Laneway Project to Kickstart Darwin CBD Redevelopment

Darwin’s Chapel Lane redevelopment is about to make way for something the tropical capital has been craving: shade, alfresco dining and pedestrian-friendly public space.

Construction on the plaza project is to begin on September 8—the first project under the Laneways and Small Streets Action Plan, which forms part of the 10-year Darwin City Deal targeting the city’s transformation into a vibrant tropical capital.

According to the City of Darwin’s engagement report, the project aims to “create a laneway that encourages movement through the space, enhances pedestrian experience, and improves economic outcomes for local businesses through activation of the space”.

The action plan identifies 12 initiatives to be delivered jointly by the Northern Territory Government and the City of Darwin, working with traders, property owners and Larrakia stakeholders to activate multiple CBD laneways and small streets.

The project is a strategic approach to urban renewal that prioritises pedestrian movement and commercial activation over traditional parking provision.

Nine car parks are to be repurposed to create the new pedestrian plaza.

The city has engaged NT-based contractor Mousellis and Sons to deliver the works, which are to convert the laneway and adjoining Mitchell Street easement into a pedestrian precinct featuring alfresco dining opportunities and enhanced connectivity to surrounding commercial premises.

The project, funded through Northern Territory Government grants as part of the Darwin City Deal, aims for urban renewal that prioritises pedestrian movement and commercial activation over traditional parking provision.

City of Darwin chief executive Simone Saunders said nine existing car parks would be repurposed to create the new pedestrian plaza.

“We listened closely to the community, and their input has helped shape the design to ensure it meets the needs they identified as most important,” Saunders said.

The design process incorporated extensive community consultation conducted in 2023, with 67.6 per cent of respondents saying they would be more likely to visit the area following redevelopment.

Community consultation revealed shade and urban cooling as primary design priorities, followed by enabling alfresco dining and nighttime activation.

Key infrastructure improvements would include new shade trees, installation of overhead shade structures, upgraded lighting systems with CCTV coverage, and smart city technology providing free public wifi and environmental monitoring capabilities.

The project also features an illuminated gateway sign designed to improve wayfinding and precinct identification.

The approach is in line with Darwin’s Smith Street heat mitigation project which targets urban cooling through tree planting and street furniture.

The CSIRO-led initiative aims to reduce outdoor temperatures in the area by up to 6.5C and surface temperatures by up to 25C, reducing peak electricity demand by 2 per cent and cooling loads by 7 per cent.

The Chapel Lane redevelopment would “strengthen pedestrian connections between West Lane Arcade, The Galleria, and nearby hospitality venues, with the aim of increasing foot traffic across the broader CBD area”.

This approach aligns with contemporary urban planning principles that emphasise activation of ground-level commercial spaces through improved pedestrian amenity.

The final design responds to these preferences through replacement of hard surfaces with landscaping and creation of spaces suitable for outdoor dining operations.

Completion is scheduled for December of this year, weather permitting.

Under the Darwin City Deal, property and construction group DCOH has partnered with the city on a $150-million, 21-storey Civic Tower development. Construction is expected to complete by 2028.

The Chapel Lane project is seen as a template for similar pedestrian-focused developments in other CBD laneways, with 11 additional initiatives planned under the broader action plan.

The laneway development aims to test potential opportunities for similar pedestrian-focused projects throughout the city centre as authorities test activation methods that could be replicated across other underutilised urban spaces.