[+] Lights Come Back On in The Harbour City

“No one, not architects, not designers, have any idea how hard it is to actually create activity and activate a precinct... you hear buzzwords, but no one is doing anything about it.” So says Andrew Coward, co-founder and director of placemaking agency Reactivate Consulting, which is focused on bringing cities back to life. It’s no secret that Australia’s ‘Big Smokes’ are nowhere near the likes of New York or Bangkok’s bustling city centres. But breathing life back into cities is becoming more critical as we shift from an era of run-down buildings from the 1970s to activating even the smallest of laneways in the CBDs. Australian cities certainly don’t match the image of ‘the city that never sleeps’. However, since precinct activation grants were announced earlier this year and lockout laws scrapped in Sydney it’s become more of a focus. The NSW Government introduced ‘vibrancy reforms’ to the 24-Hour Economy Legislation Amendment Bill 2023 into parliament last month. The amendments are aimed at overhauling the “complicated and often duplicated regulation” that is preventing a thriving all-hours economy. The cross-government iniative was developed in concert with key government agencies, industry and local government to modernise the legislation in line with going out behaviours, and enable more people to go out, closer to home. The amendments are aimed at addressing six key pinch points, sound management, night-time precinct protections, relaxing outdoor dining spaces, streamlining planning and licensing rules, create a safer night-time workplace, and empower the 24-Hour Commissioner to deliver on these amendments. From old to new There are some local success stories in the drive to create thriving precincts. Circular Quay, in the thick of things in Sydney, was originally a port for commercial shipping and then a commuter hub with ferry terminals, trams and pedestrian links connecting the city. More than 50 million people visit Circular Quay each year and it handles about 35 million commuter trips. But far from being a thoroughfare, the harbourfront precinct is in the middle of a $38-billion renewal. Quay Quarter Lanes, designed by SJB Architects as part of a consortium, and developed by AMP Capital, at 9-15 Young Street is the rejuvenation of a run-down city block into a mixed-use retail, commercial and residential apartment building with views of the harbour and less than a minute walk to the Circular Quay hub. ▲ Loftus Lane and Young Street is home to Bar Mammoni, Grana, and Apollonia. The area also received funding through a NSW government strategy. The office of the 24-hour Economy Commissioner has introduced the Uptown District Showcase, a grant program to help pump life into precincts. Earlier this year, funding of up to $200,000 was handed out to 21 districts across Sydney to develop their own nightlife and economic growth. UpTown Sydney CBD is a part of the program with a focus on hospitality hubs including Quay Quarter and Sydney Place. ▲ Quay Quarter, Hinchcliff House and The Museum of Sydney for the UpTown Sydney CBD district. Images: Ross Coffey, Jiwon Kim, James Horan. Minister for Music and the Night-time Economy John Graham said the vibrancy reforms would help to deliver safer and more activated precincts. “We need to change the rules around outdoor and street activation so that music, culture and entertainment can spill outdoors,” Graham said. “We especially need to change the rules for sound and noise complaints that allow a single neighbour to make serial complaints to close a long-running venue they have just moved in next to. “We want to encourage businesses to innovate and put on live performance, by giving them certainty. We want to create a safe and diverse set of options for people when they go out, to go to a pub, to see a show, to get a late-night meal. We want to activate our streets – see people milling on pavements after an exhibition or show, or dancing in the streets at a festival.” Kings Cross rises again The prominent Kings Cross strip became known as a place to avoid after a slew of alcohol-fuelled ‘king hits’ attacks that claimed the lives of two people, in 2012 and 2013. Sydney’s lockout laws were introduced in 2014 in an attempt to stamp out alcohol-related violence, but these laws were scrapped in 2021 after the economy took a big hit and Kings Cross became a ghost town. Lifting the laws marked a new era for Sydney, and included the appointment of Michael Rodrigues as the 24-hour economy commissioner tasked with activating the city. ▲ The Kings Cross strip was once a bustling nightlife hub. Image: Ross Coffey Road design and traffic calming in these districts allow businesses to showcase themselves, such as restaurants and pop-up bars—an opportunity for in-store activations and growth. “The showcase is just one of many initiatives the Office of the 24-Hour Economy Commissioner is doing to encourage businesses, councils and communities across greater Sydney to collaborate and raise awareness of their neighbourhoods,” Rodrigues says. The City of Sydney has also launched its Sydney Streets program, focused on activating buildings, streets and businesses. Under this, the council shuts down village high streets to vehicles and they are transformed into event spaces for dining, walking, shopping and entertainment. To support the businesses and 540,000 Sydneysiders who live and work in the CBD, the NSW government has proposed changes to the State Environmental Planning Policy to make it easier for venues to host art and food festivals outside their indoor premises without the need a development application. Re-activating Sydney’s historic heart Meanwhile, Sydney’s oldest locale, The Rocks, which dates back to the late 1700s, has made ground activating buildings and converting old buildings into hospitality precincts. Night-time venues such as The Argyle and El Camino are drawing a younger crowd. In a joint venture between Hannas Group and Golden Age group, The Harrington Collection was developed—a residential development in the heart of the Rocks, comprising 58 residences split between penthouses, apartments and two converted bakers terraces from the 1800s. But Hannas Group chief operating officer Charlie Martin warns developers can’t jump into converting heritage buildings and expect it to be done quickly, rather, it takes time and attention to detail. “There’s a lot of unknowns and checkpoints with different stakeholders that will have an opinion on what the final outcome could be,” Martin says. Retail activation and ground-floor hospitality are all paying dividends in the reinvigoration of Sydney CBD. Retail vacancy figures for the first half of 2023 revealed a softening in overall vacancy in Sydney, but strip retail had tightened to 6.9 per cent. This followed a surge in leasing deals in prime locations to brands including Adidas, NBA and JD Sports and continued activity by luxury retailers seeking to open flagship stores to remain competitive according to CBRE data. The overall Sydney CBD increase was attributable to a 406-basis points vacancy rise in arcade retail space and a 320bps rise in centre vacancies, largely due to tenancies becoming available following the refurbishment of the General Post Office coupled with difficulties in leasing upper-level retail centre tenancies. CBRE’s report forecasts that increases in international visitor numbers, returning international students and a growing number of CBD events are expected to continue to boost city visitation and overall retail spending. You are currently experiencing The Urban Developer Plus (TUD+), our premium membership for property professionals. Click here to learn more.

[+] Lights Come Back On in The Harbour City

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