Kings Square Breaks Ground in Perth's Revitalisation

Michael Barr 17 June 2013

One of Perth’s most significant new developments, Kings Square, saw the first phase leading to construction take place this morning as developer Leighton Properties, contractors Broad Construction Services and John Holland and stakeholders participated in a sod turning ceremony on site for three commercial buildings.

The Minister for Planning, the Hon. John Day, officiated the sod turning event with the Leighton Holdings Board and executives.

Leighton Properties managing director Mark Gray said Kings Square would be a step change in Perth’s ongoing growth and development as a world class city.

“Kings Square is a master-planned precinct that will be theprime commercial, residential and leisure hub in the very centre of Perth,” Mr Gray said.

“It will offer new world-class facilities designed to take the traditional idea of the working environment into the next generation as a new urban place for working, living and recreating in Perth.

“These first three buildings of Kings Square will be the catalyst for the revitalisation of Perth city’s heart – the new Perth City Link urban precinct extending from the railway station and City Square to the new Perth Arena.

Shell Australia has signed for tenancy of KS2 and John Holland will relocate its Western Australian headquarters to Kings Square.

The leasing underwriting from Shell and the Leighton Group enabled Leighton Properties to pre-sell this development at Kings Square on a fund-throughbasis to DEXUS.

DEXUS Property Group and DEXUS Wholesale Property Fund purchasedKings Square towers 1, 2 and 3 for $434.8 million – the largest commercial property pre-sale in Western Australia.

DEXUS CEO, Darren Steinberg said “Kings Square will inject new life into the Perth market. There is a lack of quality, affordable stock in the Perth CBD, with this product likely to be highly sought after. These buildings, with large efficient floor plates and 5 star NABERS Energy ratings, will provide affordable office space to tenants who require the amenity of well-located modern buildings.”

Mr Gray said Leighton Properties’ partnership with John Holland and Leighton Contractors’ subsidiary Broad Construction Services demonstrated the Leighton Group’s collaborative approach to drive innovative developments in core CBDs such as Perth. The commencement of three commercial towers simultaneously is a major achievement and a demonstration of the core capabilitiesof the Leighton Group.

“Kings Square will be a tangible example of our vision of developing thriving, sustainable buildings in CBD areas. It demonstrates the depth of our capabilities in planning, structuring and delivery,” Mr Gray said.

John Holland Executive General Manager – Infrastructure, Chris Evans said “John Holland is playing a key role in the reinvigoration of the city through the construction of projects such as Perth City Link and the New Children's Hospital. We are looking forward to making this vibrant location the home of our Western Australian operations.”

Broad Construction Services Managing Director, Dean Goodliffe said “With Perth being one of Australia’s hotspots for growth, such demand has presented some unique opportunities for the building and construction industry. We are very excited to have been awarded this work in the Kings Square precinct, and look forward working with Leighton Properties and associated partners in the development of what will stand as an iconic landmark for the city of Perth.”

Completion of all three buildings is expected in mid-2015.

Kings Square is part of the greater $5.2 billion Perth City Link project initiated by the State Government, the City of Perth and the Federal Government. KS1, on the corner of King and Wellington Streets, will have 23,156sqm of tenancy space across 19 levels. The 11-level KS2 tower has a further 20,440sqm of space. The third tower, KS3, will have 9,185sqm of commercial and retail space over nine levels including childcare facilities, shops, bicycle amenities and a gym.

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Michael Barr

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