Development Opportunity

Information Memorandum - October 2018

LINDFIELDVILLAGE HUB

KU-RING-GAI COUNCIL

LINDFIELDVILLAGE HUB

KU-RING-GAI COUNCIL

Pacific H

ighway

CHATSWOOD

NORTH SYDNEY SYDNEY CBD

BARANGAROO

LINDFIELD STATION

Note: All markings and lot boundaries indicative only and subject to survey

Approx. 1.34 hectares

LANE COVE NATIONAL PARK

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Approx. 1.34 hectares

MAYORAL MESSAGE

For well over a century, Ku-ring-gai Council has been at the forefront of delivering essential community infrastructure, while at the same time protecting Ku-ring-gai’s heritage and unique bushland feel.

Our extensive community consultation and research has revealed a desire among people who live, work and visit Ku-ring-gai for facilities, housing and public spaces that meet the changing needs of our population.

Over the past decade, Council has been strategically identifying and purchasing land around Ku-ring-gai’s train stations and highway corridor to create local centres that can support the growth in our population. By focusing development in this way, we can continue to protect our natural environment and heritage areas.

We are now embarking on a once in a generation program to renew and reinvigorate our local centres, in response to the community demand for improved facilities and public amenity, and the first is Lindfield.

In consultation with the community, we set the vision for 1.3 hectares of Council-owned land in the Lindfield centre where the Hub will be located.

What we see is a town centre that offers a mix of uses with plenty of green open space, more parking spaces and other community facilities such as a new library and community centre. Importantly, our aim is to deliver these new facilities at no cost to ratepayers and with the security of in-built operational funding for the future.

One key benefit of a mixed-use precinct, as the Lindfield Village Hub is proposed, is that with more people living centrally, they will walk to a café or to do the shopping, go to a class at the library or just spend time socialising.

Furthermore, as technological developments around learning and retail, such as augmented reality, start to fundamentally change the way people live, shop and work, the Lindfield Village Hub has the potential to be at the cutting edge of urban renewal.

Lindfield is one of Sydney’s most desirable areas - within easy reach of major employment hubs, just 25 minutes to central Sydney and adjacent to the stunning waterways and natural recreation areas of the Garigal and Ku-ring-gai National Parks. Its schools are renowned, it is known and loved for its active outdoor lifestyle and thriving sports teams, and the area’s cultural and community groups are incredibly popular.

Like much of Sydney, this is an area undergoing demographic change, yet it boasts strong social cohesion and consistently rates highly on safety and liveability.

We are now seeking expressions of interest from potential partners to deliver the Lindfield Village Hub, with its much needed community services and facilities. We envisage the Hub will deliver more parking, new homes, a new local dining and shopping precinct and other community facilities.

All proposals received will be assessed against strict evaluation criteria to determine the best outcome for the community and the appropriate mix of community, retail, commercial and residential uses for this significant site.

I hope you will find this project as exciting as we do. This is a once in a lifetime opportunity to partner with the Council and our community to create something that will be of lasting value for this generation and those to come.

Jennifer AndersonMayor, Ku-ring-gai Council

4Note: 1 All development subject to approval of the relevant development consent authority 2 Unless otherwise amended via addendum to the Invitation of Expressions of Interest document. * Approximate

THE PROJECT OPPORTUNITY

Situated on 1.34 hectares* of Council owned land, only 150 metres* from Lindfield Train Station and on the edge of the Lindfield town centre, the Lindfield Village Hub Project is one of the most significant transit-oriented development opportunities in Sydney’s affluent northern suburbs. Ku-ring-gai Council (Council) is inviting Expressions of Interest (EOI) from suitably qualified and experienced parties or consortia (Respondents) who are interested in the development of the Lindfield Village Hub Project. Through this project, the Lindfield Village Hub Site will be transformed into an attractive and dynamic urban village and become an important factor in stimulating the local economy.

Key attributes of the project opportunity include:

• 1.34 hectares* of consolidated land holdings in close proximity to Lindfield Train Station

• opportunity to work with Council to deliver an exemplary integrated mixed-use project that sets new benchmarks for urban renewal development in Sydney 1

• structured project delivery terms, including the delivery of new community facilities and partner ownership of the long term leasehold interest in proposed retail-commercial uses

• scope for innovation to optimise the project concept plan, and design of community facilities to achieve project objectives 1

• opportunity to establish high-quality public domain and retail amenity which acts as an attractive and dynamic urban village and a focal point for the local community 1

On completion, Council anticipates the Project will comprise the following key elements:

Project Component Key Attributes

1. Residential Component1

• Residential apartment (and associated car parking) development opportunity

• Freehold tenure to transfer to residential apartment owners on completion

2. Retail-commercial Component1

• Retail and commercial uses to be delivered by Developer to secure a 99-year leasehold interest

• Council to retain freehold ownership of land and improvements

3. Community Component1

• New library (1,200sqm), community centre (1,250sqm), child care centre (550sqm), public domain (including plaza, park and other open space areas totalling 3,900sqm), lane / road and car parking within the site boundary

• Council to retain freehold ownership of land and improvements

• Access to car parking to be provided by Council for retail-commercial uses

For further details, refer to Tenderlink - www.tenderlink.com/kmc (reference number EOI28-2018)

EOI must be submitted via Tenderlink on or before 2:00pm (AEDT), Friday 2nd November 20182

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Council’s vision for the project is: “To be a vibrant mixed-use precinct that will be a meeting point for the local community. The project will demonstrate Council’s leadership in design excellence, innovation and environmental sustainability.”

PROJECT VISION AND OBJECTIVES

PROJECT OBJECTIVES

The Project Objectives have been developed by Council over time and in consultation with the local community and other key stakeholders. The Objectives include:

Community

a) The Hub is a desirable and safe place to live and visit

b) It has aesthetically pleasing buildings the community can be proud of

c) The community services are accessible for all groups

d) There are engaging local activities, amenities and experiences

e) These are places, communities and events that bring diverse groups together

f) The community spaces are adaptable to future social and technology change.

Property & Infrastructure

a) Rejuvenates the Lindfield local centre

b) Delivers a new library, community centre and child care centre

c) Includes new roads and vehicular parking, pedestrian and bicycle facilities

d) Meets the community’s need for new residential accommodation

e) Creates a new park and public plaza.

Financial and Economic

a) Delivers the capital to build new community facilities

b) Includes incoming revenue to fund the ongoing cost of staffing, operating and maintaining the community buildings and services

c) Creates new jobs and population in Lindfield to sustain the local economy

d) Attracts investment to Lindfield and Ku-ring-gai

e) Council retains ultimate ownership of land and new buildings for future generations.

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Pacific H

igh

way

Bent Street

Beaconsfield Parade

LINDFIELD TOWN CENTRE

Approx. 1.34 hectares

The Lindfield Village Hub is one of the largest urban renewal projects Council has undertaken in its 100 year history.

Note: All markings and lot boundaries indicative only and subject to survey

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THE SITE

An overview of key Site details are presented below.

Table 1. Summary Site Details

Location Lindfield, NSW

LGA Ku-ring-gai Council

Addresses • 1b Beaconsfield Parade, Lindfield NSW 2070

• 2-12 Bent Street, Lindfield NSW 2070

• Lots 1-16 / DP 1099330, Drovers Way, Lindfield NSW 2070

• Woodford Lane, Lindfield NSW 2070

Title Details • Lot 1 / DP 929131

• Lot 5 / DP 666521

• Lot 1 / DP 980108

• Lot 1 / DP 724823

• Lot 3 / DP 667420

• Lot 10 / DP 3498

• Lot 9 / DP 1090427

• Lot A / DP 445535

• Lots 1-16 / DP 1099330

Site Area 13,400sqm* (subject to survey)

Contour The Site slopes in a general west / north west direction from a contour of ~97m at Woodford Lane to ~83.5m at 12 Bent Street

Current Use and Description

• The Site is currently used primarily for an on-grade Council car park servicing the nearby shops. It includes a Council owned laneway, Woodford Lane, that services the rear of shops facing the Pacific Highway

• Two residential dwellings are located on the northern boundary fronting Bent Street.

Note: 1 All development subject to approval of the relevant development consent authority * Approximate

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ABOUT KU-RING-GAI

Situated just 16 kilometres from the CBD on Sydney’s leafy North Shore, Ku-ring-gai is known for its unique natural and urban environments. The Ku-ring-gai Council Local Government Area (LGA) stretches from near the Roseville cinemas in the south to Wahroonga Park in the north, and from St Ives Showground in the east to Lane Cove National Park in the west.Ku-ring-gai’s local centres include Lindfield, Turramurra, St Ives, Gordon, Pymble and Roseville.

Council is in the process of implementing a considered program of urban renewal and transformation projects within each local centre as part of its award winning ‘Activate Ku-ring-gai’ program. Revitalising these centres has been identified as a long-term goal in the Council’s Community Strategic Plan.

The Lindfield Village Hub is the first project to be released to market as part of this program. Further details regarding Ku-ring-gai Council, and the Activate Ku-ring-gai program, can be located on Council’s website at www.kmc.nsw.gov.au

Table 2. Ku-ring-gai LGA Overview

LGA Population Approx. 124,800 persons1

Major Centres and Suburbs

• Gordon• Lindfield• Killara• Turramurra

• Pymble• St Ives• Wahroonga• Roseville

Highlights • The Ku-ring-gai LGA is ranked as one of the top-20 LGAs in Australia in terms of median equivalised total household income (weekly).2

• 46.0% of households earned an income of $2,500 or more per week in 2016 compared to 28.3% for Greater Sydney.2

• Ku-ring-gai is bound by Garigal National Park in the east, Lane Cove National Park in the west and Ku-ring-gai Chase National Park in the north.3

• Ku-ring-gai is bursting with stunning native plants. High rainfall and rich clay soils support over 800 plant species.3

• The Census usual resident population of Ku-ring-gai Council area in 2016 were accommodated in 42,512 dwellings with an average household size of 2.87.2

• The predominate dwelling typology is separate houses representing 72.4% of all dwellings in the LGA. Only 27.3% of the dwellings were medium or high density as compared to 44% in Greater Sydney.2

Table Notes: 1 ABS Estimated Resident Population 2017 2 Source: Australian Bureau of Statistics (ABS) Census of Population and Housing 2016 3 source: Ku-ring-gai Council

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Location Photos - Ku-ring-gai LGASource: Council

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LOCATION

The Site is located within the suburb of Lindfield on Sydney’s upper north shore, approximately 11 kilometres north east of the Sydney CBD. The Site is bounded by Bent Street to the north, Lindfield town centre strip retail backing Woodford Lane to the east, Beaconsfield Parade to the south and existing low density residential to the west.Key locational attributes of the Site supporting the Project value are summarised below.

Table 3. Key Locational Attributes

Employment Hubs

• The Site is less than 200 metres from Lindfield Railway Station which provides direct heavy rail links to major employment hubs, including Chatswood, St Leonards, North Sydney, the Sydney CBD and Macquarie Park (via Chatswood)

• From Chatswood, passengers will soon be able to connect to the new Sydney Metro network (under construction) with new stations planned for Crows Nest, Victoria Cross, Barangaroo, Martin Place, Pitt Street, Central Station, Waterloo and Sydenham

Shopping and Recreation

• Amenity includes the retail offering of both the Lindfield town centre and nearby Chatswood CBD

• The adjacent Lindfield Town Centre currently accommodates a broad strip retail offering fronting the Pacific Highway, including several restaurants, cafes, specialty retail shops, real estate agencies, bank branches, pharmacies and a post office. In addition, the town centre is home to a number of health and professional service based organisations

• Harris Farm, IGA and Coles supermarkets are currently located in Lindfield

• The Chatswood CBD accommodates the nearest major regional retail offering anchored by the Westfield Chatswood and Chatswood Chase retail centres. The nearest super regional retail centre is the Macquarie Centre at Macquarie Park

• Nearby recreational amenity includes the Lane Cove and Garigal National Parks

Education • The Site is less than 1 kilometre from several primary schools including Lindfield Public, Holy Family Catholic Primary, Highfields Preparatory and Kindergarten, Cromehurst Primary and Newington College Preparatory.

• The Site falls on the boarder of catchment for Chatswood High School and Killara High School. Further, the new 'Lindfield Learning Village' is being delivered on the former UTS Ku-ring-gai site accommodating ~350 students K-12 from Term 1 2019 with plans to expand to accommodate over 2,000 students into the future

• Ku-ring-gai is home to several prestigious private secondary schools, including Roseville College (Roseville), Ravenswood Girls (Gordon), Pymble Ladies College (Pymble), Knox Grammar (Wahroonga), and Abbotsleigh High School (Wahroonga), many of which are accessible via the northern rail line from Lindfield Station

• Other private secondary schools are located in nearby Chatswood, including St Pius X College and Mercy Catholic College

• Macquarie University is approximately a 15-minute drive east of the Site and is also accessible by train (via Chatswood Station).

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SYDNEY

MACQUARIE PARK

CHATSWOOD

NORTH SYDNEY

Note: All markings and lot boundaries indicative only, map not to scale.

Gordon

Killara

Lindfield

Roseville

Artarmon

ST LEONARDS

Wollstonecraft

Crows Nest

Barangaroo

~2.5kms

~5kms

~10kms

~7.5kms

Figure 1. Location Map - Regional Context

Lane Cove National Park

Chatswood Golf Club

Map KeyIndicative Property LocationRail Station

Major Centre / Employment Hub

Figure 1. Property Location - Regional Context

Railway Line (existing)Sydney Metro (Under Construction)

Sydney Metro Station (Under Construction)

Recreational AmenityPrimary SchoolSecondary School

Holy Family Primary

Highfields Preparatory

Roseville College

Mercy Catholic College

St Pius X College

Newington College K-6

Ravenswood

University

Macquarie University

Lindfield Public

Cromehurst School

Proposed 'Lindfield Learning Village"

Gordon Golf Club

Killara Golf Club

Garigal National Park

Killara High School

Chatswood High School

Roseville Golf Club

LINDFIELDVILLAGE HUB

KU-RING-GAI COUNCIL

Pacific Highway

Note: All markings and lot boundaries indicative only and subject to survey

Bent Street

LINDFIELDVILLAGE HUB

KU-RING-GAI COUNCIL

Pacific Highway

Bent Street

Beaconsfield Parade

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DEVELOPMENT Opportunity

Photo: Dunstan Grove, Lindfield Source: ArchitectusArchitects: ArchitectusPhotographer: Brett Boardman

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DEVELOPMENT Opportunity

PLANNING STATUS

Council is currently reviewing the Masterplan densities and heights to ensure that the development achieves not only the aesthetic and functional needs, but also the financial objectives in delivering a sustainable long-term asset for Council.1

Table 4. Local Environmental Plan Primary Planning Matters (Current Planning Framework)2

LEP Instrument Ku-ring-gai Local Environmental Plan (Local Centres) 2012

Land Zoning • B2 Local Centre under Ku-ring-gai Local Environmental Plan (Local Centres) 2012 (Part Site)

• R4 High Density Residential under Ku-ring-gai Local Environmental Plan (Local Centres) 2012 (Part Site)

Maximum FSR • Q - 1.3:1 under Ku-ring-gai Local Environmental Plan (Local Centres) 2012 • ‘Area 5’ designation under Ku-ring-gai Local Environmental Plan (Local

Centres) 2012 (Part Site)

Maximum Height of Building

• T - 26.5m (Part Site)• P - 17.5m (Part Site)

Indicative Total Site Development Capacity

~17,425sqm GFA (Subject to Council Approval)

Minimum Lot Size Part of the Site in the North West corner is impacted by the 1,200sqm Minimum Lot Size Overlay, remainder of the Site is not mapped

Heritage The Site is not impacted by the heritage overlay

Biodiversity The Site is partially impacted by the Biodiversity overlay

Note: 1 As noted in the Ku-ring-gai Ordinary Council Meeting of the 26 June 2018 2 The information provided in this Information Memorandum is provided for general context only on a non-reliance basis. Accordingly, Proponents should make their own enquiries and seek their own advice with regard to planning related matters that may impact the Site or the Project.

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LINDFIELD MARKET HIGHLIGHTS

Lindfield has been the focus of urban renewal development in recent years with land owners and developers seeking to capitalise on strong residential value growth. However, development sites of significant scale in this largely established high-value suburb are rare which has constrained unit supply.The median residential house price in the suburb of Lindfield reached $2.7 million for the year to June 2018, representing an 11.3% per annum 5-year compound growth rate since 20141. Similarly, the median residential unit prices has exhibited compound average value growth of ~10.0% per annum since 2014 to reach $1.0 million for the year to 30 June 20181.

Table 5. Lindfield Market Highlights2

Suburb Population 10,491 persons* (2017) a

Annualised Median Household Income

$132,800 per annum* (2016) b,c

Location Profile and Demographics

• Lindfield is home to an affluent population with 2016 median weekly household income of $2,554 per week* (compared to Greater Sydney $1,745 per week*) and more than 25% of households benefitting from a weekly income exceeding $4,000 per week*.b

• 33.0% of employed persons travelled to work by Train relative to 16.3%* in the Greater Sydney Area, and 26.0%* within the Ku-ring-gai LGA.b

• The predominate household types in Lindfield are couples with children (~45.0%*), couples without children (22.4%*) and lone persons (18.0%*)b

• In Lindfield, while the predominate dwelling type remains separate houses (57.7%), 41.8%* of dwellings were medium or high density in 2016, compared to 27.3%* in Ku-ring-gai Council area.b

Lindfield Residential Market

Residential Houses Residential Units

Median Valued Median Weekly Rentd Median Valued Median Weekly Rentd

FY 2018 $2,702,000 $1,190 $1,023,000 $710

FY 2017 $2,645,000 $1,130 $962,000 $700

FY 2016 $2,533,000 $1,290 $856,000 $670

FY 2015 $2,180,000 $1,180 $765,000 $580

FY 2014 $1,759,000 $1,030 $699,000 $610

Table Notes: * Approximate a ABS Estimated Resident Population 2017 b Source: Australian Bureau of Statistics (ABS) Census of Population and Housing 2016 c Based upon median weekly income of $2,554 multiplied by an indicative 52 weeks per annum d Source: CoreLogic (excludes new sales off the plan). FY - Financial Year

Note: 1Source: CoreLogic (excludes new sales off the plan). 2 The information provided in this Information Memorandum is provided for general context only on a non-reliance basis. Accordingly, Proponents should make their own enquiries and seek their own advice with regard to the Site and the Project opportunity.

17Location Photo - Lindfield Train StationSource: Council

$2.7million

million2016 EMPLOYED PERSONS TRAVEL TO WORK BY TRAIN*

33%* Approximate, refer Table 5 Notes.

$132k

$1.02

45%10,4912017 SUBURB POPULATION*

LINDFIELD MEDIAN HOUSE PRICE FY 2018*

LINDFIELD MEDIAN UNIT PRICE FY 2018*

2016 ANNUALISED MEDIAN HOUSEHOLD INCOME*

COUPLES WITH CHILDREN HOUSEHOLD TYPE 2016*

FURTHER DETAILS

Council is inviting EOI from suitably qualified and experienced Respondents who are interested in developing the Lindfield Village Hub Project.

To obtain further information relating to this opportunity, intended Respondents are invited to:

1. Register their details and pay the registration fee through Tenderlink (https://www.tenderlink.com/kmc) (reference number EOI28-2018)

2. Submit an appropriately executed Confidentiality Deed Poll to CBRE in electronic and hard copy form as follows:

a. Electronic copy in scanned PDF format via email to LVH@cbre.com.au and

b. Original hard copy to: Colin Stewart, CBRE Level 21, 363 George Street Sydney NSW 2000

Further details relating to the EOI process will be provided to Respondents who have completed all registration requirements, including by executing and returning the Confidentiality Deed Poll to the satisfaction of Council and by paying the registration fee.

Expressions of interest must be submitted via Tenderlink on or before 2:00pm (AEDT), Friday 2nd November 20181

Note: 1 unless otherwise amended via addendum to the Invitation for Expression of Interest document.

Location Photo - Northern view from the Site

DISCLAIMER© 2018 This document was prepared by CBRE Pty Ltd and the information in this document is general in nature and is a guide only. Nothing in this document is intended to constitute advice (including advice about financial products or services) and, before acting, interested parties should make their own enquiries and seek independent advice about all of the information in this document as it does not take into account your individual circumstances. This document does not, and does not purport to, contain all the information that interested parties or their advisors might require to decide to submit an expression of interest, Proposal or to participate in any development of the project. CBRE does not warrant the accuracy of any information in this document, some of which may have been obtained from other people, and which has not been confirmed by CBRE. This document does not constitute an offer or an invitation to make an offer in relation to any property or development of the project.

Figures quoted are approximate only, are subject to change, and do not take account of the possible impact of GST. The information must not be relied upon to make any investment decisions. Subject to any statutory limitation on its ability to do so, CBRE disclaims liability under any cause of action whatsoever, including negligence, for any loss arising from use of or reliance upon this document, your failure to verify the information or seek appropriate advice. Where information in this document relates to the sale, purchase or lease of property in a particular jurisdiction, it is provided on behalf of the member of the CBRE group which is a licensed real estate agent in that jurisdiction.