17/06/2010 - 00:00

State aims to save $25m on office leasing

17/06/2010 - 00:00

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THE state government will use its reorganisation of office leasing commitments to underpin the development of activity centres under the state planning framework, Directions 2031.

State aims to save $25m on office leasing

THE state government will use its reorganisation of office leasing commitments to underpin the development of activity centres under the state planning framework, Directions 2031.

Commerce Minister Bill Marmion released a state government office accommodation discussion paper last week, which outlined a number of initiatives the state government could implement to save up to $25 million per year on office leasing by 2015.

The foundation of the plan is the relocation of 15-20 per cent of current government CBD and CBD-fringe office leasing commitments to suburban locations.

Currently the state government holds 148 individual leases over 96 CBD buildings; it spends $220 million each year on office leasing, and a further $30 million to $40 million on office fit-outs.

Joondalup and Stirling are expected to be the first locations developed, with a proposal in place to begin the procurement process for two office buildings in the Perth northern corridor.

The discussion paper also proposes that planning get under way to establish a major new government building along the Perth to Mandurah railway line.

Fremantle was also named as a potential major government office location.

“In every development that I have been involved in, either in the government or the private sector, the option of putting a government building and tenants in has been raised because it actually makes the project viable,” Mr Marmion said.

“One of the important things though is that we do locate government departments in an area where it’s right for the department.

“If it needs to be interacting with the public, we’ve got to put it in a good spot for interacting with the public, whereas those departments that don’t have public interaction, we could put them anywhere, and that’s what we’re looking at.”

In order for essential service delivery to remain uncompromised, the plan proposes the creation of department-specific government precincts.

The plan proposes a Perth central precinct at one40william and Albert Facey House – a ‘one-stop-shop’ service centre where the public could access a wide range of government services and information.

On the CBD fringe at Dumas House, the government plan proposes to construct two 10,000 square metre towers on the existing carpark to house the premier and all ministers and the Departments of the Premier and Cabinet and Treasury.

The executive government and central agency precinct would also include agencies that report directly to parliament, including the Public Sector Commission, Office of the Auditor General, Ombudsman, Office of the Information Commissioner, Office of the Inspector of Custodial Services and the State Records Commission.

The plan also recommends the establishment of a justice precinct at the Old Treasury Building redevelopment site on St Georges Terrace.

Negotiations between the state and the site’s developer, the Mirvac/Cbus consortium, are focused on a redevelopment proposal that includes: reusing the existing heritage buildings as a world-class hotel; a new office tower; and redevelopment of the adjacent Cathedral Square site to create public amenities, underground car-parking and further office accommodation.

 

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