In a move that has been widely welcomed by the Rundle Mall Management Authority (RMMA) and Business SA, Councillors voted for the notional funding to be factored into its budget process from 2012/13 and beyond, subject to public consultation.
In addition, Council is seeking $10 million from a combination of State Government and private investor contributions over this period.
Lord Mayor Stephen Yarwood said Council is committed to ensuring Rundle Mall remains the primary retail precinct and meeting place in SA.
“We are bringing about the most significant changes to the Mall since its creation,” Stephen said.
“The City of Adelaide is evolving – from the redevelopment of Adelaide Oval, the Riverbank precinct, and our plans for Rundle Mall – the vibrancy of the CBD is going to be at a level not seen here before.”
He said the motion coincided with Premier Weatherill’s announcement earlier this month to deregulate trading hours on public holidays in the CBD.
Councillor Houssam Abiad said the proposed $40 million should give new investors’ confidence in Rundle Mall and the city in general. He said the detailed design phase would demonstrate to Council how best to prioritise its spending.
“Council, the RMMA, traders, shoppers and visitors to the Mall want it to attract a better – and unique – retail mix. Council wants to increase the Mall’s competitive advantage and reinstate the Mall as a compelling City experience,” Cllr Abiad said.
Business SA Chief Executive Officer, Peter Vaughan, said he welcomed the proposal from Council, which aims to revitalise of the area.
“A vibrant and attractive CBD is important for business and this development is also good news for workers, shoppers and tourists,” Mr Vaughan said.
Chairman of RMMA, Theo Maras, said Council’s and the State Government’s support, in progressing the redevelopment of the Mall, will reflect on the City as a whole.
“The Mall is the most visited site in Adelaide with 24 million visitors annually,” Mr Maras said.
Rundle Mall General Manager, Martin Haese said: “Rundle Mall is a key economic driver for the City. Council’s decision is to be applauded – it is a great vote of confidence for the future of the precinct."