Innovate design is at the heart of London Central. Images: Capital Property Group.
Capital Property Group is making a $500 million bet by forging ahead on its CBD office precinct without any pre-commitment from a major tenant.
The Snow family company has approval for its London Central development on the law courts carpark at the key corner of Northbourne Avenue and London Circuit. Excavation is scheduled to begin in approximately two weeks.
The company’s construction partner for its award-winning Constitution Place precinct, Construction Control, will again mount up for the first stage of the new project – a 65,000 square metre development across three buildings up to 12 storeys high.
CEO Stephen Byron said at an event on Thursday launching the project that the company had experience and time on its side, and he was confident that what it was delivering would attract a Commonwealth tenant.
“Who it is we don’t know, but we’ll charge on,” he said.
Head of Property Richard Snow said the project had been intentionally designed to meet the Federal Government’s specified needs for new offices, including sustainable, all-electric, net-zero buildings and flexible floor plates.
“There are two key points, one is adhering to the sustainability agenda … but also we’ve really seen that what governments need and what all tenants need post-COVID has changed in terms of what the workplace does, in terms of the flexibility, different fit-outs for collaboration and all that,” he said.
“Those two things together mean that we’re very confident that we’re going to get a user that responds to that.”
Mr Byron said some Commonwealth agencies would need less space, but they also wanted better space.
He said that by not waiting for a commitment, Capital could provide confidence to the market of a move-in date.
“When you have a development like this, which is a three to four-year build, it’s a long lead time to get organised to get a tenant into it,” Mr Byron said.
Designed by Johnson Pilton Walker, the project aims to achieve a 5.5-star NABERS rating and incorporate rooftop solar as part of its commitment to sustainability.
As well as the commercial offices, the ground floor will include retail, food and beverage precincts, including double-height retail spaces along London Circuit, and an urban park between two of the buildings.
Stage 2 could include a quality hotel and residential suites.
Mr Snow said the development would feature a full-height atrium that would link all the campus floorplates together, as well as interconnecting stairs.
“We think that’s really going to be interesting, and it gets away from some inherent disadvantages of older buildings, which have a more stacked floor plate without that vertical connection, especially for larger users,” he said.
“This will really allow for a high level of quality fit-out planning, the ability to plan large floor plates around an atrium space, having natural light, really good air quality, really fostering wellness and connection.”
Mr Snow said the aim on the ground was to mirror the Melbourne Building’s restaurants and bars to create a large food and beverage precinct in the heart of the city.
A three-level basement carpark will provide 550 to 600 spaces, including 280 for the public and the remainder for building users and tenants.
Mr Snow said London Central was not designed in isolation from the other parts of the city.
He said the design integrated distinctive building forms with green spaces, light rail and walkable connections to surrounding civic functions.
“The whole design of the urban realm and how the public carpark interacts [with it] and whether it allows you to get access across Northbourne Avenue to the theatre precinct has all been thought through very, very carefully, so you have that pedestrian flow across Northbourne Avenue to the theatre and then in turn how it interacts with all the retail,” Mr Snow said.
London Central is one of three city precincts Capital has taken on. The others are Constitution Place, which is being extended with the Vernon Circle office block, due to be finished by October next year, and the proposed mixed-use residential neighbourhood on the former cloverleaf land opposite the QT Hotel.
Mr Byron said this represented a $1.5 billion investment in the heart of the city.
“In five years’ time, I think Canberra will have for the first time a true CBD, a Civic that not only we’re proud of and we enjoy and creates a wonderful place to be, but it’s a place that will for the first time be the hub and thriving heart of our city,” he said.
He said Capital Property Group had returned to its roots.
“This is the heart of our city and the place that was the great passion for Terry and his brother George Snow,” he said.
The law courts carpark will close on 20 October. Stage 1 is expected to be completed by late 2028.
Capital paid $53 million for the land in 2023. London Central will generate 1500 jobs.
