Poly Global is looking to diversify into NDIS-friendly apartments as COVID-19 slows the pace of construction on permit-ready projects.
Work on the Shanghai-listed developer’s Lily Garden project at 171 Buckingham Street in Richmond, a $136 million complex with 145 apartments and townhouses, has stalled.
“The economic challenges confronting both Australia and the world over the last 12 months have forced many businesses to review their strategies and activities,” a Poly spokeswoman said.
Poly’s Australian arm has adjusted the pace of construction on projects to match buyer demand, while also reimagining what products it is offering to maximise their market appeal, the developer said.
“At our Lily Garden development … we have taken the opportunity to seek advice from the NDIS about how to make our products most suitable for people with disabilities,” the spokeswoman said.
Construction on the Richmond project, which includes a public garden and 200 square metres of retail space, was due to start in mid-2019 after the site was cleared.
The spokeswoman did not say when construction will recommence.
It’s not the only Richmond development delayed by the pandemic’s onslaught. In nearby Burnley Street, local developer Joe Chahin’s Peregrine Projects was slated to start construction in December 2019 on a speculatively built office at No. 175.
Mr Chahin told The Age in Febuary last year that work had started at the site just before Christmas and was expected to ramp up in March.
Since the pandemic hit, Peregrine’s $100 million office appears to be on hold, with little or no activity on the site over the last year. Mr Chahin could not be reached for comment.
Poly has said it “remains strongly committed to our projects in Australia” and maintains it is well positioned for when things pick up again.
“We have always believed in adding value to the assets we own in Australia. While some companies simply hold assets, we invest to improve the lives of our employees and our owners,” the spokeswoman said.
Poly’s Australian arm has about 20 commercial and residential projects on the go in NSW, Victoria and Queensland.
Late last year, after a lengthy series of negotiations, it walked away from a $300 million deal with global developer Lendlease which would have resulted in it buying a 200-hectare residential development in Sydney’s south-west.
The group has a flagship $500 million project under construction in Sydney’s Circular Quay, the 107-metre tall Grimshaw-designed Poly Centre tower.
But the company declined to answer questions about the progress it is making on its efforts to offload a $500 million half share in both the Poly Centre and its sister tower at 1000 La Trobe in Melbourne’s Docklands.
Source: Thanks smh.com