$300mil Stockland project back on agenda

In a major boost for the Illawarra's retail sector, Stockland has declared its intention to proceed with the redevelopment of its Shellharbour shopping centre.Stockland declared the redevelopment one of five retail projects it planned to start work on in the first half of 2011.In announcing its half yearly results yesterday, the company also declared the total estimated cost of its Shellharbour project was now $310 million, although a company spokeswoman yesterday said there were still "a large number of variables we need to consider".Stockland also confirmed its agreement with Myer to provide a department store in the centre remained in place.The redevelopment will increase the size of the centre from 39,000sqm to 75,000sqm and will also include two supermarkets and 220 speciality shops.Twelve months ago, Stockland shelved plans for the redevelopment, just three weeks after it gained final approval for the project.Shellharbour council administrator David Jesson said he welcomed the news Stockland intended to proceed with the redevelopment, but with approvals already in place he hoped to see construction start sooner rather than later."Although it was disappointing, the delay was understandable due to the impact of the global financial crisis," he said."The project will bring construction jobs and retail jobs and will establish Stockland as the premier shopping centre in the Illawarra." A Stockland spokeswoman said the redevelopment will occur in phases over an approximate three-year period to allow for minimal impact on the trading centre and provide continuity of trade for tenants where possible.All going to plan, the project could be finished by Christmas 2013.The first stage is likely to be the relocation of Coles and Kmart, with Myer and Woolworths due to arrive in the second stage.At the end of 2009, more than $1 billion worth of retail projects in the Illawarra had either been delayed or scrapped, including GPT's $311 million West Keira shopping centre, Belmorgan $300 million Gravity project and Valad's $95 million Corrimal shopping centre.Stockland's announcement yesterday was the first move forward for any of the major retail developments in more than a year.Stockland Shellharbour centre manager Glenn Atkins said the centre was well positioned to capture the strong growth predicted in the southern Illawarra.