over a five-year period between 1996 and Many new development projects are now in the works for Oxford Street: Woolworth s purchased three adjoining sites for AU$2.895 million in late 1999 and early Construction of the 35,930-square-foot (3,338-square-meter) supermarket complex is now underway. Forty acres (16 hectares) of industrial land on Bulimba s riverfront off of Oxford Street will be used for approximately 450 upscale residential units under three separate but coordinated development plans. The combined projects, controlled by developers Mirvac and Urban Properties, total AU$350 million. The three development areas are the Hornibrook Property, the former Southcorp Packaging Depot, and the old Lloyds Ships site. The 23-acre (9.3-hectare) Hornibrook site will be developed as a joint venture between Mirvac and the Roche Group (site owner). The AU$100 million project will include 1,148 feet (350 meters) of frontage along the river and 160 single-family homes with expected sales prices ranging from AU$400,000 to AU$1.5 million. The 13.1-acre (5.3-hectare) former Southcorp Packaging Depot was bought by Urban Properties for almost AU$12 million in It will be redeveloped into 200 upscale apartments and single-family homes with 1,312 square feet (122 square meters) of river frontage for AU$120 million. Formerly owned by Japanese developer Daikyu Australia Party Ltd., the 3.45-acre (1.4-hectare) Lloyds Ships site was bought by Urban Properties and will be redeveloped with 50 apartments and eight single-family homes in an AU$30 million project. Urban Properties bought the site for AU$4.25 million in February Future development plans for the Bulimba District include the possible redevelopment of the 59-acre (24-hectare) Bulimba Army Barracks Base, owned by the Department of Defense. The property has significant

5 frontage along the Brisbane River and is highly coveted by the private sector. MARKETING The Bulimba District hosts an annual cultural festival on Oxford Street every April in order to promote the retail area. The street is closed to traffic, and the festival includes a performance stage, craft stations, food vendors, street entertainers, and a parade. Community support is widespread: the festival receives a cultural and festival grant from the city council and sponsorships from local businesses; local politicians and community groups set up stands; and average attendance exceeds 40,000 people. Oxford Street s proximity to the Brisbane River allows for a unique transit system in the form of the CityCat ferry service. CityCat ferry stations are positioned at various locations along the Brisbane River and are used heavily on the weekends by shoppers and also during the vacation months by tourists. The ferry system is a unique mode of travel, and besides its functionality, serves as a marketing tool for Oxford Street. The city council also supports a Life in the Suburbs team that does promotional work in areas where SCIPs have been completed. The Life in the Suburbs program also encourages local businesses to come together and form associations. Unlike many of the SCIP areas in Brisbane, the Bulimba District has not yet formed a business association. EXPERIENCE GAINED Balmoral was Brisbane s number-one suburb in terms of median house price growth between 1995 and During the same time period, Bulimba ranked fifth and Hawthorne sixth, out of almost 200 suburban locations. That these three key suburbs constituting the Bulimba District were among Brisbane s top six suburbs demonstrates the district s growing popularity. Residential rents in Balmoral, Bulimba, and Hawthorne are considerably higher than the Brisbane average and the value of retail property in these areas has skyrocketed, with a typical rent on Oxford Street increasing from AU$18.60 per square foot (AU$200 per square meter) in 1998 to AU$51.90 per square foot (AU$550 per square meter) in Current retail/commercial rents for ground-floor space fronting Oxford Street run between AU$51.90 and AU$55.80 per square foot (AU$550 to AU$600 per square meter). The various development plans set for the Bulimba District and Oxford Street would have been almost unimaginable in However, the Oxford Street SCIP invigorated the entire area and created a number of lucrative development possibilities. The Brisbane City Council s willingness to partner with local suburban business districts and provide them with significant renewal money upfront has served as the catalyst for over 30 booming renewal projects throughout Brisbane. SCIP is internationally recognized as a striking example of how public/private partnerships can successfully revitalize ailing suburban districts.

6 PROJECT DATA PROJECT SUMMARY Population: 15,000 Distance from central business district (CBD): 3.7 miles (six kilometers) Local government: Brisbane City Council Median Housing Prices (2000) Balmoral: AU$280,000 Bulimba: AU$251,000 Hawthorne: AU$295,000 OXFORD STREET TENANTS Address Tenant Square Feet/Square Meters 200 Oxford Street Baskin-Robbins The Coffee Club Florist Office 3,875/360 retail 2,841/264 office 193 Oxford Street Riverbend Books and Café 1,292/ Oxford Street (Australia Post Center) 180 Oxford Street (Oxford Place) 161 Oxford Street (Bulimba Central) 160 Oxford Street (Cinema) Ham Bros. Chocolate Shop One Nine Zero Australia Post Bulima Bean Two retail vacancies Foodmart Stockman s Pies Liquor Barn Café Bonito Café/gift shop Delicatessen Café Circus Harcourts Cinema café Thai café Décor 7 gift Secondhand fashions store One vacancy 8,407/781 3,853/358 2,960/275 2,691/ Oxford Street Office Unknown Oxford Street Corner store Delicatessen Bakery Two secondhand stores 147 Oxford Street Barber Butcher Florist Annie s Secondhand Store Travel agent 2,153/200 2,153/ Oxford Street PRD offices Unknown 143 Oxford Street Earth and Sea (upstairs) Empty doctor s office (downstairs) 1,076/100 upstairs 807/75 downstairs 140 Oxford Street Naughty Noodles 1,076/ Oxford Street Pharmacy Chiropractor Massage therapist Bulimba Takeaway Hairdresser 2,153/ Oxford Street Cut Price Store 4,305/ Oxford Street Optometrist Newsstand Fruit shop Brumby s Bakery Hairdresser Small office 4,467/ Oxford Street Commonwealth Bank 3,035/ Oxford Street Chinese takeaway Oxford Real Estate Hairdresser 2,109/ Oxford Street Housewares 1,722/ Oxford Street Drapery Veterinarian Psychic Takeaway restaurant 2,153/200

7 106 Oxford Street Empty and for sale (AU$698,000) 102 Oxford Street Bulimba Video Pancho's Pizza 1,937/180 1,292/ Oxford Street Newsstand Unknown 74 Oxford Street Fish and chips restaurant Unknown Total tenants 65 56,357/5,235 FUTURE DEVELOPMENT PLANS Use Site Acquisition Cost Project Cost Project Size Number of Residential Units Woolworth's AU$2.985 million N/A 35,930 square feet/ 3,338 square meters N/A Residential project on the Hornibrook site N/A AU$100 million 23 acres/9.3 hectares 160 single-family homes Residential project on the Southcorp Packaging site AU$12 million AU$120 million 13.1 acres/5.3 hectares 200 apartments and homes Residential project on the Lloyds Ships site AU$4.25 million AU$30 million 3.5 acres/1.4 hectares 50 apartments 8 single-family homes MILESTONES 1996 SCIP process began First Bulimba Festival on Oxford Street Café Citrus opened 1997 SCIP project completed Coffee Club/Baskin-Robbins complex developed Balmoral Hotel refurbished 1998 Balmoral Cinemas complex expanded 2000 Woolworth s completes AU$2.895 million in site amalgamation 2001 Riverfront residential projects totaling AU$250 million announced Clark Mercer, report author Leslie Holst, editor, Development Case Studies David James Rose, copy editor Joanne Nanez, online production manager This Development Case Study is intended as a resource for subscribers in improving the quality of future projects. Data contained herein were made available by the project's development team and constitute a report on, not an endorsement of, the project by ULI the Urban Land Institute. Copyright 2003 by ULI the Urban Land Institute 1025 Thomas Jefferson Street, N.W., Suite 500 West, Washington D.C

8 The handrails along the sidewalk are part of the public artwork provided through the SCIp and are modeled after mangrove roots. A mangrove tree is part of Caf? Citrus (shown here), as it grows up through the roof of the outdoor dining area.

9 Oxford Street before the advent of SCIp. Shown here is the view going west and the exterior of 152 Oxford Street.

10 View of 152 Oxford Street. The completed SCIp work includes new sidewalks, curb buildouts, landscaped trees and shrubbery, clear signage, and new commercial development.

11 As a result of the SCIp, the historic Balmoral Cinema Complex was redeveloped and now includes six screens and 120 off-street parking spaces. The entrance to the cinema (shown here) attracts customers strolling along Oxford Street.

12 Oxford Street site plan.