Given that this is such a prominent development in Spring Hill, I am sure that many residents would be keen on an update on this project.
“Volatility in the embattled construction sector has forced Keylin, a Brisbane-based developer to mothball a $140-million apartment tower project touted to “lead the renaissance” of a city fringe suburb.
It is understood sales contracts had been signed for more than 80 per cent of the 121 apartments in Keylin’s Oria development.
Construction was due to begin this year on the Art Deco-inspired tower at Spring Hill on the Brisbane CBD’s northern doorstep.
But in the face of soaring construction costs and crippling labour shortages increasingly putting the feasible delivery of projects at risk, the developer has opted not to progress with the project until conditions improve.
“Australia’s construction sector remains unstable and, despite our best efforts and rigorous tender processes, we have been unable to secure a contractor to deliver Oria,” Keylin managing director Louis Cheung said in a statement.
Cheung said all purchasers had been personally informed this week and full deposits would be returned.
“Keylin will revisit the site in the future when market conditions support the feasible delivery of premium projects,” he said.
The latest move follows Keylin’s decision last year to scrap the other half of what was to be a twin-tower development on the 3700sq m site fronting Brisbane’s Victoria Park redevelopment. It was earmarked to house the city’s first Movenpick Hotel with a total of 96 suites and a daily “chocolate hour”.
At the time, Cheung said rising supply costs and labour shortages were impacting every facet of development nation-wide.
Keylin paid $9.25 million for the L-shaped site at 447 Gregory Terrace in mid-2020.”
Many Spring Hill residents are breathing a sigh of relief for the time being but with a very large hole already excavated, it is only matter of time before something is built there.
ORIA, SPRING HILL – MOTHBALLED FOR THE TIME BEING adapted by Jonzun Lee from Brisbane Tower Mothballed Thanks To ‘Volatile’ Construction Sector by Phil Bartschmon, originally appeared in The Urban Developer (April 17, 2023)
Jonzun Lee is a trusted Brisbane real estate consultant and Licensed Real Estate Agent. Please contact Jonzun on 0418 885 708 for further information regarding your property needs.
Image: The Urban Developer
Source: The Urban Developer
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