Barrier Daily Truth

Coles takes control

Tuesday, 14th February, 2012

 By Erica Visser

Coles has bought the city’s new shopping centre site from project developer, Leasecorp.

The company plans to start work at the Gossan Street site in the middle of the year and to have the centre opened by mid 2013.

The announcement comes after years of setbacks for the project. Some people had begun to doubt that it would go ahead at all.

Leasecorp’s director, Steve Palyga, said that the contracts for the multi-million dollar site were exchanged “about a week ago”.

“I think it’s a great plus for Broken Hill. Coles is owned by Wesfarmers, a top 10 Australian listed company and for them to want to come into Broken Hill in a development role shows a great confidence in the city,” Mr Palyga said.

Last month Mr Palyga told the BDT that work had been put on hold while Leasecorp negotiated with City Council to gain a construction licence.

Leasecorp has not yet obtained the licence but will remain responsible for doing so before building work can begin.

About 165 construction jobs are expected to become available in building the centre and Coles said it will invest more than $35 million in the development which would include a 4,200 square metre Coles supermarket.

The “market-style” store would take on workers from Coles’ Patton Street store, which will close when the new centre opens.

Coles said that the new store will employ 80 additional staff.

“I am pleased we are able to give the city of Broken Hill residents certainty that this development will now proceed,” said the company’s Director of Property, Greg Chubb.

“I’m confident it will prove a valued asset to the community.”

Coles also said the plaza will include a 3,300 square metre Target store, which will replace Centro Westside’s ‘Target Country’.

The discount shopping chain’s Regional Manager, Peter Ryall, said that Target, which is also owned by Wesfarmers, was looking forward to providing locals with “its range of quality, stylish and value for money merchandise”. 

A spokesman for Coles said that the company could not say what other stores would be in the complex. 

Mr Palyga said he was proud that Leasecorp had got the project started.

“In these times you want all the economic help you can get and you also want as much as possible of the shopping dollars of Broken Hill residents kept in town to maximise the benefits to local people, including more jobs for local youth,” he said.

“This project really ticks all the boxes for Broken Hill people; more competition on prices, more retail choice, more building activity and more jobs.”