Next step in Carlisle Street supermarket stoush

Two supermarket giants are plotting big developments along Carlisle Street. Council is set to provide a community briefing in May.

A town hall meeting is being planned for May by the Council to explain the negotiations with Coles to develop their $100M Carlisle Street site.

A public Zoom meeting organized by the Better Balaclava community group has been told that a community meeting will be held in May to present the progress of negotiations regarding the Coles development.

Presenting in the zoom, Cr. Buckingham said Councillors were being briefed after Easter and community consultation would follow before a final decision in September.

The sale of council-owned laneways and small pockets of other land is crucial to maximizing the site’s potential. The Council is seeking a range of commitments on residential mix, open space, retail mix, and other design features to benefit the precinct and fit in with their vision.

In the Zoom meeting, Crs. Buckingham and Halliday stressed that the negotiations with Coles were being conducted by Council officers and not Councillors.

A key presenter in the Zoom meeting was Andrew Hoyne, a placemaking consultant with offices on Chapel Street (although he now works from Sydney).

He gave a frank assessment of the poor state of the Carlisle Street precinct and the depth of the problems facing the traders and residents. He was highly optimistic about the role that supermarket developers could play in revitalizing the area. He pointed to case examples where mixed-use supermarket developments were well-planned to promote diversity of retail and other activities, including housing. He noted that many new-style builds invited butchers, grocers, and other specialist retailers to co-locate with the supermarket to enhance the area’s attraction.

Housing is critical, says Cr Halliday

In a statement to TWiSK, Cr. Justin Halliday said:
“As a long-term resident of St Kilda East and Councillor for Alma Ward, I’m passionate about revitalizing Carlisle St, our local shopping strip. I believe that new residential development is critical for the revitalization of Carlisle St. The sale of the council’s land to Coles will enable this much-needed residential and retail development. Councillor Libby Buckingham (Balaclava Ward) and I are working on the sale negotiations and the Council’s local projects to prioritize precinct uplift for Carlisle St and real community benefits for our local residents and traders, not just for Coles. The Coles project can deliver new housing and refreshed retail spaces in the midst of our best-serviced precinct.”

The Zoom meeting was told by Hoyne that completion of the project would be at least four years away, possibly up to ten or more.

Watch the Zoom (90 minutes)

Discussion with Crs Buckingham and Halliday, with presentation by Andrew Hoyne.

Background: “When elephants fight, the grass gets trampled.”

That old African saying may have special significance for the Carlisle Street community as moves to enable the redevelopment of the current Coles supermarket and car park progress through the Council.

Woolworths has already purchased the land from the Council to enable it to redevelop its site adjacent to Coles but has not yet progressed the development – despite significant penalties for failing to progress.

Coles paid $100 million for the site and some surrounding areas in 2023 and is now negotiating the purchase of some council-owned lanes and car park to fully realize the site’s potential.

Be careful what you pray for. If these developments go ahead, there will be significant disruptions and inconveniences for several years.

Watch this space.

Full statement from Councillor Halliday (Alma Ward):

“As a long-term resident of St Kilda East and Councillor for Alma Ward, I’m passionate about revitalising Carlisle St, our local shopping strip.

The decline of Carlisle St has happened over a decade or more, but it deepened during the pandemic. Changing shopping habits and rising cost of living have put immense pressure on our local traders.  This is especially the case in Balaclava, which is home to Port Phillip residents from all social and cultural backgrounds. 

Like the community members of Better Balaclava, I believe that new residential development is critical for the revitalisation of Carlisle St. The sale of council’s land to Coles will enable this much-needed residential and retail development.

Councillor Libby Buckingham (Balaclava Ward) and I are working for the sale negotiations and council’s local projects to prioritise precinct uplift for Carlisle St and real community benefits for our local residents and traders, not just for Coles.

The Coles project can deliver new housing and refreshed retail spaces in the midst of our best-serviced precinct.  Carlisle St is home to heritage shops, Balaclava Station, three tram lines, bus services, St Kilda Primary School, St Kilda Library, Port Phillip Town Hall, and social services organisations, which make Balaclava an inner-city hidden gem.

Council’s renewed focus on Carlisle St is delivering investment in this precinct; with the Carlisle St streetscape plan in progress, increased investment in street cleaning, safety, amenity, and social services, the first two urban forest strategy precincts coming in St Kilda East and Balaclava, and investment in new and expanded parks across Balaclava and St Kilda East.

I invite our passionate locals to join us at the upcoming Carlisle Precinct town hall meeting (May date TBD), which will provide more information about the proposed land sale and other local initiatives.”