Doma Group, Stockland successful tenders for former Red Hill public housing site

More than seven months after opening a public tender process, the ACT government has announced the successful tender for The Red Hill Precinct.

Developers Doma Group and Stockland will be banding together to deliver more than 250 residential dwellings to the old public housing site.

The consortium exchanged contracts for the $50.13 million site on June 29. The sale was brokered by the ACT Suburban Land Agency.

Stockland managing director and CEO Mark Steinert said he was “delighted” to be awarded the project.

“I’m pleased that Stockland has the opportunity to work with Doma Group on this city-defining development … and we’re excited to be be re-entering the Canberra market with this opportunity,” he said.

“The ACT government’s comprehensive work on the precinct’s estate development plan and extensive community consultation has laid the groundwork to bring the vision to life.”

Stockland is a Sydney-based property development company that manages 41 shopping centres nationwide, alongside a range of residential and retirement living villages.

The organisation also developed the Waterfront Apartment and its retail offering on the Kingston Foreshore.

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Doma managing director Jure Domazet said he looked forward to collaborating with Stockland.

“This development is an important milestone in the rebirth of the Red Hill shops precinct, creating a new, low-density neighbourhood village with high-quality architecture capitalising on the views and open spaces,” he said.

Unlike Stockland, Doma Group is a locally based developer that has been operating in Canberra for more than 40 years. Its notable developments include Dockside on the Kingston Foreshore and it is in the process of redeveloping Yarralumla Brickworks.

Doma is also one of the largest private hoteliers in the ACT, which include Hotel Realm, Little National and Burberry. The group is also expanding into Newcastle.

Minister for urban renewal Mick Gentleman said he was pleased to have the project under way.

“Doma has proven itself as an organisation that has a genuine interest in the social and cultural aspects of developing land in Canberra,” he said.

“Likewise, Stockland are an Australian industry leader in developing valuable community spaces. To have Stockland looking at Canberra as a place to develop land is a good indication of how strong the market is here.

“Bringing both of these organisations together in one consortium makes sense – I am expecting positive things to grow out of the Red Hill Precinct for the Inner South and the rest of the Canberra community.”

The 53,033-square-metre site is one of the largest offerings from the ACT government to market.

The Red Hill Precinct forms part of the ACT government’s Asset Recycling Initiative program and is also part of the Public Housing Renewal program.

A development application for the site was launched in March 2017 and was approved in late-June 2017. Demolition commenced on the existing public housing in July 2017.

Tenders for the site closed in March and the settlement of the sale was scheduled for June 8. However, a spokesman from ACT Suburban Land Agency said the process took longer than expected to assess and negotiate.

According to the ACT government, the tender process drew interest not only from Canberra developers, but across Australia as well as internationally.

Construction on the project is set to commence later this year.

A spokeswoman for Stockland said it was unable to disclose further plans for the development at this stage.