Planning and Environment Act 1987

Panel Report

Greater Geelong Planning Scheme

Amendment C297 and Planning Permit 765/2013

Murradoc Road, Drysdale

22 December 2014

Planning and Environment Act 1987

Panel Report pursuant to Section 25 of the Act

Greater Geelong Planning Scheme Amendment C297 and Planning Permit 765/2013

Murradoc Road, Drysdale

Kathryn Mitchell, Chair William O’Neil, Member

Greater Geelong Planning Scheme Amendment C297 and Planning Permit 765/2013

Panel Report | 22 December 2014

Contents

Page

Executive Summary i

1 Introduction 1

2 The Proposal 3

2.1 The Subject Site and Surrounds 3

2.2 Background to the Proposal 6

2.3 Issues dealt with in this Report 6

3 Strategic Planning Context 7

3.1 Policy Framework 7

3.2 Other Planning Strategies 12

3.3 Zones and Overlays 15

3.4 Strategic Assessment 15

4 Impact on the Jetty Road NAC 18

4.1 The Issue 18

4.2 Evidence and Submissions 18

4.3 Discussion 24

4.4 Conclusions 24

5 Traffic and Urban Design Issues 26

5.1 The Issue 26

5.2 Evidence and Submissions 26

5.3 Discussion 28

5.4 Conclusions 28

6 Planning Permit Conditions 29

6.1 The Issue 29

6.2 Evidence and Submissions 29

6.3 Discussion 30

6.4 Conclusions and Recommendations 30

Appendix A List of Submitters

Appendix B Hearing Document List

Appendix C Panel Recommended Version of Planning Permit No. 765/2013

List of Tables

Page

Table 1 Parties to the Panel Hearing 2

List of Figures

Page

Figure 1: Existing Zoning Plan 1

Figure 2: Aerial Photo of Subject Site and Surrounds 3

Figure 3: Site Context 4

Figure 4: Bellarine Peninsula Context Plan 5

Figure 5: Clause 21.14-10 – Drysdale Clifton Springs Structure Plan Map 10

Figure 6: Drysdale Urban Design Framework 14

Amendment Summary

The Amendment and Planning Permit / Greater Geelong Planning Scheme Amendment C297 and Planning Permit 765/2013
Common Name / Murradoc Road, Drysdale
Subject Site / Land at 24-32 Murradoc Road, Drysdale
Purpose of Amendment / Rezone the land from Commercial 2 Zone to Commercial 1 Zone
Planning Permit / Seek approval for:
·  Buildings and works to construct a supermarket
·  The display of identification signage
·  Reduction in car parking requirements
·  Alteration of access to a road in Road Zone Category 1
·  Create a carriageway easement.
The Proponent / Coles Group Property Developments Ltd
Planning Authority / City of Greater Geelong
Authorisation / AO2808 on 23 May 2014
Exhibition / 3 July to 4 August 2014

Panel Process

The Panel / Kathryn Mitchell, Chair and William O’Neil, Member
Directions Hearing / 2 October 2014 at Planning Panels Victoria
Panel Hearing / 25 November 2014 at Geelong, and 26, 27 and 28 November 2014 at Planning Panels Victoria
Site Inspections / Unaccompanied on 24 November 2014
Appearances / See Table 1
Submissions / 20 Submissions, as listed in Appendix A
Date of this Report / 22 December 2014

Greater Geelong Planning Scheme Amendment C297 and Planning Permit 765/2013

Panel Report | 22 December 2014

Executive Summary

Amendment C297 to the Greater Geelong Planning Scheme proposes to rezone land at 32 Murradoc Road, Drysdale from the Commercial 2 Zone to the Commercial 1 Zone. The Amendment is accompanied by Planning Permit Application 765/2013. The rezoning and Permit Application seek to facilitate the development of a 3,892 square metre Coles supermarket in the Drysdale-Clifton Springs Town Centre.

There is broad community support for the proposed development, reflected in the 16 supporting submissions received in response to the exhibition of the combined Amendment and Planning Permit Application. Key benefits of the development cited in submissions included that there will be improved retail competition given that the existing retail offer is dominated by Woolworths, it will strengthen the role and function of the Drysdale Town Centre, and it will create additional short and long term employment.

Four opposing submissions were lodged, including two submissions by local traders in the Drysdale Town Centre that expressed concern regarding economic impacts arising from the new supermarket. A third local trader was concerned about the impact on traffic flow. The key opposing submitter was Dalgo Pty Ltd and Libnom Pty Ltd which are land owners and developers within the Jetty Road Neighbourhood Activity Centre and wider Jetty Road Growth Area. Their key concern is that approval of the Amendment and Planning Permit Application, at this time, will cause an unacceptable impact on the retail hierarchy and in particular on the development and functioning of the Jetty Road Neighbourhood Activity Centre. The Panel notes that neither Woolworths nor Aldi opposed the Amendment or Permit Application.

Having considered the submissions and evidence, the Panel concludes that there is strong State and Local Planning Policy support for the proposed development. Further, the Panel is satisfied that the development of a full-line Coles supermarket on the subject site is strategically justified and warranted, and that the development will strengthen the role and function of the Drysdale Town Centre. The Panel considers that the role and function of the Jetty Road Neighbourhood Activity Centre will not be compromised by the proposed development although its trading performance will be affected in the short term. In reaching this conclusion the Panel notes that all economic witnesses agreed that the Woolworths supermarket at the Jetty Road Neighbourhood Activity Centre will not be jeopardised by approval of the Coles supermarket, although some of the accompanying speciality stores may be likely to experience high vacancy levels in the short term.

The Panel is satisfied that approval of Amendment C297 and the accompanying Planning Permit Application 765/2013 will facilitate a retail outcome that will improve retail competition for residents on the Bellarine Peninsula and also strengthen Geelong’s retail hierarchy. The Panel accepts the submissions of Council and the proponent that development of a full-line supermarket on the subject site will represent a net community benefit.

Based on the reasons set out in this Report, the Panel recommends:

1. Adopt Amendment C297 to the Greater Geelong Planning Scheme as exhibited, and replace the exhibited version of Planning Permit 765/2013 with the Panel Recommended Version contained in Appendix C of this Report.

Page i

Greater Geelong Planning Scheme Amendment C297 and Planning Permit 765/2013

Panel Report | 22 December 2014

1  Introduction

Greater Geelong Planning Scheme Amendment C297 and Planning Permit 765/2013 (the proposal) was prepared by the City of Greater Geelong as Planning Authority.

The subject land for the proposal consists of three titles, these being 24–26 and 28-30 Murradoc Road, Drysdale, located in the Commercial 1 Zone; and 32 Murradoc Road, Drysdale located in the Commercial 2 Zone. All three titles are owned by the proponent, Coles Group Property Development Ltd (Coles). The subject land is predominantly vacant and sits alongside the Drysdale ALDI store.

The Amendment proposes to rezone the land at 32 Murradoc Road, Drysdale from the Commercial 2 Zone to the Commercial 1 Zone (Refer Figure 1 – Existing Zoning Plan).

Figure 1: Existing Zoning Plan

The Planning Permit Application exhibited concurrently with the Amendment seeks approval for:

·  Buildings and works to construct a supermarket (total leasable floor area of 3,892 square metres)

·  The display of identification signage

·  Reduction in car parking requirements

·  Alteration of access to a road in the Road Zone Category 1

·  Creation of a carriageway easement.

The Amendment was prepared at the request of ERM Australia of behalf of Coles. It was authorised by the Department of Transport, Planning and Local Infrastructure (DTPLI) as AO2808 on 23 May 2014.

The Amendment was placed on public exhibition between 3 July and 4 August 2014, with 20 submissions received, of which 16 were in support of the Amendment.

At its meeting of 23 September 2014, Council resolved to refer the submissions to a Panel. As a result, a Panel to consider the Amendment was appointed under delegation from the Minister for Planning on 29 September 2014 and comprised Kathryn Mitchell (Chair) and William O’Neil (Member).

A Directions Hearing was held in relation to the proposal on 2 October 2014. Prior to the Public Hearings on 24 November 2014, the Panel undertook an unaccompanied inspection of the subject site, its surrounds and the Jetty Road Urban Growth Area.

The Panel then met in the offices of the City of Greater Geelong and Planning Panels Victoria from 25 to 28 November 2014 to hear submissions in respect of the Amendment and Planning Permit Application. Those in attendance at the Panel Hearing are listed in Table 1.

Table 1 Parties to the Panel Hearing

Submitter / Represented by
City of Greater Geelong / Peter Schembri and Peter Smith who called the following expert witness:
-  Tim Nott of Tim Nott in economics
Dalgo Pty Ltd and Libnom Pty Ltd (Submitter No 3) / Nick Tweedie SC of Counsel, instructed by Best Hooper, who called the following expert witness:
-  Gavin Duane of Location I.Q. in economics
Coles Group Property Developments / Susan Brennan SC and Emily Porter of Counsel, instructed by Norton Rose Fulbright, who called the following expert witnesses:
-  Brian Haratsis of MacroPlan Dimasi in economics
-  Stuart McGurn of ERM in planning
Note: A traffic evidence statement from Tim de Young of GTA Consultants was circulated however he was not called to present his evidence.

2  The Proposal

2.1  The Subject Site and Surrounds

The subject land is vacant expect for a derelict weatherboard dwelling on 32 Murradoc Road (Refer Figure 2 - Aerial Photo of Subject Site and Surrounds). The site has direct access to Murradoc Road which is a Category 1 zoned road. The total site area is approximately one hectare.

There is a two metre fall from Murradoc Road to the rear of the property and a natural depression runs through the centre of the site. Land to the west is developed with an Aldi Store. Land to the east is developed with a retail/storage unit facility. This facility has a six metre high concrete wall along its entire length. Land to the south is the developing Central Walk residential estate.

Figure 2: Aerial Photo of Subject Site and Surrounds

Murradoc Road is a key east-west route through the commercial precinct of Drysdale and is intended to be widened in the future. It will be become a key entry point into Drysdale when the proposed Drysdale Bypass is constructed, for which the timing is unknown (Refer Figure 3 – Site Context).

Figure 3: Site Context

The subject land is within the designated Drysdale Town Centre (the Town Centre). The Town Centre contains two supermarkets, the Aldi Store immediately to the west of the subject site, and a 2,600 square metre Woolworths Store to the west. In addition to these supermarkets the Town Centre contains a range of small shops, restaurants and cafes, professional and community facilities and services. The Site Context Plan highlights the location of additional commercial rezonings that were recently approved via Amendment C283. When developed this land will reinforce the eastern expansion of the Drysdale Town Centre.

In addition, the Site Context Plan identifies the location of the Jetty Road Neighbourhood Activity Centre (Jetty Road NAC) located approximately two kilometres to the west of the Drysdale Town Centre. The Jetty Road NAC is planned to serve the 310 hectare Jetty Road Growth Area which at build out will comprise approximately 3,300 dwellings with in excess of 8,000 people. As at August 2014, approximately 550 lots had been developed. A permit for the development of a 3,200 square metres Woolworths supermarket and eleven specialities shops was issued for the Jetty Road NAC site in January 2013 and construction of the supermarket commenced in August 2014. The supermarket is expected to open in August 2015.

The twin towns of Drysdale/Clifton Springs are centrally located on the Bellarine Peninsula. Along with Ocean Grove and Leopold, these are the only townships on the Bellarine Peninsula designated in State and Local Planning Policy to accommodate population growth. (Refer Figure 4 – Bellarine Peninsula Context Plan).

Figure 4: Bellarine Peninsula Context Plan

2.2  Background to the Proposal

Prior to Amendment VC123 being gazetted on 13 November 2014, the Commercial 2 Zone in the Greater Geelong Planning Scheme prohibited supermarkets with a floor space over 1800 square metres. With the gazettal of Amendment VC123, supermarkets up to 1800 square metres are as-of-right, and supermarkets of more than 1800 square metres are discretionary.

The Panel was advised by Ms Brennan for Coles that notwithstanding Amendment VC123, Coles still wished to pursue the rezoning of 32 Murradoc Road from the Commercial 2 Zone to the Commercial 1 Zone. Ms Brennan submitted the proposed rezoning should be supported for the following reasons:

(a)  It is consistent with strategic planning set out in the UDF and Amendment C283;

(b)  If the Application is successful:

(i)  The Commercial 1 Zone will reflect the extent of the Drysdale Town Centre on the ground;

(ii)  The purposes of the Commercial 1 Zone are more suited to intensive retailing, and in particular for the strategically supported use of the Land as a supermarket, than the purposes of the Commercial 2 Zone; and

(iii)  It is preferable for the Land, in single ownership and accommodating the one proposed use and development, to be in one zone.

2.3  Issues dealt with in this Report

The Panel considered all written submissions, as well as submissions and evidence presented to it during the Hearing. Mr Schembri for Council submitted that the 16 supporting submissions highlighted the following benefits of the proposal:

·  Improved retail facilities, competition, choice and retention of dollar spend in the Town Centre.

Mr Schembri noted that Council’s assessment of the issues raised in the four opposing submissions included: