Page 1 of 2 MMRP - ALE/ALH Groups - Responses to questions from the - - PDF document

4 Attachments

Dear Panel Coordinator We continue to act for the ALE/ALH Groups with respect to the Melbourne Metro Rail Inquiry/Advisory Committee. Further to our appearance before the Committee today to present submissions on behalf of our clients, we confirm that the GTA Consultants' report provided for the Committee's convenience in Attachment 2 of our submissions was authored by Chris Coath (Director at GTA Consultants), with the assistance of Simon Beardall (Associate) and Joshua Haig (Consultant). Further, we attach a copy of Emily Gerrard's notes from her presentation today for the Committee's reference. Please let us know if you have any queries. Kind regards Emily Emily Johnstone Associate Allens DL + M + 101 Collins Street Melbourne VIC 3000 Australia www.allens.com.au

************************************************************************ Congratulations to our next generation of partners. Watch this video to find out more about these future leaders: www.allens.com.au/nextgeneration ************************************************************************ MMRP - ALE/ALH Groups - Responses to questions from the Committee 4 October 2016 Johnstone, Emily to: melbournemetrorail.inquiry@delwp.vic.gov.au 04/10/2016 08:54 PM Cc: "Gerrard, Emily" Hide Details From: "Johnstone, Emily" To: "melbournemetrorail.inquiry@delwp.vic.gov.au" <melbournemetrorail.inquiry@delwp.vic.gov.au>, Cc: "Gerrard, Emily"

ALE-ALH Group - MMRP - IAC Presentation Notes (written submissions provided 29 Sep 2016).DOCX Follow Allens

Page 1 of 2 5/10/2016 file:///C:/Users/jt0t/AppData/Local/Temp/notes511471/~web9658.htm

ALE/ALH Group – Melbourne Metro Rail Project IAC Presentation Notes (Written submissions provided 29 September 2016)

Introduction

1 Madam Chair, Committee members, thank you for the opportunity to present on the submissions

• f ALE Property Group and the Australian Leisure and Hospitality Group (together the AL

Groups) as the owners and operators of the iconic Young & Jackson Hotel. 2 The ALE Group owns a number of pub properties across Australia and is the registered proprietor

• f the Young & Jackson Hotel, which it leases to ALH Group (who operate the business).

3 The Young & Jackson Hotel is located on the corner of Swanston and Flinders Streets in Melbourne – within Precinct 6 or the CBD South station precinct (for the purposes of the proposed Melbourne Metro Rail Project (the Project)). The Young & Jackson Hotel is also listed in the Victorian Heritage Register (No. HO708), for its significance as one of Melbourne's oldest, most important and successful nineteenth century hotels. 4 I note that the AL Groups' original submission dated 6 July 2016 and the more detailed written submissions circulated last week to the Committee and other parties will be taken as read. Therefore, I propose to take the Committee to the high points of the detailed written submissions.

Key issues for the Young & Jackson Hotel

5 As noted in the AL Groups' written submissions, while generally supportive of the Project and the State Government's plans to modernise transport in Victoria, the AL Groups are concerned about a number of significant issues and impacts arising from the EES for the proposed Project. 6 The key issues and impacts of concern to the AL Groups can be categorised as follows: (i) Access issues: The significant disruption to the AL Groups' business arising from reduced access to the Hotel during construction, including with respect to: (A) altered pedestrian flows; and (B) interference with food and beverage deliveries and waste removal. (ii) Structural integrity and amenity issues: (A) In terms of structural integrity, potential ground movement impacts and the need for adequate measures to protect the Young & Jackson building during construction;

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Allens is an independent partnership operating in alliance with Linklaters LLP.

(B) The need for pre- and post-construction surveys to identify construction-related damage and measures for repair and reinstatement of the building; and (C) With respect to reduced amenity, the impacts of dust, noise and vibration on patrons and the overall aesthetic of the Hotel (with the Hotel being next door to an excavation / construction area). (iii) Operational outcomes (A) Generally, uncertainty in relation to Cocker Alley and the Dangerfield Building and the limited level of detail and assessment of post-construction outcomes and impacts, including in relation to a Swanston Street street level entrance/exit to the CBD South station, and the potential impacts this may have on above and below ground pedestrian flow. 7 Most of these issues can be directly linked to the proximity of the Young & Jackson Hotel to the CBD South Station construction area. 8 Madam Chair, if I can take you and the Committee to Attachment 4 of the written submissions. The figures in Attachment 4 show the proximity of the Hotel to the construction and excavation areas very clearly. 9 The maps contained in Attachment 4 of the written submissions demonstrate the unique circumstances facing the Young & Jackson Hotel during construction. 10 The 'Concept Design – Construction' drawing (the third map within Attachment 4) shows yellow areas in which construction will occur. Overlaying the yellow areas to the north and to the west of

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the Young & Jackson Hotel is a cross-hatched area, showing the proposed location of not only construction, but also excavation works. 11 Once the acquisition and demolition of buildings for the CBD South station are complete (particularly to the immediate north of the Hotel) and construction is underway, the Young & Jackson Hotel will operate in the midst of a construction site for several years, generally isolated from other businesses (except potentially the Dangerfield Building located at 222-224 Flinders Street – to the immediate west of the Hotel – however the proposed use of, and access to, the Dangerfield Building and Cocker Alley is somewhat ambiguous) and with interference to passing pedestrians. 12 The EES acknowledges that the Young & Jackson Hotel will be 'nearly surrounded' by the construction work site for CBD South station and 'its trade would also be significantly impacted' during the construction phase of the Project (see Chapter 11 'Business', Section 11.15.1, page 34

• f the EES).

Access issues

13 The access issues that will impact on the Young & Jackson Hotel relate to both vehicles and pedestrians. 14 Vehicle access: The Young & Jackson Hotel is a large, busy establishment which operates seven days per week and relies heavily on its well established and efficient system for food and beverage deliveries (by both large and small suppliers), as well as waste removal by contractors. 15 Detail in relation to the number and nature of deliveries, as well as waste removal arrangements, are set out in the written submissions provided (as well as the report commissioned by our client from GTA Consultants to better understand the traffic impacts associated with the Project and provided for the Committee's convenience (the GTA Report). 16 To highlight the vehicle access and potential traffic movement issues, the first image on page 1 of Attachment 4 shows the following areas important to current operations at the Hotel – which includes a restaurant: (a) The area where full kegs are delivered to the Flinders Street frontage via the keg chute

• n the Flinders Street side of the building. Empty kegs are returned via the same keg

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chute and removed to contractor vehicles – the yellow box area shows the approximate location of deliveries. (b) Smaller deliveries (including packaged liquor, food and supplies) are generally delivered via the entrance on the western side of Swanston Street. The red area shows the approximate location of deliveries. (c) Waste from the Site is stored in the gated southern section of Cocker Alley off Flinders Street to the west of the Site. There is a longstanding practice of the Young & Jackson and Dangerfield businesses locking the gate to Cocker Alley when not in use for public and business operator safety reasons. 17 It is clear to see the impacts on the Hotel's operations when the first image in Attachment 4 is reviewed next to the subsequent drawings, showing the Project Land and the Concept Design for

• construction. These impacts are discussed further in the written submissions provided (see for

example paragraphs 15-18 of the written submissions) and the GTA Report. 18 Pedestrians/Access: The Young & Jackson Hotel relies heavily on its central location, passing pedestrian traffic and visitors to the Melbourne CBD. The maintenance of footpath accessibility and how continuous access to the Hotel will be provided are two key issues of concern for the AL Groups, discussed in their written submissions. 19 To minimise disruption to operations, the AL Groups submit that the Hotel's existing service

• perations must be maintained to the greatest extent possible.

20 The AL Groups are also concerned about the impacts on their business arising from permanently altered pedestrian flows around the Young & Jackson Hotel after construction is complete, including as a result of the proposed underground pedestrian link. 21 The AL Groups further submit that the EES and most recent draft Environmental Protection Requirements (EPRs) (EPR IAC Revision 3, dated 26 September 2016) do not adequately address traffic, transport and business impact management, and are high level and lacking the specificity required to enable key affected stakeholders to assess how pedestrian and vehicle access impacts will be measured and mitigated. A number of amendments to the EPRs are submitted by the AL Groups to address these issues.

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Structural integrity and amenity issues

22 With respect to structural integrity, the EES identifies the potential for ground movement associated with the significant excavation and construction work abutting the northern side of the Hotel for the CBD South station cavern and entrances.1 23 Preserving the structural integrity of the Hotel buildings and basements is a priority for the AL Groups. 24 In this regard, the AL Groups endorse the submissions made by other key affected stakeholders with respect to building damage, including those made on behalf of St Paul's Cathedral. 25 The AL Groups further submit that the MMRA, or the appointed contractor, should commission independent pre-construction dilapidation surveys of sensitive buildings, such as the Young & Jackson Hotel. 26 With respect to amenity (noise, vibration and dust) it is clear, noting the proximity of the Young & Jackson Hotel to proposed construction and excavation areas, that the Hotel will experience these impacts. 27 This is acknowledged in the EES in the context of high-level information provided about potential mitigation measures for businesses that may experience reduced patronage due to a perception by potential visitors that the area will experience noise, dust and vibration levels that could lead to discomfort. 28 The EES notes that Young & Jackson Hotel will be within a 7m buffer area with respect to noise impacts (Technical Appendix I – Noise and Vibration prepared by AJM at page 216). However, it is noted that the "Young & Jackson" is not mentioned in either of the Air Quality Chapter of the EES (Chapter 12) or the related technical appendix (Appendix H 'Air Quality Impact Assessment') which assess dust/air quality impacts (this is despite express references to the Melbourne Town Hall, Westin Hotel, St Paul's Cathedral and nearby office blocks – and despite the Young & Jackson Hotel being located immediately adjacent to a proposed demolition, construction and excavation area).

1 Environment Effects Statement, Chapter 19 'Ground Movement', Section 19.14, page 34.

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29 The AL Groups are also very concerned about the aesthetic impacts of construction and the creation of a perception that the Young & Jackson Hotel is closed, unsafe and/or unattractive as a venue for the duration of construction. 30 The AL Groups submit that measures are needed to mitigate these potential perceptions, such as lighting and design of hoardings. Further, the AL Groups support comments made by other submitters, in particular RMIT and on behalf of St Paul's Cathedral, regarding the need for meaningful and ongoing consultation with the MMRA, or its appointed contractor, before and during construction, to ensure that amenity impacts are adequately mitigated. 31 These issues are discussed in the written submissions.

Operational outcomes of concern

32 The AL Groups are concerned about the future use of the Dangerfield Building at 222-224 Flinders Street (immediately to the west of the Young & Jackson Hotel), as well as the future of Cocker Alley. 33 The amenity, access and other impacts discussed in the AL Groups' written submissions will also be influenced by the use or acquisition of the Dangerfield Building. 34 The image on page 1 of Attachment 4 shows the Dangerfield Building (through which the southern section of Cocker Alley runs). The registered proprietor of Cocker Alley is the City of Melbourne. 35 The AL Groups understand that the MMRA intends to acquire the wall on the western side of Cocker Alley but not the Dangerfield Building itself on the eastern side of the alley. 36 Further, the EES is somewhat ambiguous about the ultimate use of the Dangerfield Building and Cocker Alley. Maps included in the EES indicate that the Dangerfield Building will not form part of the 'Project Land' (with the potential exception of one wall on the western side – see the Project Land map in Attachment 4). Yet references in the EES and a Technical Note indicate that Cocker Alley and/or 222-224 Flinders Street (or part thereof) may become part of the CBD South station entrance. 37 For example, Attachment A to Technical Note 33 ('Historical Cultural Heritage') outlines proposed heritage mitigation measures against the draft EPRs. At page 10 of Attachment A, specific

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reference is made to 'providing access through the existing C-graded former warehouse at 222- 224 Flinders Street' in relation to works associated with the new CBD South station entry. 38 Further, Appendix M to the EES ('Urban Design Strategy') refers to the 'Cocker Alley sub- precinct', noting at page 69 that 'Cocker Alley will be connected to and through the acquired land between Flinders Street, Swanston Street, Flinders Lane and the station entry'. 39 The AL Groups submit that the incomplete acquisition of land occupied by the Dangerfield Building and associated walls, creates confusion and reduces the potential for consistent development outcomes. Further, the AL Groups submit that greater clarity is needed in relation to the use or acquisition of the Dangerfield Building. As mentioned in relation to access issues earlier, Cocker Alley is integral to waste storage and removal from the Young & Jackson Hotel (and other retailers in the area). 40 A further operational uncertainty relates to the station entrances on Swanston Street. The EES and related documents published by the MMRA contain different descriptions of the station entrances for CBD South station. 41 For example, Chapter 6 of the EES ('Project Description', page 6-4) refers to three entrances/exits: one entrance at City Square on Collins Street, one on Flinders Street opposite to and with an underground connection to Flinders Street (at the location at the current Port Phillip Arcade), and another entrance at Federation Square. By contrast, Chapter 5 of the EES ('Project Development', page 5-24 and 5-26) suggests a potential station entrance on the western side of Swanston Street (at the Wales Building and/or further south (southern end of Swanston Street)). 42 The location of a Swanston Street entry/exit to the station (at street level) relates to the AL Group's concerns regarding the inadequate assessment and modelling of post-construction pedestrian movement. The AL Groups look forward to the release by the MMRA of further details

• f the number and location of proposed station entrances and exits for CBD South station.

43 The AL Groups submit that further designs should consider the need for an entrance/exit on the western side of Swanston Street between Flinders Street and Flinders Lane, to maintain pedestrian flow in this area, particularly due to the abandonment of the proposed entrance/exit to the station further north on Swanston Street at 65 and 67-73 Swanston St (as per Technical Note 14).

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Conclusion

44 The key issues and impacts discussed in this summary presentation are set out in detail in the written submissions and are likely to have a significant impact on the Young & Jackson Hotel's

• perations and business, particularly during construction. Our clients are very concerned about

these impacts and how they can be best managed. 45 As the impacts on the AL Groups' business will not be realised until after construction has commenced, the AL Group's written submissions and proposed amendments to the EPRs focus

• n creating reasonable, specific and constructive measures to better mitigate foreseeable

impacts on the Young & Jackson Hotel (and any other businesses in similar circumstances). 46 The updated draft Business Support Guidelines for Construction, tabled at the Committee hearing yesterday (on 3 October 2016), remain high level and do not reflect measures to mitigate key impacts on businesses like the Young & Jackson Hotel, which will continue to operate almost surrounded by a construction and excavation site. The AL Groups' written submissions, which set

• ut further measures required to address business impacts, including with respect to the

Business Support Guidelines for Construction in Technical Note 66, remain relevant. 47 Finally, as set out in their written submissions, the AL Groups share the concerns of other submitters regarding the need for the proposed Incorporated Document for the Project to implement the final EPRs as Project-level controls to manage, avoid and mitigate impacts during the design, construction and operation of the Project. 48 Noting that the planning documents and EPRs are the subject of further discussion with the Committee and other parties on Thursday morning (and that the AL Groups' requested amendments are set out in the written submissions), it is not proposed that these details be discussed in this presentation. [End]

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