QUALITY LOCAL GOVERNMENT

Ordinary Meeting, 31/5/05

ITEM NO: 6

SUBJECT: COUNCIL LAND IN SPRINGWOOD TOWN CENTRE

FILE NO: C02961
Source (PDF 748 KB)

Item 6:
Council land in Springwood Town Centre

Recommendations:

1. That the information contained in this report be received and noted.
2. That Council adopt the vision for Council land in Springwood Town Centre as outlined in this report.
3. That Council support the preparation of development concept plans for Council's land in the Springwood Town Centre.
4. That the development concept plans be presented to Council for endorsement before placing on public exhibition for community consultation and engagement process.
5. That no work commence on the preparation of the plans before the funding of $70,000 necessary for their preparation is identified.

Report by Group Manager, Corporate Policy

This report is prepared in response to Council's resolution dated 8 June 2004 regarding the former Springwood Scouts site and to enquiries from prospective developers regarding possible development of public land in Springwood Town Centre (as shown on the plan hereunder), including:

• Council land and Crown land at 169-177 Macquarie Road, Springwood (known as the Northern Car Park);
• Council land at 50-62 Springwood Avenue and rear of 178-184 Macquarie Road, Springwood (known as the Southern Car Park); and
• Council land at 102-108 Macquarie Road, Springwood (known as Braemar Gallery, Springwood Library and Offices and Springwood Civic Centre)

Click to enlarge

This report advises Council of the works done to date relating to the identification and examination of potential options for possible development of public land in Springwood Town Centre. The report outlines key issues identified by Councillors from the recent workshops, site inspection and town studies. The report also outline key milestones and actions that need to be carried out before commencing the public consultation and community engagement process for the future development of Council land in Springwood.

Background

In 2003 Council received an approach concerning possible development of Council's office/library property at Springwood. Three "draft" options were presented to Council's Briefing Session on 14 October 2003, each involving all or a portion of the Civic Centre, Library/Council Offices and associated parking sites at Springwood. Subsequently, Council advised the party that approached it regarding the possible development that further investigations were required to be carried out and that if Council ultimately made decision to proceed with any development over Council land in Springwood, a transparent process would follow such as calling expressions of interest or tenders.

Council has also been approached by a number of other potential developers over many years expressing their interest in developing Council land in Springwood (particularly the southern and northern car parking areas in Macquarie Road) to satisfy what they consider to be untapped commercial/retail demand.

In addition to the above, Council at its meeting of 8 June 2004 considered a report on the former Springwood Scouts site and resolved:

1. That the information contained in this report be received and noted.
2. That the necessary arrangements be made for an assessment of parking needs and retail and/or commercial market demand in Springwood Town Centre to assist in determining the highest and best use of Council's land at 173 Macquarie Road, Springwood and in establishing development options for the land to include adequate parking.
3. That a report come back to Council:
   1. outlining outcomes of feasibility studies and/or cost and benefit analysis for various options for the land;
   2. selecting an option that would meet the town centre needs, community wishes, market demand and Council's strategic objectives;
   3. considering any possible sources of funding and project delivery methods for the recommended option; and
   4. advising a way forward to achieving the best future use for the site."

The availability of Council land at strategic locations in Springwood Town Centre, the unsolicited development strategies proposed by the external market, together with potential needs and wants of the community is the genesis upon which the Springwood Town Centre can be reassessed or fine tuned as a key component of the Blue Mountains LGA hierarchy.

Project Plan and Milestones

As a consequence of the above, a project plan for the identification and examination of potential options for possible development of Council land in the Springwood Town Centre was developed and endorsed by Council's Executive Management in August 2004. Key milestones outlined in the project plan include:

• Phase 1: Workshop, Consultation and Research
  • Workshop with Councillors
  • Ascertain the vision and strategic objectives for Council land in Springwood Town Centre
  • Seek the view of the Department of Lands regarding Crown land at the Northern Car Park
  • Confirm landownership, zoning and classification
  • Document the parking/traffic access needs for Springwood Town Centre as a pro- forma discussion paper and as far as possible reference document should subsequent development strategies be contemplated
  • Document an initial assessment of retail and/or commercial market demand and supply with reference to possible escape expenditure and a study the socio/demographic profile of those in the catchment
  • Document a review of community facilities and needs in Springwood Town centre
  • Review the Springwood Master Plan
  • Prepare development concept plans for Council land
  • Workshop with key stakeholders
  • Consult with and engage the local community
  • Document and refine the vision for Springwood and for Council land in Springwood and confirm the project objectives
  • Determine highest and best use of Council land which will make Springwood a sustainable long-term viable district centre, and establish options for project delivery systems that facilitate the development process
• Phase 2: Project Delivery Methods and Funding Options
  • Carry out broad based feasibility studies and/or cost and benefit analysis for various options (lease, sale, joint ventures, public and private partnership, etc.)
  • Prepare a probity plan for the project
  • Consider possible sources of funding and project delivery methods and/or the most appropriate involvement of the private sector in achieving the objectives
  • Select the option that would meet the town centre needs, community wishes, market demand and Council's strategic objectives
• Phase 3: Implementation
  • Develop an implementation plan
  • Implement the project
  • Attend to commissioning and evaluation of the project

To achieve the milestones outlined in the project plan, a Project Action Team (PAT) was established, comprising a cross section of staff from:

• City Sustainability (Program Leader, City Planning)
• Environmental & Customer Services (Town Planner)
• City Solutions (Traffic/Parking Engineer & Area Manager)
• Corporate Policy (Manager, Corporate Property Management) acting as Project Manager

Councillors' Workshops

The first milestone was to conduct a workshop with Councillors during September - October 2004 to set out common grounds and an agreed vision for Council Land in the Springwood Town Centre. An independent and experienced Property Facilitator, Mr. Peter Quinlivan of Arcadia FM Property Services Pty Ltd was appointed (through a process of calling expressions of interest) to ensure effective workshops with Councillors, community groups and key stakeholders.

The initial Councillors' Workshop was held on Thursday 28 October 2004. Key issues discussed were:

• A need to achieve a balanced link between community and commercial outcomes
• Local identity to be preserved and enhanced
• Entrance to the town, heritage and history of the place need to be considered
• There has been a loss of character; it was once "one of the places" in the mountains
• It (Springwood) is by passed by motorists
• In the event of a development strategy some of the "must haves" could include enhanced employment opportunities, a commercial return to Council and, to a lesser extent improved recognition/identity
• Any strategy should deliver further "town character" which has been eroded somewhat
• The town needs to appear and be commercially attractive
• Need for greater choice and variety
• Need for things that enhance Springwood characters such as consistent signage, design
• Little money have been spent in infrastructures in Springwood
• There would be a benefit in "lifestyle services/retail", this includes good coffee, good food (styles and diversity)
• Springwood currently lacks a cultural focus
• There is a need to preserve the sense of presence and space that currently exists
• Only immediate needs are available in the commercial strip
• Currently perceived as very safe place
• Springwood has drifted, there is nothing there other than shops and there is a need to enhance the character; this included the notion of setbacks, the prominence of front gardens
• There are no reasons for people to be there - no anchor activities/services
• Whatever happens must lift all of Springwood not just a component of the commercial area, in turn it must fit within plans for the entire LGA's town structure.
• Need for having examples and inspection of other country towns that have been successfully revitalised.

Further to the initial Councillors' Workshop on 28 October 2004, a second workshop followed by an inspection of Council's land holdings in the Springwood Town Centre was held on Thursday, 2 December 2004 to explore the direction on the use of and confirm the vision and strategic objectives for Council land in Springwood. The purpose of the workshop was also to achieve a common understanding of that which is good about the existing town centre, why it enjoys its existing role in the retail/commercial hierarchy of the Blue Mountains LGA and what voids, challenges, opportunities exist to underpin the future. Further, to explore to what extent the strategic location of Council land allows for some form of development rationale that delivers social, community and business outcomes. The conclusion of the night's discussions could be summarised as follows:

• Use Council land at strategic locations to facilitate developments that would deliver social/community/business outcomes consistent with Springwood Town centre needs.
• Retain and showcase heritage icons and public spaces
• Activate the street frontage, enhance vertical setbacks and anchor at the rear

Inspection of other Towns

• Through the workshops, there was a recognised need to look at towns or areas that have struggled with retaining what they hold to be of value, and still accommodating contemporary lifestyle facilities and amenity, and that have undergone revival by the introduction of a shopping centre without being significantly detrimental and/or adding significant value to the existing strip businesses. Investigations were carried out and an inspection by staff and available Councillors of the Cessnock, Maitland and Raymond Terrace town centres undertaken in January 2005.

Key points noted from the inspections were:

• The Hunter Valley region has perhaps more in keeping with the Blue Mountains region than other nearby regions (having regard to tourism and the demographic make up of residents) and serves as helpful comparison.
• In recent times Cessnock (after a period of some stagnation) has undergone significant change by the introduction of an integrated shopping centre within the existing township commercial heart. The acknowledged consequence is that this development has reinvigorated Cessnock, prevented retail leakage to other areas and allowed the strip to reinvent itself and prosper.
• Maitland has also allowed the development of a new shopping centre; however this development was constructed in East Maitland and has not been particularly successful. Unfortunately, the historical strip, which has become fragmented, is also struggling. It has been suggested that had the shopping centre development been closer to the existing commercial heart both the shopping centre and the strip would have prospered. This sends a warning signal to those that might contemplate retaining the status quo in Springwood and running the risk of developments being allowed elsewhere, thus attracting customers to the new development to the possible detriment and viability of the existing strip.
• For many years Raymond Terrace resisted the development of a major shopping centre as there was a view that it would devastate the existing strip and the small boutique centre already in existence. The township had for a long period suffered from significant retail leakage and the shopping centre was eventually developed in the heart of the existing commercial strip which has resulted in a significant increase of foot traffic in the strip area which is now enjoying buoyant trade. In simplistic terms the creation of a diverse shopping centre allowed locals to shop locally.

Draft Vision for Council Land in Springwood

Based on the discussions at the workshops and on the inspections, Council's Property Consultant Peter Quinlivan and the PAT members have attempted to draft a "vision" for Council's land in Springwood, as follows:

"Council land in Springwood Town Centre plays an important role in facilitating the process of revitalising the town centre and supporting Springwood, as a place in which to both live and visit, which offers a diverse and vibrant range of commercial and community facilities and services. Landmark heritage buildings, well maintained open space areas, and views to the Blue Mountains National Park punctuate an attractive streetscape of active commercial shop fronts, state of the art community facilities, and innovative residential dwelling types.

It is an easily accessible place by car or by public transport, with adequate car parking and a pedestrian friendly environment. It is a place that showcases the lifestyle of a Blue Mountains village."

Current Status of Some Key Milestones

Crown Land at the Northern Car Park:

A fruitful meeting with the Manager - Strategic Development & Marketing of the Department of Lands on 22 March 2005 indicated that the Department would be interested in the redevelopment of associated Crown land (whether it be sale, lease or partnership) necessary to advance an appropriate Council proposal.

Landownership, Zoning & Classification

80% of landownership and land classification have been checked and validated. The remaining 20% are subject to further legal searches and verifications.

Economic Feasibility Assessment

Hill PDA in 1996 conducted an Economic Viability Study for Springwood, and more recently in 2002 assessed the potential economic impact of the supermarket proposal in Winmalee Shopping precinct. It is the view of PAT that there needs to be an up-to-date study undertaken, which accounts for the current market conditions and retail developments since the earlier studies were done. PAT is in the process of seeking assistance from Property Facilitator Mr. Peter Quinlivan to brief Hill PDA to carry out an up-to-date Economic Viability Study for Springwood including an assessment with reference to the development potential of Council land in Springwood Town Centre.

Access, Traffic & Parking

In 1996 Christopher Hallam & Associates in association with Manidis Roberts Consultants conducted and recommended a series of work programs for improving traffic and parking for Springwood Town Centre and associated areas. In 2004, GHD undertook a review of parking, traffic, public transport and pedestrian issues within 13 town precincts including Springwood Town Centre. The parking/traffic access needs for Springwood Town Centre are being documented as a pro-forma discussion paper and as far as possible reference document should subsequent development strategies be contemplated.

Forward Thinking

PAT members at the recent meeting to review the process for this project were cognisant of the need to ensure that any "forward thinking" was consistent with the existing Master Plan prepared by Conybeare Morrison & Partners and Context Landscape design in 1995 and that a detailed review of the Master Plan requirements be undertaken with a summary of the issues documented following:

• Create "gateways" from Great Western Highway
• Establish town centre "gateways" at Hawkesbury Rd roundabout Ferguson Rd underpass
• Upgrade landscaping and appearance of railway corridor
• Exploit views from ridge to National Park
• Encourage medium density residential in town centre
• Strengthen Macquarie Rd village feel by connecting gaps in streetscape
• Develop integrated signage, colour schemes and awning design guidelines
• Encourage pedestrian connections between Macquarie Rd and parking areas
• Relocate overhead power lines
• Upgrade streetscape and pavement
• Open pocket parks to Macquarie Rd for improved safety and accessibility
• Promote existing landmarks and heritage features
• Establish tree planting scheme
• Establish logical vehicular movement patters
• Link railway station to retail precinct
• Concentrate new retail development nearer railway and car parks
• Upgrade street appeal with themed plantings and furniture
• Encourage cafes, arcades to carparks and new "shopping walks"
• Look to infill development rather than linear development along Macquarie Rd
• Medium density aged housing in centre
• Shop top residences with zero parking requirements
• Education activities
• Macquarie Rd to be more pedestrian friendly
• Create a town square
• Bus / Rail interchange with shelters, streets and furniture
• Provide public toilets, play equipment, youth centre and tourist information
• Incorporate artworks into future projects
• Review zoning to allow broader uses including "innovative and affordable" housing
• Use of "village zone' within the DCP to serve as a guide to development direction
• Advertising Code for uniformity of signage and advertising
• Awning Code for uniformity and/or traditional post supported awnings

Project Delivery Processes

PAT members have considered two distinctive project delivery processes, being:

Process 1: Value Optimisation Strategy

In this process, the vision and strategic objectives for Council land in Springwood Town Centre and for the project would be defined after undertaking appropriate consultation with key stakeholders and the local community. All relevant planning instruments and development control measures would be collated. Information relating to traffic, parking, heritage, community needs, commercial market demand and supply would be documented.

Subsequently, Council would call for proposals from the open market to achieve the optimum outcome balancing community, social and commercial objectives together with the vision and strategic objectives for the land. This process would minimise Council's up-front cost relating to the preparation of master/concept plans for each site. However, it is envisaged that it would be very difficult for Council to successfully carry out the public consultation and community engagement process without a clear concept plan to gauge community support before calling proposals from the market.

Process 2: Master/Concept Plan Approach

Through the recent workshops and inspections, Councillors expressed a view that it may be necessary to prepare a DCP specifically guiding development of Council land in Springwood Town Centre.

At the recent PAT meeting it was suggested that a DCP may not be the most appropriate instrument in this case as the specific provisions and guidelines for development have already been prepared and are contained within the "Springwood Precinct VTC SP01 - Village Town Centre Precinct" in DLEP 2005.

For this reason, it would be more appropriate to revise the Springwood Master Plan, either in part or in full, and to prepare a site-specific master/concept plan(s) to facilitate the development of key sites in Springwood, such as:

• Council land and Crown land at 169-177 Macquarie Road, Springwood (known as the Northern Car Park);
• Council land at 50-62 Springwood Avenue and rear of 178-184 Macquarie Road, Springwood (known as the Southern Car Park); and
• Council land at 102-108 Macquarie Road, Springwood (known as Braemar
  Gallery, Springwood Library and Offices and Springwood Civic Centre)

Once the preparation of the development concept plans for the three sites is completed, Council will commence a public consultation and community engagement process to gauge broader community issues and appropriately address them through the development process.

Such a master/concept plan would assist both Councillors and the broader community understand the proposed development options prior to calling expressions of interest or tenders from the market and before any DA being lodged or a developer agreement or the like being considered.

Although Process 1 (Value Optimisation Strategy) has a potential to maximise the value of Council land, the majority of PAT members were of the view that without a concept plan for what would be likely to happen on the site it would be difficult for Council to gain support from the community. In contrast, Process 2 (Master/Concept Plan Approach) would allow the community to have some ideas on what would be the likely outcome on site; therefore it would enable better community consultation, engagement and support. For this reason, the majority of PAT members support Process 2. However, the issue of resourcing the preparation of the master/concept plan (currently estimated at $70,000) needs to be considered.

Conclusion - The Next Step

The overall consensus derived from the recent workshops with Councillors was that Council land in Springwood Town Centre is important and can act as a catalyst for the improvement of the town and for providing better facilities and services to the local community. There are different processes to identify and examine potential options for possible development of Council land in Springwood Town Centre. The Master/Concept Plan Approach is the preferred process. However, it would cost Council approximately $70,000 for the preparation of the development concept plans for the three sites identified earlier in this report.

Before commencing the preparation of the concept plans, it is necessary for Council to endorse statements relating to the vision and objectives for its land in Springwood to provide a strategic direction to the way Council land will be developed in the future. Once the concept plans are prepared endorsed by Council for public exhibition, the public consultation and community engagement process will commence.

The source of funds for the $70,000 required has not yet been identified and given Council's currently constrained financial position it may be some time before this is possible. However, it is considered important to get an indication of Council formal support or otherwise to the process now so that a priority can be placed on locating the funding and for the work to commence once it has been identified.