Land deals and expansions a key feature of our education landscape

IT is early days and, at this point, little more than speculation, but it is fair to say some real estate agents would be licking their lips at the prospect of putting slabs of UTAS land on the market.

If a STEM centre is approved — and at this point that is a reasonably big “if” — the university council would then be forced to make a decision as to whether it reinvests more than $500 million into ageing buildings at Sandy Bay, or contemplates a roots and branch shift to the city.

Any shift or sale would come amid a series of significant UTAS property deals.

The Singaporean developer Fragrance Group has recently added the UTAS conservatorium of music to its expanding portfolio of prime Hobart real estate.

In June the company settled on the 1960 building which overlooks St Davids Park for $13.37 million.

UTAS bought the half hectare site in 1991 for $2.6 million.

The site includes the main conservatorium building on Sandy Bay Rd, a warehouse, three brick buildings on Heathfield Avenue, three heritage-listed conjoined cottages on Wilmot St and a communications tower.

UTAS will lease the conservatorium for the next three years until the $96 million Hedberg performing arts centre, near the Theatre Royal, is completed.

In 2015, UTAS paid $9.8 million for the former Goodyear site on the corner of Bathurst and Argyle streets and there is speculation that the university is close to buying the headquarters of the Australian Red Cross at 40-42 Melville St for $6-$8 million.

Red Cross state manager Russell Penman said: “I can tell you discussions are happening but there has been no finalisation, but I would expect an announcement within a month.”

LJ Hooker managing director Mark Devine said the university’s Sandy Bay land would provide a great opportunity but may be hampered by its present zoning.

He said some of the existing buildings would offer appeal for conversion or redevelopment to alternative uses. “The most obvious being residential and given the current demand and anticipated demand for housing stock in coming years this would provide a great opportunity for developers,” he said.

“Its proximity to the Hutchins School may provide scope for Hutchins to continue with educational activities and planned growth.”

He said the elevated land may be protected as public open space.