Commercial & General $250m 15/13-storeys project for LeCornu site in O'Connell Street, North Adelaide, gets OK
The 2020 Commercial & General concept for the former LeCornu site in O'Connell Street, North Adelaide.
The State Commission Assessment Panel in 2021 approved Adelaide-based developer Commercial & General's $250 million retail, commercial and residential concept for the former LeCornu store site at 88 O’Connell Street, North Adelaide – the latest chapter in the 30-year saga over its development.
The panel's approval was despite objections from North Adelaide residents over the height of two towers of 13 levels and one of 15 levels in the development.
A group calling itself Vital North Adelaide engaged former city councillor Sandy Wilkinson to produce a concept that it said conformed with guidelines issued by Adelaide City Council for the project. Under the guidelines, developers were asked to submit proposals that did not exceed eight storeys for the vacant O’Connell St site.
Building height objections had been a ongoing theme in the failure of projects for the LeCornue site that was bought from the Makris group by Adelaide city council for $34 million in 2017 with a $10 million state government grant.
Jamie McClurg, executive chair of Commercial & General, developer of the $345 million Calvary Adelaide Hospital on Angas Street, Adelaide, and the $1 billion remake of Football Park site in West Lakes, said, as a long-time North Adelaide resident, he felt “a sense of responsibility to deliver a project of significance on this landmark site” in O'Connell Street.
He was confident that the 15-storey Eight-Eight O'Connell features such as its extensive green areas would overcome the previous height issue and the project would be approved by the state commission assessment panel, despite the North Adelaide development limit of eight storeys.
In 2016, a $200 million luxury residential, retail and Sheraton hotel was announced for site by the Makris Group – but that collapsed the following year. This continued the long history of failed projects:
1989: 1.6ha Le Cornu Furniture store, in the retail family for 134 years, sold to merchant bank Tricontinental (Trikon) and Oberdan family’s Kellyvale Group. Plans approved by city council for a $40 million shopping centre and townhouse development.
1990: Kellyvale take full ownership after Trikon’s financial collapse.
1991: Planning commission rejects complex despite modified version approved.
1992: Oberdan Group reveal plans for a $22 million retail complex
1993: State government strips Adelaide city council of control of site after months of bitter debate.
1993: Contentious plans approved by planning commission after developers’ appeal.
1993: State government gives final approval despite claims from North Adelaide Residents Group, led by Susan Clearihan, later a city councillor, it was not consulted.
1993: Residents and companies, including Foodland, launch South Australian-first supreme court challenge.
1994: Unprecedented class action dismissed by Justice Trevor Olsson. Appeal dismissed by full court of the supreme court.
1995: Demolition begins on site’s old buildings after months of wrangling.
1997: State government announces area will be rezoned from a residential/commercial precinct to a predominantly commercial area.
1997: New $15 million project including group of four boutique cinemas and underground carpark proposed by Wallis Theatres and Kellyvale holdings.
1997: Mancorp Holdings, headed by developers Theo Maras and Bill Manos, launch legal appeal against council’s approval, arguing the project exceeded building heights.
1998: Oberdan family’s Kellyvale Group sells site to Wallis Theatres Group.
2000: O’Connell St Traders’ lodge application with the city to establish temporary carpark.
2001: Makris Group buys site from Wallis Cinemas after council drops bid for land.
2005: Makris group unveils $100m luxury complex hotel, retail shops, apartments,
2007: State Government fast tracks plan, takes planning control from Adelaide City Council and gives it major project status.
2010: Con Makris describes saga as “biggest disgrace in Adelaide’s history”.
2010: Makris group wins two-year extension for substantial work to start.
2011: Luxury complex plans scrapped because of global financial crisis.
2011: Deemed “catalyst” site under new state government planning laws meaning it does not have any height restrictions.
2012: Property developer Lang Walker and Makris announce joint venture for site.
2013: Mr Makris airs frustration over delays and threatens to develop alone. Mr Walker walks away from joint venture plan.
2014: $80 million proposal from city councillors Sandy Wilkinson and Mark Hamilton for council build a public square, carpark and luxury apartments.
2014: Makris claims he will scuttle plans for a Glenelg-to-Kangaroo Island ferry if he fails to win development approval for the site.
2014: Issue dominates city elections amid calls to compulsory acquire site. Mr Makris unveils new $200 million eight-building development.
2017: $200 million luxury residential, retail and Sheraton hotel development plan collapses.
