MIT Civil Engineering – 1.011 Project Evaluation Spring Term 2003Jodie M. Misiak Page 1Federation SquareJodie Misiak May 9, 2003Project Evaluation (1.011)Source: Trevor MeinSource: Lab + Bates Smart ArchitectsFederation SquareJodie Misiak May 9, 2003Project Evaluation (1.011)Existing Conditions:CBD Yarra River Prince’s BridgeFlinders StationFlinders St Rail YardSt Paul’s CathedralFederation SquareJodie Misiak May 9, 2003Project Evaluation (1.011)Prince’s Gate Office Towers (1967) -Unpopular Development along edge of railyard. Divided the City from its River -Demolished in 1996Desire to create a civic space linking the Central Business District to the Yarra Waterfront. -Various previous attempts to roof the adjacent rail yard (1925, 1958, 1961, 1973….)Site History & Impetus for ProjectSource: State Library of VictoriaSource: State Library of VictoriaFederation SquareJodie Misiak May 9, 2003Project Evaluation (1.011)Basic Project ComponentsSupport Deck-Constructed over fully operational Flinders Street rail yard. -Required both sufficient structural support and vibration absorbing materialsSquare -Plaza of carved Kimberley sandstone -Designed for up to 15,000 peopleAtrium-Portion of plaza enclosed to form large covered public space-Contains medium-sized amphitheater-Climate controlled by Labyrinth SystemSource: Ana SusanjSource: ABC Online Federation SquareJodie Misiak May 9, 2003Project Evaluation (1.011)Basic Project ComponentsBuildingsCharacterized by triangular façade panels in a variety of materials Tenants include: -Ian Potter Centre: NGV Australia-ACMI (Australian Centre for the Moving Image) -SBS Radio, Television & Online -Transport Hotel -Melbourne Visitor Centre-Restaurant/Retail EstablishmentsSource: Ana SusanjFederation SquareJodie Misiak May 9, 2003Project Evaluation (1.011)Will This Project Be Sustainable?Not just an environmental perspective. Important to look at all aspects of sustainability. Key Overarching Questions: Can this project have a longer lifespan than the Prince’s Gate development? Is it the right choice for this time and place? Will Federation Square become properly integrated into Melbourne’s existing environment (economic, natural, cultural, social, etc.) ?MIT Civil Engineering – 1.011 Project Evaluation Spring Term 2003Jodie M. Misiak Page 2Federation SquareJodie Misiak May 9, 2003Project Evaluation (1.011)EngagementPublic Undertaking – Not Enough Public Participation? Design Selection: Competition (1996) resulted in 177 entries, five of which were short listed Final Selection panel comprised of 7 “expert” judgesStakeholder Concerns:Aesthetics of plan - Appealing to the majority?Opposition centered on the “shards controversy” Source: Julian Kinma Federation SquareJodie Misiak May 9, 2003Project Evaluation (1.011)PeoplePositives from the Perspective of the Average Melburnian:Significant connection between city and river Contribute to national/international prestige of the city and overall civic prideProvide space for cultural and civic activities (museum, amphitheater, multicultural broadcasting station, indoor/outdoor plaza, etc.) Potential for new jobsFederation SquareJodie Misiak May 9, 2003Project Evaluation (1.011)PeopleNegatives from the Perspective of the Average Melburnian:City with Relatively Low Densities- Is there too much open space? Is there a specific target audience or will it be enjoyed by a mix of people?Increases in traffic congestionLack of aesthetic appeal (“ugly,” “confronting,” etc.) Large amount of money spent on one prestige project. Best use of government funds? Source: Ken Irwin Federation SquareJodie Misiak May 9, 2003Project Evaluation (1.011)EnvironmentConstruction over rail yard: potential similarities to brownfields projects. Attempt to incorporate elements of green design (labyrinth, limited use of certain materials, etc.) Little mention of potential impact on Yarra River (increased runoff, debris from lengthy construction process, etc.). Creation of unpleasant microclimate? (wind tunnel effect) +-Source: Ana Susnanj Source: Mark Roper (ABC Online) Federation SquareJodie Misiak May 9, 2003Project Evaluation (1.011)Institutional Arrangements & GovernanceInstitutional Challenges:Change of government midway through the construction process.Political battles over building sizes, placement, and location of various functions. Impact on Overall Project:- Significant change of design- Reassignment of management duties - Expanded construction timelineSource: John Gollings, ABC OnlineSource: St Paul’s CathedralFederation SquareJodie Misiak May 9, 2003Project Evaluation (1.011)EconomyFinanced by City of Melbourne, State of Victoria, the Commonwealth, and private investors Original Cost Projections: ~ $150 million Australian (Timeline: July 1997 - June 2001)Actual cost: ~ $450 million Australian (Timeline: July 1997 - October 2002) Profitability was not main goal →Was public undertaking designed to enhance the Yarra waterfront and revitalize the CityMIT Civil Engineering – 1.011 Project Evaluation Spring Term 2003Jodie M. Misiak Page 3Federation SquareJodie Misiak May 9, 2003Project Evaluation (1.011)Economy: Financial SustainabilityAnnual FiguresRe ce ipt s 2002/2003 2003/2004 2004/2005 2005/2006 2006/2007Commercial (Net Revenue) Pa r ki ng 849,168 1,474,651 1,518,891 1,564,458 1,611,391Public Space Hire77,333 119,480 123,064 126,756 130,559Merchandise & Events Revenue 800,000 824,000 848,720 874,182 900,407Tenancies3,783,221 8,214,391 8,658,231 8,917,978 9,185,517Less Leasing Expenses -100,000 -103,000 -106,090 -109,273 -112,551Ne t Co m m e r ci a l Re ve n u e 5,409,722 10,529,522 11,042,816 11,374,101 11,715,323MCC Contribution 342,922 515,000 530,450 546,364 562,754Other Revenue 155,348 31,955 39,260 42,142 62,804Ne t Co m m e r ci a l Re ve n u e 5,907,992 11,076,477 11,612,526 11,962,607 12,340,881Payments Corporate Services-1,652,161 -1,695,566 -1,747,705 -1,801,840 -1,875,293Development and Operations -3,753,050 -5,362,547 -5,523,303 -5,689,002 -5,859,672Marketing and Communications-2,077,374 -2,147,725 -2,212,037 -2,278,398 -2,346,750Loan Repayment -1,080,917 -1,853,000 -1,853,000 -1,853,000 -1,853,000Total Operating Costs-8,563,502 -11,058,838 -11,336,045 -11,622,240 -11,934,715Net Surplus/(Deficit) -2,655,510 17,639 276,481 340,367 406,166Source: Federation Square Management, 2002/2003 Corporate and Business PlanFederation SquareJodie Misiak May 9,