Festival Tower Two: Adelaide's First Skyscraper Project Commences

Major construction has officially begun on Festival Tower Two in Adelaide, a significant urban development project valued at $800 million. This ambitious undertaking will culminate in a 38-storey, 160-meter tall building, poised to become Adelaide's first structure widely recognized as a skyscraper.

Located within the prominent Festival Plaza, nestled between Parliament House and the Festival Theatre, the tower is projected to generate over 1,300 construction jobs and accommodate up to 5,000 workers upon its completion. It will stand adjacent to Festival Tower One, which opened in 2024, and directly above the Festival Car Park, completed in 2021.

Construction Timeline and Airbridge Decision

The completion of Festival Tower Two is now anticipated by the end of 2028, marking a year's delay from initial expectations. Planning Minister Nick Champion attributed this extended timeline to the necessity of meeting specific planning system requirements.

A previously considered proposal for an airbridge, intended to connect the new tower to the state parliament, has been officially canceled.

Premier Peter Malinauskas confirmed the decision, citing cost and heritage implications, deeming it "not a good idea." The airbridge was envisioned to provide additional office space for Members of Parliament or their staff. Premier Malinauskas also clarified that the state government's lease agreement with Walker Corporation for the land is generating significantly more revenue than the previously reported $1 per year.

Political and Community Reactions

The Festival Tower Two project has elicited a spectrum of reactions from various stakeholders. Robert Farnan, convenor of the Save Festival Plaza Alliance, voiced strong concerns, asserting the site is inappropriate and would cast Parliament House in a "permanent shadow," suggesting it would make Adelaide "a bit of a national joke." Greens MP Robert Simms echoed this sentiment, labeling the two towers as "a total waste of this prime real estate" and a "symbol of the power of developers."

Conversely, Opposition Leader Ashton Hurn expressed support for the development, stating it would be "good for the skyline."

Related Development: Aboriginal Arts Centre

In a separate but related announcement, the Premier also addressed the status of the Tarrkarri Aboriginal arts and cultural centre project. Originally planned for the old Royal Adelaide Hospital site, the project was halted due to a significant cost blowout. The government is currently actively seeking additional funding sources from outside the state government to proceed with its development. Opposition Leader Hurn described the current site as a "shameful dust bowl."