Adelaide empty real estate costing taxpayers thousands 20250902 p5zgme.html – Breaking News & Latest Updates 2026
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This was published 1 year ago

Empty piece of prime real estate costing taxpayers thousands

Gus Macdonald
Gus Macdonald

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A prime piece of Adelaide real estate that was meant to host a $600 million art gallery is instead sitting vacant and costing taxpayers more than $100,000 every year.

The land, formerly part of the Royal Adelaide Hospital site, has become a point of contention as the project faces delays and funding challenges.

The original proposal for a National Aboriginal Art Centre on the site was made in 2018 with $200 million in funding. 

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A prime piece of Adelaide real estate that was meant to host a $600 million art gallery is instead sitting vacant. Nine

However, following the change in government in 2022, the project was put on hold due to a reported $50 million cost blowout. 

While a review of the project was completed in 2023, it has not been released to the public, but Premier Peter Malinauskas has acknowledged that construction costs could now reach $600 million.

9News can reveal taxpayers are being slugged upwards of six figures every year for weeding, security and upkeep of the empty Lot 14 site, with the plan to convert it into the Tarrkarri First Nations Cultural Centre still far from complete.

"We want to preserve the building site to ensure that … we haven't let the site degrade and spend more money," cabinet minister Tom Koutsantonis said.

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The state government is seeking additional funding from both the Commonwealth and private donors. 

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The premier's department contacted billionaire Andrew "Twiggy" Forrest's Minderoo Foundation in May, proposing a meeting between Forrest and Malinauskas. 

9News understands that meeting has not yet eventuated, meaning no funding proposal by Minderoo is on the table.

Santos, BHP, Beach Energy and whoever buys the Whyalla Steelworks will be canvassed as potential donors.

But until secure funding is obtained, taxpayers will continue to bear the cost of maintaining the vacant site.

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This article was produced with the assistance of 9ExPress.

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