Feature image: Gilles St former office transformed into a home | Credit: James Boulton
The City of Adelaide’s ARCHI Incentives Scheme is now entering its second year with a broader focus. The initiative, which supports the adaptive reuse of existing buildings into residential housing, is now targeting larger commercial spaces and office buildings.
The scheme recently announced that it would be offering grants of up to $25,000 for required documentation and professional advice, and up to $50,000 for construction, bringing the total possible grant to $75,000.
But now, the City of Adelaide has identified more than 150 buildings in the Adelaide CBD as possible spaces to transform from unused office sites to comfortable residential spaces in central locations.
Since its launch, ARCHI has helped to progress a range of adaptive reuse projects. These include the conversion of a 1980s office into a ‘Manhattan’-style apartment, a warehouse adapted for student housing, and the transformation of vacant ground-floor offices into studio apartments. Several heritage-listed buildings are also in line for redevelopment into homes.
A recent example of an ARCHI development is this ground-floor office on Sturt Street that has been converted into three new dwellings. To make the transformation possible, works included new kitchens and wet areas, updated fire-rated flooring and acoustic glazing, with upgraded split-system air conditioning and hot water systems.
“In its first 12 months, the ARCHI program has focused on shop-top style buildings, supporting a range of unique and creative projects that are now progressing through various stages of development,” said Ellen Liebelt, ARCHI Project Manager.
“It’s been exciting to see adaptive reuse gaining momentum, and to collaborate with building owners, project teams, and key players in the sector who are genuinely passionate about reactivating our existing buildings and helping shape a new, much-needed mode of housing supply.”
The scheme is also helping turn former houses, once used as offices, back into homes, often with minimal upgrades if key features like kitchens and bathrooms remain.
The scheme now covers office-to-residential conversions, making it easier to create more homes without knocking buildings down.
The City of Adelaide has set a target to increase the city’s residential population to 50,000 by 2036. Adaptive reuse is one part of the strategy to meet this goal, alongside major developments like Market Square, 88 O’Connell Street, and Tapangka on Franklin. The 2021 census recorded a population of 25,026 in 14,649 private dwellings in the Adelaide City area.
“As cities continue to evolve, growing demand for premium office space is increasingly leaving older, underutilised buildings as stranded assets,” Liebelt said. “At the same time, Australians are facing an unprecedented housing crisis, marked by rising property prices and historically low rental vacancy rates. Adaptive reuse offers a strategic solution to both challenges and sits at the heart of ARCHI’s purpose.”
Liebelt added that adaptive reuse is significantly better for emissions than new builds.
“Adaptive reuse delivers important environmental benefits that support climate resilience,” said Liebelt. “By repurposing existing buildings, it preserves the embodied carbon within their structure, reduces the demand for carbon-intensive materials like concrete and steel, and minimises construction waste sent to landfill. Studies from Architecture 2030 and the Carbon Leadership Forum indicate that reusing buildings can lower embodied carbon emissions by 40–70%, depending on how much of the original structure is preserved.”
The scheme is now open and is expected to help reimagine underused spaces and bring more residents into the city centre.
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