PORT PHILLIP: Blow to St Kilda Marina project
The Australian Marina Development Corporation will not be proceeding with the redevelopment of the St Kilda Marina.
Port Phillip Council says it has a “contingency plan” in place. The Counncil claims the redevelopment is moving forward.
“Our Council entered into a long-term lease with AMDC in 2020 to redevelop the Marina. “Since then, there have been changes in the broader economy, significant rises in construction costs and continued uncertainty with historical soil contamination across the site, despite Council’s willingness to increase its contribution to managing the contamination.”
Port Phillip Council said that despite its extra contribution, and numerous extensions of time, AMDC did not recommit to the St Kilda Marina redevelopment when the final extension period expired at the end of March.
“As a result, our Council has implemented a contingency plan to ensure the Marina remains operational,” said a Port Phillip Council representative.
“This includes a short-term, 3.5-year ‘interim’ lease with AMDC, which began on April 1 2025. Under this arrangement, Council will receive approximately $1.8 million in rent over the lease term, allowing the Marina to continue operations while Council works towards a longer-term solution.
“Council has worked with the Victorian Government to secure the necessary approvals for the modified tenure arrangements, as the Marina is located on Crown land.
“Our Council is committed to ensuring the Marina’s long-term future. This interim lease arrangement provides Council with the time needed to explore potential long-term solutions. This will likely involve going to market again to seek new proposals to redevelop the Marina.
“The Marina remains open and operational for the community to enjoy. Council continues to engage with stakeholders to ensure a successful and sustainable future for this iconic site.
“As a world-class landmark, the Marina offers incredible potential as a hub for both Marina activities and community spaces, including opportunities for retail development,” the Council representative said.