The 38-storey tower slated to stand behind Parliament House received planning approval, despite community opposition. See the pictures.
The second tower, to stand next to the existing 29-storey One Festival Tower, received planning consent from the State Commission Assessment Panel (SCAP) on Thursday.
It will be the most sustainable office building in Australia, according to the Malinauskas Government, being all electric with the largest solar array in the city.
The tower will become the first building in Adelaide to receive a six-star energy rating under the National Australian Built Environment Rating System, and be carbon neutral by 2028, about a year after its expected completion.
Planning Minister Nick Champion says it will transform the city skyline and “set a new benchmark for sustainable, world-class development”.
“Festival Plaza Tower 2 will not only be our tallest commercial building, but it will also become a defining symbol of a city that is embracing a confident, modern future,” Champion says.
An artist’s render of the tower view from North Terrace.
The tower is set to be the largest commercial building in Adelaide, with 36 floors of commercial office space and lower levels dedicated to hospitality offerings, which the state government says will drive more than $1 billion in economic activity annually.
It expects to sustain over 1300 jobs during the project, including construction, engineering and project management roles.
An artist’s rendering of the view looking towards the Railway Station.
An artist’s render of the view of the tower looking south towards Parliament.
The approved plans focus on integrating the design features to be neutral and complement the neighbouring Parliament House.
“The refined plans ensure that we preserve the visual integrity and heritage of Parliament House while delivering a vibrant, activated public space that all South Australians can enjoy,” Planning Minister Nick Champion says.
“This project is the result of careful collaboration with the community, expert design panels and heritage advisors. I thank the State Commission Assessment Panel for their thoughtful consideration and the important role they play in the planning process.”
The view of the second tower next to Parliament House.
In a heritage impact statement, one of the documents considered by SCAP, Hosking Willis Architecture said the proposed tower “will not diminish the heritage value of the adjacent State Heritage Places, Parliament House, Adelaide Festival Centre and Adelaide Railway Station”.
The report said the development will complement Parliament House with a contemporary, neutral streetscape.
“It does not distract from the State Heritage Place,” the heritage impact statement read.
“The setback, materials and colour palette to the levels above Parliament House have been carefully chosen to create a neutral and subservient backdrop above street level.”
The view of the development from Parliament Lane
Today’s approval decision comes after more than 120 South Australians signed an open letter against the development last week, calling for a low-rise democracy hub instead.
The signatories include former Premier Dr Lyn Arnold AO, Dunstan Labor Government Attorney General Peter Duncan, former Legislative Council President Hon Anne Levy AO and Women’s Electoral Lobby Convenor Marilyn Rolls.
The group, Save Festival Plaza Alliance, called on the Malinauskas Government to stop the 38-storey tower, retain Festival Plaza as public land and create a low-rise hub to celebrate SA’s world-first achievement of full political rights for women.
“This is a red alert for democracy, heritage, and public space in South Australia,” says Robert Farnan, for the Save Festival Plaza Alliance.
“A private profit-driven skyscraper will now tower over the very site where women’s full political rights were legislated for the first time in the world – unless the Premier and his government act to halt or redirect this damaging project.”
Negotiations with Walker Corp for the second tower have been in the works since before the first tower officially launched in February 2024, and an original proposal for a three-story retail complex was shot down.
Premier Peter Malinauskas says the skyscraper will do more for the city’s economy than the previous three-storey plan.
“This government actively intervened to overturn our predecessor’s vision for a three-storey building which would have completely blocked views of Parliament House and would have delivered little economic uplift,” he says.
“This development will transform our capital for the better, and is demonstrative of Adelaide’s rise as a truly global city.
“The tower will generate an estimated billion dollars in annual economic activity and ensure a large number of people are constantly populating Festival Plaza, ensuring it is a truly active and vibrant location.
“I look forward to seeing this building rise above the plaza.”
The tower has previously raised questions from the Opposition about the business case to fill the commercial tower, and criticism from Adelaide’s Lord Mayor, who called the tower “thuggish” and “overpowering”.
After today’s decision, Greens MLC Robert Simms says it’s “outrageous” that Walker Corporation were granted exclusive use of the park lands site, saying Labor’s planning regime serves the interests of developers.
“There’s only one thing worse than a skyscraper towering over Parliament House and that’s two skyscrapers,” Simms says.
“A second tower would further diminish North Terrace, undermine the heritage values of our historic Parliament House and further privatise our public space.
Simms says he intends to introduce a motion to the Legislative Council calling for the state government to intervene and stop the construction of the skyscraper.
Early works have already commenced on the site, which was approved by the Department of Housing and Urban Development in February. The build is set to be completed and the tower ready for occupancy by 2027.