Planning Assessment Report

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1 Moorabbin Airport Corporation 18-Feb-2014 Planning Assessment Report Costco Major Development Plan Project

2 i Table of Contents Executive Summary ii 1.0 Introduction Background Proponent Moorabbin Airport s Overarching Objectives Project Area Context Project Area Surrounds Moorabbin Airport Project Area Legislative and Governance Framework The Airports Act The need for a Master Plan and an Environment Strategy The Need for a Major Development Plan The Approved Master Plan (2010) Approved Environmental Strategy (2010) Project Description Proposed Development Assessment of the proposal against the Approved Master Plan (2010) Land Use Policy Precinct Policy Precinct D Land Use and Development Victorian Planning System Overview Planning Provisions - Kingston Planning Scheme State Planning Policy Framework (SPPF) Local Planning Policy Framework (LPPF) Zones and Overlays Planning Scheme Provisions Commonwealth Government Our Cities, Our Future May 2011 (Previous Commonwealth Government Policy) Conclusion 63 List of Tables Table 1 Signage Requirements 25 Table 2 Loading Bay Requirements 27 Table 3: Signage assessment criteria 55 Table 4 Car Parking Requirements within Kingston Planning Scheme. 56 Table 5 Dimensions of Loading Facilities 58 List of Figures Figure 1: Moorabbin Airport Location 4 Figure 2: Moorabbin Airport and Surrounds 5 Figure 3: Project Area 6 Figure 4: Moorabbin Airport Master Plan - Precincts 9 Figure 5: Moorabbin Airport Master Plan - Zones 10 Figure 6: Infrastructure and Services Plan 17 Figure 7: Indicative Land Use Plan 19 Figure 8: Airport Precinct Plan 21 Figure 9: Kingston Residential Land Use Plan 49 Figure 10: Kingston Industrial Land Use Framework Plan 50 Figure 11: Kingston Retail and Commercial Land Use Framework Plan 51 Figure 12: Planning Scheme Zones 53 Figure 13: Planning Scheme Overlays 54

3 ii Executive Summary This report has been prepared by AECOM to inform the preparation of a Major Development Plan (MDP) by Moorabbin Airport Corporation Pty Ltd (MAC) for the Costco Wholesale Australia Pty Ltd (Costco) MDP Project in accordance with the Airports Act The purpose of this report is to identify the planning considerations within which the proposal must be assessed and to assess the against these considerations. The affects land located at the south-eastern end of Chifley Drive, immediately south of the existing Coca Cola Amatil site and in the north-east corner of the overall Moorabbin Airport landholding (the subject site). The proposes the future use and development of the subject site as a Costco retail and wholesale warehouse. Specifically, the land use proposed is for a large format, business and individual membership based, retail and wholesale warehouse and a membership only petrol station. Background to Costco Large format uses such as the Costco warehouse, are popular operations offering customers affordable pricing based upon cost benefits associated with buying in bulk and passing these benefits onto customers. They are similar to outlets such as Bunnings and Masters stores in terms of the affordable pricing offered by way of bulk purchasing, and also in terms of locational and functional needs. These uses have quite specific siting and locational requirements, such as large sites (5ha+) to house large warehouse style buildings with ample parking and good accessibility. Along with national retailing policy reviews and initiatives, these uses have expanded and diversified conventional retailing by increasing competition and reducing prices. They have also led to changes in retail policy, particularly in terms of location relative to traditionally established activity centres. The Costco model requires membership, which enables the cost of goods to be kept to a minimum. Costco has over 620 warehouses worldwide. In Melbourne, Costco Docklands opened in Costco Ringwood opened in November A planning application has been lodged for a third store, in Epping, and is currently nearing the completion of the planning process. As regional destination outlets, Costco warehouses compete with a wide range of alternate shopping locations, including supermarkets, discount department stores, specialty stores, bulky goods/homemaker outlets, individual retailers and wholesalers. The trade area served by a Costco warehouse is regional. Consequently, the overall impact of Costco warehouses extends over a broad area and impacts on individual businesses is limited. Structure of this Report Section 2 provides a background to the proposal, including a summary of the Airport s development objectives as articulated in its Approved Master Plan (2010). In Section 3 provides a brief history of Moorabbin Airport, its surrounds, and of the project area is provided. Section 4 describes the governance framework surrounding the assessment of this project. The Airports Act 1996 regulates the land use, operation and planning of Moorabbin Airport. This Airports Act 1996 requires the preparation and approval of a Master Plan for the Airport and the subsequent development of the Airport in accordance with that Master Plan. Major Development Plans are to be assessed against the approved Master Plan. Three Master Plans have been prepared and approved for the Moorabbin Airport in 1999, 2004 and most recently, in the Approved Master Plan (2010). Each Master Plan has contemplated the development of this precinct of Moorabbin Airport for commercial purposes. In addition, the Airports Act 1996 requires an assessment of the likely effect of proposed developments that are set out in a Major Development Plan on the local and regional economy and community, including an analysis of how the proposed developments fit within the local planning schemes for commercial and retail development in the adjacent area. Further, the Airports Act 1996 requires an assessment of the extent (if any) of consistency with planning schemes in force under a law of the State in which the airport is located (in this case, the Kingston Planning Scheme), and if the major development plan is not consistent with those planning schemes, the justification for the inconsistencies.

4 iii Section 5 describes the. The proposed development comprises the following: A Costco warehouse (retail premises) with a building area of 13,642 square metres with an additional 122 square metres for pump/ switch/sprinkler valve rooms and including the following uses: Café Optometrist Photo processing Hearing aid servicing and sales Tyre sales and fitting outlet A Costco service station with a site area of 5,245 square metres Provision of 727 car parking spaces including 16 disabled spaces and 32 bicycle spaces A loading dock area of 395 square metres Extension of Chifley Drive through to Boundary Road 1 - Provision of a fully signalised intersection at the new Boundary Road/ Chifley Drive intersection 1. Section 6 assesses the proposal against the Approved Master Plan (2010). It finds that the project has its genesis in the directions set in the Approved Master Plan (2010) and its predecessors, and is consistent with the objectives and the detailed performance criteria included in the Approved Master Plan (2010). Like its predecessors, the Approved Master Plan (2010) provides for land not required for aviation purposes to be developed for a range of alternative uses that will reinforce the significant employment role the airport plays in the region and which take advantage of the Airport s ability to accommodate reasonable and justifiable development. The will be sited on land that is surplus to existing and future aviation requirements and it will not impact on aviation operations in any way. Further, the will: - Provide an additional revenue stream which will help support ongoing investment by MAC in infrastructure to the benefit of the airport as a whole and its civil aviation users. - Provide enhanced services and facilities on the airport site for use by aviation and other users of Moorabbin Airport, including existing businesses on the airport and their employees. - Provide greater employment opportunities on the airport particularly for trainee pilots who need to support their training with paid employment, and others in the local and regional community. - Provide an enhanced transport network on the airport site by extending Chifley Drive through to Boundary Road which will have significant benefits for users of the Chifley Business Park. - Complement and integrate with the existing businesses on the airport which will encourage new aviation and other businesses to locate at the airport which will in turn support the ongoing operation of the airport, and - Provide for the efficient and effective use of land with limited and minor impact on existing competing businesses in the region. Section 7 assesses the proposal against the relevant policy and performance criteria requirements of the Kingston Planning Scheme. The is inconsistent with a limited number of current provisions of the Kingston Planning Scheme relating to Activity Centre Policy and non-urban land uses. This is principally due to the site deliberately being located outside the Urban Growth Boundary due to its location on Commonwealth land 2, even though it sits clearly in an urban context. Because of the sites Commonwealth status the existing mixed use employment precinct is not recognised under activity centre policy. 1 The extension of Chifley Drive and the intersection works at Boundary Road / Chifley Drive are being undertaken separately but concurrently, in accordance with the Approved Master Plan (2010) 2 Department of Sustainability and Environment letter (19 November 2003) from John Collins, Deputy Secretary, Strategic Planning and Sustainability Policy

5 iv These inconsistencies are justified as the airport provides a net community benefit locally and to the broader south-eastern region. The Social and Economic Impact Assessments accompanying the provide an evidence based justification for the proposal in terms of perceived impacts on the surrounding community and other commercial centres in the locality and region. In summary, the will: - Provide for increased local and regional employment opportunities - Support the operation of the Airport, a significant economic asset of the City of Kingston - Enable the development of a currently underutilised but well serviced and located site with a land use that is of regional significance, increasing the profile of the area and an awareness of the broader range of facilities and services that the local area has to offer, and stimulating further growth and uplift in the surrounding area. - Increase the level of competition and service with a limited and minor impact on existing competing businesses in the region Section 8 demonstrates how the proposed development is consistent with the Commonwealth Government s National Urban Policy for Australia - Our Cities, Our Future May It is noted that this was a policy of the former Commonwealth Government. This report and the associated Social, Economic and Traffic Impact reports in particular demonstrate that the proposal: - Is well located at Moorabbin Airport and the subject site in particular - Provides a number of economic and social benefits to the Airport, and the surrounding local and regional communities - Supports the existing hierarchy of activity centres serving the region - Is consistent with relevant considerations under the Airports Act 1996, and, - Is consistent with the planning provisions of the Approved Master Plan (2010) and generally consistent with the Kingston Planning Scheme to provide an overall net community benefit to the local and regional area.

6 1 1.0 Introduction Moorabbin Airport Corporation Pty Ltd (MAC) is preparing a Major Development Plan (MDP) in accordance with the Airports Act This MDP affects land at the south-eastern end of Chifley Drive, in the north-eastern corner of the larger Moorabbin Airport site (project area) and is for the future retail use of this land as a Costco Wholesale Australia Pty Ltd (Costco) Warehouse. Specifically, the land use proposed is for a large format, membership based, retail and wholesale warehouse and a petrol station. This project is known as the. The purpose of an MDP is to provide the details of a major development at Moorabbin Airport and to ensure that any proposed development is consistent with the requirements of the Airports Act As such, a MDP is a comprehensive report about a project, including a detailed outline of the development, an appraisal of the potential impacts and an assessment of the consistency with matters outlined in the Airports Act Large format uses such as the Costco warehouse are popular operations offering customers affordable pricing based upon cost benefits associated with buying in bulk and passing those savings onto customers. They are similar to other large format outlets such as Bunnings and Masters stores in terms of the affordable pricing offered by way of bulk purchasing, and also in terms of locational and functional needs. These uses have quite specific siting and locational requirements, such as large, flat sites (5ha+) to house large warehouse style buildings with ample parking and good accessibility. Along with national retailing industry policy reviews and initiatives, these uses have expanded conventional retailing by increasing competition and reducing prices. They have also led to changes in retail policy, particularly in terms of location relative to established activity centres. Costco warehouses are not typically used by customers as a replacement for their local store or supermarket shop, but for less frequent bulk purchasing of a more limited range of goods. The Costco model requires membership which also enables the costs of goods to be kept to a minimum. Approximately 30% of Costco s sales are businesses either purchasing goods for themselves (i.e. offices) or for on-selling to consumers (i.e. corner stores). Costco has over 620 warehouses worldwide. In Melbourne, Costco Docklands opened in Costco Ringwood opened in November A planning application has been lodged for a third store, in Epping, which is currently nearing the end of the planning process. A Costco warehouse will carry approximately 4,500 individual products, whilst a conventional supermarket will carry 30,000 products, and a large discount department store closer to 40,000 products. The range of goods is diverse and extends from groceries to sporting equipment, clothing and jewellery, whitegoods, electrical equipment, wine and liquor, sheets, towels and pet food. Costco competes with a very wide range of alternate shopping locations, including supermarkets, discount department stores, specialty stores, bulky goods/homemaker outlets, individual retailers and wholesalers. The trade area served by a Costco warehouse is regional. This is demonstrated by the required catchment of a Costco warehouse being approximately 700,000 people whereas a full line supermarket requires a catchment of 8,000 people. As a consequence, the overall impact on individual businesses is limited. This report has been prepared by AECOM to inform the preparation of the Costco MDP. The purpose of this report is to identify the planning considerations against which the proposal must be assessed.

7 2 2.0 Background Moorabbin Airport was opened in 1946 by a group of aviators and the Civil Aviation Department. Over time, the Airport grew considerably, and by February 1955 there were around 65,000 aircraft movements a year, predominantly by the Royal Victorian Aero Club. By 1966 some of the runways and taxiways areas had been asphalt sealed and over 300,000 traffic movements were recorded. The core focus of the Airport has been to provide aviation services for the general public. In recent years, Moorabbin Airport has evolved into an Airport primarily providing commercial career orientated flying training and it is now recognised as a leading major Airport nationally and internationally for this purpose. A number of support and avionics facilities have also been established on the Airport. Over time, a mixture of residential and industrial development occurred in close proximity to the west, east and south of the Airport. Whilst the airside land use structure has changed little since 1985, the diversity and intensity of land uses on surrounding land has continued to increase. Moorabbin Airport is now one of the few remaining large urban sites in the local area which contains available land where a range of commercial, retail and industrial uses could be further developed. A diverse, multi-faceted future is contemplated by the Approved Master Plan (2010), approved by the previous Minister for Infrastructure and Transport. In 1992, while under government operation, the first use of surplus land occurred in the north-western corner of the site with the establishment of Leisure Market, now called the Direct Factory Outlet (DFO). A service station was also constructed. This original land use, together with Moorabbin Airport s inner south-eastern metropolitan location, was the catalyst for the establishment and reservation of airside protection areas and identification of landside activity areas. In June 1998, MAC purchased a long term lease over Moorabbin Airport from the Commonwealth Government. Since this time the Chifley Business Park has been developed in the north east part of the Airport and Kingston Central Plaza has been developed along Centre Dandenong road adjacent the existing DFO. In accordance to the requirements of the Airports Act 1996, MAC has delivered three Master Plans that guide the use and development of the Airport. The original approved 1999 Master Plan, the revised 2004 Master Plan and the current 2010 Master Plan recognise the shifts in the aviation industry away from government subsidy to full self-sufficiency and seek to ensure that the necessary infrastructure in place is retained to support the ongoing development and evolution of Moorabbin s aviation business and activity. Moorabbin Airport is consistently in the top four busiest airports in Australia in terms of aircraft movements and is Melbourne s principal light aircraft airport facility. 2.1 Proponent MAC is the proponent for the proposed development of the land at the Airport. MAC is an Airport Lessee Company pursuant to the Airports Act MAC will sub-lease the land to Costco. Costco has committed to the proposed development. 2.2 Moorabbin Airport s Overarching Objectives The objectives for the use and development of Moorabbin Airport are set out in the Approved Master Plan (2010) and Approved Environment Strategy (2010). MAC s vision for the Airport is: To continue to develop an efficient and fully functioning Airport of Regional and State significance, supported and enhanced by quality land use, which will significantly contribute to and improve and support the operation and growth of the airport and the economic and social base of south eastern metropolitan Melbourne, particularly its local community.

8 3 The land use and development objectives for the project area, which is part of Precinct D in the Approved Master Plan (2010), are: To provide additional employment opportunities for the region linked to the Principal Public Transport Network. To develop a strong employment activity node which may include office, warehouse, business, retail, restricted retail, showrooms, business, corporate, conference and hotel facilities. To promote opportunities for employment in a manner that contributes to the high profile, high quality landscaped environment already in part established on the site. To encourage opportunities for high tech aviation industries and aviation support on land abutting Precinct A, and To encourage development to provide strong pedestrian linkages to the Principal Public Transport Network. The Approved Master Plan (2010) further describes strategies aimed at facilitating the implementation of these objectives, including to: - Promote opportunities for new land use to integrate with and expand on the existing high quality business and commercial activities. - Recognise and support the existing industry, warehouse, office and commercial activities. - Promote this precinct for commercial, business, retail, industrial, office and corporate related facilities. - Encourage journey to work opportunities via the Principal Public Transport Network along Centre Dandenong Road. - Protect airside and aviation activities by ensuring the appropriate siting and design of all buildings and infrastructure. - Promote opportunities in appropriate locations for high tech aviation industries and aviation support activities. - Encourage high quality urban design and built form, attractive landscape entry treatments, generous boulevards, sensitive treatment of key site frontages and balanced site coverage. - Provide services and facilities for the growing employee population at the airport and in the region. - Ensure that activities within this precinct have regard to the interfaces with other precincts and non-airport land. - Reserve land for the Mordialloc Settlement Drain reserve, and - Reserve land associated with the proposed connector road between Centre Dandenong Road and Boundary Road and other infrastructure works. The environmental objectives outlined in the Approved Environment Strategy (2010) address the environmental issues listed below and each of these is dealt with in the technical assessments as relevant. - Air quality (including ozone depleting substances) - Noise emissions - Water quality (including stormwater, groundwater and waste water) - Soil quality - Waste management - Hazardous materials management - Climate Change - Ecological sustainability - Flora, fauna and habitat - Aboriginal and European heritage.

9 4 3.0 Project Area Context The project area is located on Moorabbin Airport approximately 21 kilometres to the south-east of Melbourne s Central Business District. The project area is located within the south-eastern region of metropolitan Melbourne. According to the 2011 Census, this area has a population of 1,270,761, (ABS Community Profiles). The project area is situated within the municipal area of the Kingston City Council. Adjoining municipalities include Bayside, Glen Eira, Monash, Greater Dandenong and Frankston. Figure 1: Moorabbin Airport Location 3.1 Project Area Surrounds Moorabbin Airport is abutted by residential, industrial and commercial land uses to the south, west and east. To the north of the Airport on the opposing side of Centre Dandenong Road are market gardens, golf courses and sand mining operations. To the south of the airport is the residential suburb of Mordialloc. To the west are the residential suburbs of Mentone and Cheltenham East. To the east of the Airport is the suburb of Dingley. Further to the north, but separated by the market gardens and sand mining operations, is the suburb of Heatherton. The project area is surrounded by a network of major roads which carry in excess of 60,000 vehicles per day. The road network is part of the Principal Public Transport Network, the Principal Freight Network, Smart Roads and the Principal Bicycle Network. The road network provides excellent access to other major roads including the Nepean Highway, Monash Freeway, Frankston Freeway and EastLink. Dingley Bypass is a reservation approximately 500m to the east of the project area which will connect to the northern end of the Mornington Peninsula Freeway extension. Funding of $156M has been committed for the project and construction is due to commence in Three bus routes (routes 705, 811/812 and 828) currently operate in the vicinity of the site. Route 705 operates along part of Boundary Road, route 828 operates along Centre Dandenong Road, and route 811/812 operates along Lower Dandenong Road (to the east of Old Dandenong Road). The latter is the main public transport route

10 5 that connects Dandenong, via Moorabbin Airport, to Southland. Access to the nearest bus stops for these services is as follows: - Route 705 services can be accessed by stops approximately 750 metres east of the site on Garden Boulevard (Redwood Gardens). - Route 828 stops are located approximately 750 metres north of the site on Centre Dandenong Road. - Route 811/812 stops are located approximately 1.2 kilometres south of the site on Lower Dandenong Road. The proposed construction of footpaths along the Chifley Drive extension will provide a pedestrian link to Boundary Road, which connects into the existing network providing access to the existing bus stop in Redwood Gardens. The area is serviced by existing pedestrian and cycle paths which State and local governments have identified for progressive improvements over coming decades. The Principle Bicycle Network proposes future bicycle lanes along both Centre Dandenong and Boundary Roads. The Airport sits equidistant between the Frankston and Dandenong rail corridors. Within a 10km radius, but more than 4km away, are the Southland Principal Activity Centre, 10 Major Activity Centres and 7 neighbourhood activity centres. It is noted that the Major Activity Centres are commonly spaced approximately 4km from each other along the and that the neighbourhood centres are dispersed across the region. Buildings in the immediate area are generally low rise and single storey, in part due to the historical development patterns of these outer and now middle suburban areas, but also locally due to height regulations associated with aviation activities. Figure 2: Moorabbin Airport and Surrounds 3.2 Moorabbin Airport Moorabbin Airport forms part of a network of airports within Victoria and nationally who collectively share the role of connecting communities and enhancing broader economic performance. Within this broad network, airports are

11 6 widely dispersed, have distinct roles and functions, are complimentary to each other, but operate in a competitive environment. Increasingly, since privatisation, airports are required to be self-sustaining entities and must now be completely self-sufficient. Moorabbin Airport is consistently in the top four busiest airports in Australia in terms of aircraft movements and is Melbourne s principal light aircraft airport facility. Located on the Airport are 11 flight schools, approximately 800 students, approximately 50 aviation businesses and approximately 350 permanent aircraft, allowing Melbourne, Essendon and other airports to serve their particular national and international passenger, freight and other roles. The Airport is used primarily for fixed wing and helicopter aviation training and other aviation uses including aircraft maintenance, air charter, freight, recreational flying and air work (i.e. aerial photography and surveying) as well as emergency services such as Royal Flying Doctor and Air Ambulance services. Regular public transport (RPT) operations at Moorabbin Airport are limited to one regional carrier, King Island Airlines. Primary airport land uses are located on airside areas within Moorabbin Airport. These uses include aviation support (maintenance, repairs and facilities), pilot training, recreational aviation uses, aviation support organisations and commercial and freight directly linked to aviation. Additional non-airport land uses are located on landside areas within Moorabbin Airport. These additional land uses include commercial, retail and nonaviation industry. Significant landside non-aviation land uses at Moorabbin Airport include the Chifley Business Park, Kingston Central Plaza and Moorabbin Airport Direct Factory Outlet. The Airport is Commonwealth Land and is governed by the provisions of the Airports Act State and local planning regulations have no direct jurisdiction over the use and development of Commonwealth land. 3.3 Project Area The site of the proposed Costco warehouse is generally flat and is currently vacant as shown in Figure 3 below. The site is located toward the southern end of Chifley Drive, between it and the Mordialloc Settlement Drain in the north-east corner of the larger Moorabbin Airport site. The site will sit on the corner of an extended Chifley Drive which will head east from its current alignment to connect with Boundary Road as part of this project. The site comprises 5.8 hectares of land. It will have a frontage to an extended Chifley Drive of approximately 425 metres and a depth of approximately 250 metres. The project area represents a small portion (1.97 per cent) of the total Airport site. The Chifley Business Park is located immediately north and west of the site, and undeveloped surplus airport land abuts the project area to the east and south. Figure 3: Project Area

12 7 4.0 Legislative and Governance Framework 4.1 The Airports Act 1996 The project area is Commonwealth Land and is administered by the Airports Act The Airports Act 1996 provides the basis for the regulation of the land use, operations and planning of the Moorabbin Airport. Importantly, the Airports Act 1996 establishes the primacy of the use of land for the delivery of aviation activities. Within this framework, other non-airport related services are permitted where they facilitate and do not impede the operation of the land as an Airport. In this context, non-airport land uses such as those currently operating and proposed at Moorabbin Airport, and as found now in many Airports across the country, have and can be contemplated. 4.2 The need for a Master Plan and an Environment Strategy The Airports Act 1996 at Section 70 (1) requires that a Master Plan be prepared and approved for each Commonwealth Airport. Section 70 (2) highlights the purposes of a final master plan for an airport which are: (a) to establish the strategic direction for efficient and economic development at the airport over the planning period of the plan; and (b) (c) to provide for the development of additional uses of the airport site; and to indicate to the public the intended uses of the airport site; and (d) to reduce potential conflicts between uses of the airport site, and to ensure that uses of the airport site are compatible with the areas surrounding the airport; and (e) to ensure that all operations at the airport are undertaken in accordance with relevant environmental legislation and standards; and (f) to establish a framework for assessing compliance at the airport with relevant environmental legislation and standards; and (g) to promote the continual improvement of environmental management at the airport. The current Approved Master Plan (2010) and Approved Environmental Strategy (2010) guide land use, development and environmental management at Moorabbin Airport. The Airports Act 1996 requires that any development is consistent with the Airport lease and the Approved Master Plan (2010). 4.3 The Need for a Major Development Plan Pursuant to Section 89 of the Airports Act 1996, the proposed development triggers the requirement for a MDP. Pursuant to Section 91(1) of the Airports Act 1996, the contents of an MDP are to include: - (a) the airport-lessee company s objectives for the development; and - (b) the airport-lessee company s assessment of the extent to which the future needs of civil aviation users of the airport, and other users of the airport, will be met by the development; and - (c) a detailed outline of the development; and - (ca) whether or not the development is consistent with the airport lease for the airport; and - (d) if a final master plan for the airport is in force whether or not the development is consistent with the final master plan; and - (e) if the development could affect noise exposure levels at the airport the effect that the development would be likely to have on those levels; and - (ea) if the development could affect flight paths at the airport the effect that the development would be likely to have on those flight paths; and - (f) the airport-lessee company s plans, developed following consultations with the airlines that use the airport, local government bodies in the vicinity of the airport and if the airport is a joint user airport

13 8 the Defence Department, for managing aircraft noise intrusion in areas forecast to be subject to exposure above the significant ANEF levels; and - (g) an outline of the approvals that the airport-lessee company, or any other person, has sought, is seeking or proposes to seek under Division 5 or Part 12 in respect of elements of the development; and - (ga) the likely effect of the proposed developments that are set out in the major development plan, or the draft of the major development plan, on: (i) traffic flows at the airport and surrounding the airport; and (ii) employment levels at the airport; and (iii) the local and regional economy and community, including an analysis of how the proposed developments fit within the local planning schemes for commercial and retail development in the adjacent area; and - (h) the airport-lessee company s assessment of the environmental impacts that might reasonably be expected to be associated with the development; and - (j) the airport-lessee company s plans for dealing with the environmental impacts mentioned in paragraph (h) (including plans for ameliorating or preventing environmental impacts); and - (k) if the plan relates to a sensitive development the exceptional circumstances that the airportlessee company claims will justify the development of the sensitive development at the airport; and - (l) such other matters (if any) as are specified in the regulations. The purpose of the MDP in relation to an airport is to establish the details of a major airport development that: - (a) relates to the airport - (b) is consistent with the airport lease and the final master plan for the airport. Pursuant to Section 91, a major assessment criteria for an MDP is whether or not the development is consistent with the final Approved Master Plan. Pursuant to Section 91, it is also necessary for a proposed development to outline the extent of consistency with the relevant planning scheme and to justify inconsistencies if any. The relevant section of the Airports Act 1996, Section 91, states: (4) In specifying a particular objective or proposal covered by paragraph (1)(a), (c) or (ga), a major development plan, or a draft of a major development plan, must address: (a) the extent (if any) of consistency with planning schemes in force under a law of the State in which the airport is located; and (b) if the major development plan is not consistent with those planning schemes the justification for the inconsistencies. The relevant local authority planning scheme is the Kingston Planning Scheme. The Kingston Planning Scheme is describe in more detail in Section 7 of this report. 4.4 The Approved Master Plan (2010) The Approved Master Plan (2010) for Moorabbin Airport was prepared by MAC in accordance with the provisions of Part 5 of the Airports Act 1996 and the associated regulations under the Airports Act The Approved Master Plan (2010) is the principal planning document for the long term development of Moorabbin Airport and it represents a strategy for the existing and future sustainable development of the Airport for the next 20 years. Land use and development at the Airport must be consistent with this framework. New Master Plans are required by the Airports Act 1996 every 5 years, with the next Master Plan due in The Approved Master Plan (2010) provides a framework to guide the operations and planning of airside and landside areas of Moorabbin Airport. The Approved Master Plan (2010) is an evolution of the policies and directions established in the earlier Master Plans. As such, the Approved Master Plan (2010) continues to

14 9 implement the directions established in the 2004 and 1999 plans. The ongoing protection and enhancement of aviation activities and infrastructure remain central. The ongoing development of areas that are designated as surplus to aviation requirements is also in accordance with the successive Master Plans. Part B of the Approved Master Plan (2010) establishes an Implementation Framework for the Airport. The Framework comprises precincts, land use policies, and specific precinct based development controls. The Approved Master Plan (2010) divides the Airport into five precincts. The proposed development is located in Precinct D (refer Figure 4) Business and Commercial. The objectives for the Precinct D are quoted in Section 11 of the Approved Master Plan (2010) and in summary are: - To encourage employment. - To encourage a range of land uses, including office, warehouse, business, retail, restricted retail, showrooms, business, corporate, conference and hotel facilities. - To encourage high tech aviation industries and aviation support where land abuts Precinct A (the Airport runways). The proposed extension of Chifley Drive to Boundary Road, and the provision of traffic lights at that intersection are specific actions identified in the Approved Master Plan Figure 4: Moorabbin Airport Master Plan - Precincts Subject Site To guide land use and development, Moorabbin Airport is also divided into three Special Use Zones (SUZ 1, 2 and 3). The project area is located in the SUZ 2 area (Refer Figure 5). Consistent with this zone, and in addition to aviation land uses, this area allows for the development of commercial, retail, business and office uses. An underlying intent is to establish a strong employment and business precinct and to maximise employment opportunities.

15 10 Figure 5: Moorabbin Airport Master Plan - Zones The Implementation Framework also outlines specific development controls. These controls are assessed by the relevant specialist reports and are also summarised in Section 6 of this report. The controls address: - Land Uses - Advertising Signs - Car Parking - Loading and Unloading of Vehicles - Design Principles for New Development. In accordance with the Airports Act 1996, an extensive consultation process was undertaken to develop the Approved Master Plan (2010). Consultation activities included informal meetings with Victorian government, local councils, the Airport s Community Aviation Consultative Group (with representatives from across the community) and community information sessions both prior to the exhibition of the Approved Master Plan 2010 and again during the formal Master Plan exhibition period. 4.5 Approved Environmental Strategy (2010) The Approved Environment Strategy (2010) for Moorabbin Airport was developed in conjunction with the Approved Master Plan (2010) as a requirement under the Airports Act 1996 and approved on the 25 February The Approved Environment Strategy (2010) provides the framework for environmental management and contains actions and commitments relating to how MAC intends to manage the environmental impacts of future operations and development at the Airport for long term sustainable outcomes. More specifically, the Strategy specifies MAC s Environment Policy, environmental management objectives, sources of environmental impacts, and measures for mitigating potential environmental impacts associated with Airport operations. The Environment Policy sets out MAC s overall environmental objectives and principal guidelines. The overall objective of the Environment Policy is...to minimise potential environmental impacts, comply with regulatory requirements, and continually improve environmental management at Moorabbin Airport. MAC s key commitments as outlined in the Environment Policy are: - Continually monitoring and evaluating the environmental performance of the Airport that will assist in the development and ongoing review of objectives and targets;

16 11 - Preventing and/or minimising pollution from activities carried out by implementing a range of measures from engineering pollution prevention and control, to increasing the environmental awareness of Airport stakeholders; - Complying with all statutory requirements with regard to existing regulations, codes of practice and quality standards; - Adopting industry standards applicable to the environmental management of aerodromes; - Implementing and maintaining the Environment Policy by adopting the MAC Pty Ltd Environment Management System; - Communicating this policy to Airport stakeholders that include employees, contractors and Airport tenants; - Providing adequate training and competent supervision; and - Implementing the Moorabbin Airport Environment Strategy. The following extract from the Approved Environment Strategy (2010) indicates that MAC aims to comply with state legislation as part of a good neighbour policy : MAC has therefore continued to develop and maintain its Legal and Other Requirements Register that identifies the key Federal environmental legislation - the Airports Act 1996 and the Airports (Environment Protection) Regulations 1997, as well as Victorian State environmental legislation. Examples of such State legislation include the Environment Protection Act 1970, the Environment Protection (Prescribed Waste) Regulations 1998 and the Dangerous Goods Act The MAC Environmental Management Plan (EMP) identifies the Airport s environmental issues, outlines the specific environmental objectives and contains a series of actions to be carried out over the Strategy period. It is the main environmental management tool that gives effect to the MAC Environmental Management System. This EMP contains a program of ongoing actions and new initiatives for implementation over the Strategy period. The EMP must also be reviewed every 5 years. The EMP addresses the following: - air quality (including ozone depleting substances) - noise emissions - water quality (including stormwater, groundwater and waste water) - soil quality - waste management - hazardous materials management - climate change - ecological sustainability - flora, fauna and habitat, and - Aboriginal and European heritage.

17 Project Description This section outlines the proposed development for the. It includes drawings that have been prepared by Group GSA, a detailed description of the proposed development and an overview of the planning and design of the. The drawings are attached within Appendix B of the MDP. They are: - Architectural Plans Site Plan Massing and Built Form Infrastructure and Services Vistas, Identity, Address and Entry Expression Pedestrian, Cycle and Vehicle Access Site Context Plan External materials and Finishes Floor Plan Roof Plan Fuel Facility Sectional plans East and West Elevations (including details of proposed signage) North and South Elevations (including details of proposed signage) - Landscape Plans Landscape Plan - Overall Landscape Design Intent Landscape Plan 01 Landscape Plan 02 Planting Schedule Landscape Details 01 Landscape Details 02.

18 Proposed Development The comprises the following core elements: - A Costco warehouse with a building area of 13,642 square metres, with an additional 122 square metres for pump/ switch/sprinkler valve rooms. - A Costco service station with a site area of 5,245 square metres. - Provision of 727 car parking spaces including 16 disabled/accessible spaces and 32 bicycle spaces - A total loading dock area of 395 square metres. - Extension of Chifley Drive through to Boundary Road 3. - Provision of a fully signalised intersection at the new Boundary Road/ Chifley Drive intersection². The Costco warehouse is a large format, membership only retail and wholesale warehouse. The Costco MDP Project also includes landscaping and sustainability initiatives. The subject site is located on a proposed bend in and extension of Chifley Drive, and has an overall area of 5.8 hectares Land Use Composition of the Proposed Development The main building, located in the north east corner of the site, will house the Costco warehouse, whilst the proposed service station, consisting of bowsers and a small controller enclosure, is located in the south-eastern corner of the site abutting the extended Chifley Drive. The remaining land will be used for landscaping, pedestrian and vehicular accessways and car parking. The retail floor area of the proposed development is 13,642m 2, with an additional 122 square metres for pump/ switch/sprinkler valve rooms. The Costco warehouse is a large format retail premises comprising a membership only retail and wholesale warehouse. Businesses generally comprise 30% of all sales and individual members the remaining 70%. The Costco warehouse offers a limited range of food and non-food items (approx. 4,500) where purchases in bulk are an option. The Costco warehouse also offers members: - Café (food and drink premises) - An Optometrist - Photo processing (self-serve) - Hearing aid service sales - A retail tyre outlet (limited to the sales and fitting of new tyres purchased from the outlet) In addition, this facility will offer a membership only petrol station facility. Hours of Operation Hours of operation for the proposed Costco warehouse will be 8am to 10pm, 7 days a week. Customer and Staff Amenities Public and employee amenities are generally provided in the south eastern corner of the Costco warehouse. Amenities include an employee locker room, a shower and staff and customer bathroom facilities. Disabled car spaces and bicycle spaces for staff and customers are located directly adjacent to the entrance to the Costco warehouse. 3 The extension of Chifley Drive and the intersection works at Boundary Road / Chifley Drive are being undertaken separately but concurrently, in accordance with the Approved Master Plan (2010)

19 Massing and Built Form The building is specifically designed to house the business model of a Costco warehouse. The built form is honest to the function of the building in the accommodation of a large format retailer. It is purposefully simple and restrained, and reflects the internal fit-out of the store. Car-parking, loading areas and service zones are directly determined by the buildings operations and services, and are largely concealed to the rear of the building to ensure a safe, clean and visually un-cluttered design response. The development s bulk and scale is consistent with neighbouring warehouse and distribution style buildings in this part of Chifley Business Park. These warehouse style buildings vary in size and façade treatment, including a Visy Pet Warehouse located to the west of the site, a Coca-Cola Amatil warehouse directly to the north, and warehouse units to the south-west. The building provides an envelope of approximately 140m x 100m, with a single entry and exit point in the south-western corner, facing Chifley Drive and the car park. Building height is determined by the perimeter parapet wall, which is below that of the neighbouring buildings in Chifley Business Park at RL AHD. This parapet conceals the guttering and mechanical services on the roof, allowing for a clean and unobtrusive façade as viewed externally. At the entry, the canopy and colonnade provides shelter for Costco members, and for trolley bay storage. This canopy is lowered from the rest of the building, providing a more human scale at the store entry. Site coverage The proposed building coverage on the site is approximately 23 per cent. Landscaping treatments will cover 5,785 square metres, which equates to approximately 10 per cent of the site. Frontages The primary street frontage for the development is an extended Chifley Drive. Chifley Drive currently terminates near the north-western corner of the subject site where it services the businesses described above. As part of this project, and consistent with the Approved Master Plan (2010), Chifley Drive will be extended across the upgraded Mordialloc Settlement Drain and connect at a new signalised intersection with Boundary Road. With the exception of the proposed membership only service station, the building form is setback substantially from the street frontages to provide for car parking and landscaping treatments. Materials There is a careful selection of materials, textures and colours for the Costco building that are prevalent with other large scale developments, similar in nature, along Chifley Drive. The majority of the warehouse building is clad with a select few colours and profiles of Colorbond metal wall cladding. The colours are primarily neutral with emphasis on warm grey/cream colour, which is suitable to the streetscape and non-obtrusive. The base of the building is treated to provide a more substantial look for the development with off form concrete. To maintain the clean lines of the façade, the guttering and roof top elements are all hidden behind the main parapet. The roof sheeting is made up from single pan profile sheets, of 600mm wide. Similarly, the wall cladding is a Butler profile sheet. The materials are typical to Costco developments across the world. They are inherently cost effective and likely to maintain a positive appearance in the future. Signage Six signs are proposed to be located on the Costco warehouse and four signs are to be located on the Costco service station. The proposed Costco warehouse signs will be attached to the warehouse building and will comprise: - One externally illuminated sign Costco wholesale sign at 6.5 metres wide by 1.79 metres high to appear on the south-western elevation (total area m²) - Four Costco wholesale signs at 11.1 metres wide by 3.13 metres high to appear on each fascia of the warehouse (total area of each sign m²)

20 15 - One non-illuminated Costco tyre centre sign at 5 metres wide by 0.53 metre high (total area m²) The four proposed Costco service station signs will be illuminated and attached to each fascia of the service station, comprising Costco gasoline signs at 2.57 metres wide by 0.71 metres high (total area of each sign m²) The illuminated signs will be attached to the building and externally illuminated through flood lighting. The signs will display the Costco corporate logo and colours. The signs will be simple in form and material and will be constructed of reverse pan channel with aluminium letters or flat cut aluminium composite materials. As specified by the Approved Master Plan (2010), the proposed signs will require approval as they exceed the size specifications in the Approved Master Plan (2010). There are no separate signs or pylons proposed along Boundary Road Vehicle and Pedestrian Access Access All access to the subject site is from the existing and extended Chifley Drive, which will wrap itself around the western and southern boundaries of the proposed development. Truck entry is limited to a single point at the south-eastern extremity of the subject site, with access provided along the eastern and northern boundaries behind the Costco warehouse. Egress is also limited to a single point at the north-western extremity of the subject site. This also provides the site with compliant fire brigade access. Truck movements and internal roadway widths are designed to accommodate B-Double trucks. This not only provides Costco with the most efficient delivery method, but also minimises the number of truck movements on any one day. Deliveries will be between 4am and 10am daily. Access to the petrol station is also limited to a single point of entry shared with the truck entry described above, and a single point of exit approximately 90 metres further west. Access for other vehicles is provided at two points along Chifley Drive, between the truck and petrol station exit points respectively. Service Access and Loading Bays The loading dock and compactor areas are accessed off the perimeter roadway, ensuring there is a distinct separation between cars and trucks. These areas face the Coca-Cola Amatil building and are relatively out of site at the north-western corner of the Costco warehouse. The Tyre Centre operates as a combined internal sales point, and external service point. Dedicated Tyre Centre parking is provided in the parking area immediately in front of the Tyre Centre s external service doors. Members park their car in a designated space and organise their tyre selection and transaction internally. Tyre deliveries are direct to the Tyre Centre service doors. Petrol Station deliveries will require access through the main petrol entry and exit, as is normal for these facilities due to the location of the underground tank fill points. The total loading dock area for the development is 395m 2. Car Parking Car parking for 727 car spaces, including 16 accessible spaces, is provided between the Costco Warehouse and Chifley Drive. As per Costco s standard design requirements, proposed car spaces are 5.75 long and 2.8m wide accessed from a 6.2m wide aisle. These exceed the Approved Master Plan (2010) requirements and reflect the bulk purchase nature of Costco. Pedestrian and Bicycle Facilities The proposed development provides clear, direct and legible internal pedestrian paths from the site boundaries to the main entry, and through the car parking area. These pathways link with the proposed Chifley Drive. The extension of Chifley Drive will provide for a shared pathway along its full length. At present, pedestrian paths in this part of Chifley Business Park terminate at the corner of Federation Way.

21 16 It is proposed to provide 32 x Class 3 external bicycle parking spaces as part of the proposed development near the main entry and pathways. These will be shared between both staff and members. One shower is provided for staff within the receiving area, being the primary staff entrance to the building Landscaping and Sustainability As described in the Approved Master Plan (2010) for Moorabbin Airport the intent of future landscape design is to encourage high quality urban design and built form, attractive landscape entry treatments, generous boulevards, sensitive treatment of key site frontages and balanced site coverage and incorporate design principles that enhance the liveability, visual amenity and safety of the public realm. The proposed landscape treatments play an integral role in the overall amenity and character of the proposed facilities and the relationship with neighbouring properties. Key design principles adopted to achieve the objectives of the Approved Master Plan (2010) and Approved Environment Strategy (2010) for Moorabbin Airport include: - Improve the existing environmental quality of the site by the utilisation of native vegetation, suitable for the site and climate; - Plant species selection that responds to the proximity of the site to the active airport runways and complies with aviation requirements that plants be non-bird attracting; - Enhance the amenity and safety of the public realm through landscape and contributing positively to the local urban character; - Enhance the experience upon arrival to the site using identifiable landscape treatments at entrances; - Highlighting entry points, key paths of access and pedestrian pathways throughout the site through selection of plant species to create identifiable avenues; - Provide an improved relationship with neighbouring properties and site frontage to Chifley Drive through landscape treatment to boundaries; - Provide a high level of amenity for visitors to car parking areas and key pedestrian pathways through the planting of trees to provide shade; - Provide a well maintained landscape; and - Including water sensitive urban design principles to effectively manage stormwater run-off and flows and improve the sustainable function of the site. The main components of the landscape treatment include: - Chifley Drive landscape to south-western boundary; - Featured landscape planting at entrances; - Mass planting to site boundaries; - Tree and understory planting to car park traffic islands; - Water Sensitive Urban Design principles through the implementation of rain gardens to selected car park traffic islands; and - Plant species selection to comply with aviation requirements to be non-bird attracting. Two footpaths provide pedestrian access between Chifley Drive and the main entrance, while additional paths provide access along the building edge and adjacent to car parking. These paths are broom finished coloured concrete with saw cut joints. Understorey planting within the car park includes low, hardy species such as Hardenbergia violacea, Lomandra longifolia Tanika and Poa labillardieri. Low planting to these areas allows clear visual surveillance and visibility for pedestrians and drivers to be maintained. Avenues of Platanus orientalis Digitata tree planting define key paths of travel. Square planter beds between car spaces are planted with Acer x freemanii and Zelkova serrate to provide shade and seasonal interest. Trees are also planted in traffic islands at the end of car parking rows to provide shade and reduce the heat loading generated by the car park surface.

22 Infrastructure and Services Stormwater/Drainage Stormwater from the site will be directed to a new pipe to be laid within Chifley Drive, with connection points adjacent the Petrol Station entry and main car entry driveways. The capacity of the stormwater system will be design to meet a 1 in 100 year storm event. Sewer The building will connect to the existing Clayton Branch sewer main located in the drainage channel to the east of the subject site. Water/Gas/Electrical/Communications The building will connect to existing services located in Chifley Drive. These connection points are located at the north-western corner of the site. A new substation is to be provided within the subject site adjacent the truck exit driveway in this location. Connections at this part of the development are able to be fed directly through the subject site and into the services rooms behind the compactor area. Service connections are shown in Figure 6below. Figure 6: Infrastructure and Services Plan

23 Assessment of the proposal against the Approved Master Plan (2010) 6.1 Land Use Policy The land use planning framework governing airports is comprehensive. Few other land uses are tested against these extensive metrics. Unlike the Victorian planning framework, the Airports Act 1996 requires a comprehensive assessment of development proposals against policy and standards across all three levels of government and against criteria ranging from high level strategy to detailed design and compliance and on matters ranging from airport planning and operations to strategic planning policy and ecological matters. A 60 day public consultation period is also required. Under Victorian planning legislation public exhibition is a much shorter timeframe and most land uses will have regard to matters of regional and local significance only, with very few having regard to national interests. The Approved Master Plan (2010) is the third and most recent expression of the vision and planning for Moorabbin Airport. The Approved Master Plan (2010), under which the must be assessed, draws together the various and broad constraints and opportunities affecting the Airport. Vision and Objectives The vision of the Approved Master Plan (2010) is: To continue to develop an efficient and fully functioning Airport of Regional and State significance, supported and enhanced by quality land use, which will significantly contribute to and improve and support the operation and growth of the Airport and the economic and social base of south eastern metropolitan Melbourne, particularly its local community. The Approved Master Plan (2010) also contains the following objectives: - To protect airspace and safety zone requirements; - To encourage the provision of high quality, user friendly public services and facilities; - To build on and advance the Airport precincts established employment role; - To encourage land use which enhances the core aviation function of the Airport and integrates with Airport operations and the local sub-region; - To encourage land use and development which is safe, efficient, flexible and environmentally sustainable; - To provide services and facilities for the growing employee population at the Airport; - To provide activities and services, including office, industrial, retail and commercial/business uses; - (To) Support and enhance the south east regional economy and community; - To strengthen the range of existing uses and compatibility of these and new land uses; - To support land use which, other than for Moorabbin Airport, could not generally be developed within the wider Kingston region; - To maximise the opportunity presented by the Airport precincts excellent access to the surrounding road network and proximity to a strong (and growing) labour force to improve the supply of local employment opportunities; - To build upon and improve key traffic, drainage and other infrastructure in the immediate environs of the Airport; and - To provide a high quality location and environment for a mix of aviation business and range of employment opportunities to be established.

24 19 Land Use Strategy The future planning and use of Moorabbin Airport is shown on the Approved Master Plan (2010) Indicative Land Use Plan (Figure 7: Indicative Land Use Plan). Consistent with the 1999 and 2004 Approved Master Plans, the Approved Master Plan (2010) recognises that Moorabbin Airport will continue to provide for increased retail and other land uses in order to cater for and complement the growing Airport population in the key commercial and business precincts. The Plan also supports the future upgrade of infrastructure and transport. The proposed is located in an area set aside on the overarching Indicative Land Use Plan for Business and Aviation support. Figure 7: Indicative Land Use Plan Discussion Development on land identified for Business and Aviation Support commenced with the Chifley Business Park in 1999, an exemplar business precinct in the region. The continues to support the growth of this area as an employment activity node and responds to the key strategic policy considerations outlined in the Approved Master Plan (2010). The Chifley Drive extension to Boundary Road also contributes to the Vision for and viability of the Airport and implements the Approved Master Plan (2010). The policy landscape surrounding the operation of Airports has changed considerably over the last years. Changes in Commonwealth legislation have sought to encourage the primacy of Airports, recognising their contribution to local, state and national economies. Within this fabric is the need to ensure that land required for both Airport operations (airside) activity and outside of airside requirements (landside) is to be used effectively and efficiently to maximise the operational and economic viability of the Airport. Specifically, the proposal introduces a well-planned and landscaped development containing a land use that is encouraged and compatible with the Approved Master Plan (2010) and the primary Airport use, and which will

25 20 service the growing airport, local and regional populations. The proposal: - builds upon the Airport precinct s established employment role, providing for approximately 80 direct and 130 indirect jobs during construction, and future employment of 375 (comprising 175 full time and 200 part time/casual jobs) direct and 225 indirect jobs, a significant proportion of which will be local; - is a high quality design response that whilst purpose built, meets relevant design, siting and environmental guidelines and which is designed to comply with relevant height and siting standards to ensure the ongoing safety of airport operations; - provides for appropriate transport infrastructure on the project area and integrates with and builds on broader transport infrastructure; - efficiently utilises land in an urban setting that has access to all relevant infrastructure services and which can use these services with limited augmentation, including key traffic, drainage and other infrastructure in the immediate environs of the airport, and - provides direct support to businesses on the airport and in the region by offering access to wholesale goods. Further, the Costco warehouse will support the operation of the Airport and: - Provide an additional revenue stream which will help support ongoing investment by MAC in infrastructure to the benefit of the airport as a whole and its civil aviation users. - Provide enhanced services and facilities on the airport site for use by aviation and other users of the airport, including existing businesses on the airport and their employees. - Provide greater employment opportunities on the airport. - Provide an enhanced pedestrian and vehicular transport network on the airport site by extending Chifley Drive through to Boundary Road which will have significant benefits for users of the Chifley Business Park. - Complement and integrate with the existing businesses on the airport which will encourage new aviation and other businesses to locate at the airport which will in turn support the ongoing operation of the airport. - Provide for the efficient and effective use of land with limited and minor impact on existing competing businesses in the region. It is important to note that the proposal will be sited on land surplus to existing and future aviation requirements and it will not impact on aviation operations in any way. This is confirmed in the Aviation Report. Further detail on the land use, economic, social and design impacts and benefits of the proposal are detailed in subsequent sections of this report and in other specialist reports.

26 Precinct Policy Precinct D The Airport Precinct Plan contained in the Approved Master Plan (2010) locates the project area in Precinct D (Figure 8: Airport Precinct Plan). This Precinct is set aside for a mix of industrial, office, retail, commercial and aviation support land uses. High intensity land uses with a stronger employment focus are expected to locate in the eastern portion of this Precinct. Figure 8: Airport Precinct Plan Specific objectives for this precinct include: - To provide additional employment opportunities for the region linked to the Principal Public Transport Network. - To develop a strong employment activity node which may include, office, warehouse, business, retail, restricted retail, showrooms, business, corporate, conference and hotel facilities. - To promote opportunities for employment in a manner that contributes to the high profile, high quality landscaped environment already in part established on the site. - To encourage opportunities for high tech aviation industries and aviation support on land abutting Precinct A (further west). - To encourage development to provide strong pedestrian linkages with the Principal Public Transport Network. Relevant Strategies to achieve these objectives are to: - Promote opportunities for new land use to integrate with and expand on the existing high quality business and commercial activities. - Recognise and support the existing industry, warehouse, office and commercial activities. - Promote this precinct for commercial, business, retail, industrial, office and corporate related facilities.

27 22 - Encourage journey to work opportunities via the Principal Public Transport Network along Centre Dandenong Road. - Protect airside and aviation activities by ensuring the appropriate siting and design of all buildings and infrastructure. - Promote opportunities in appropriate locations for high tech aviation industries and aviation support activities. - Encourage high quality urban design and built form, attractive landscape entry treatments, generous boulevards, sensitive treatment of key site frontages and balanced site coverage. - Provide services and facilities for the growing employee population at the Airport and in the region. - Ensure that activities within this precinct have regard to the interfaces with other precincts and non-airport land. - Reserve land for the Mordialloc Settlement Drain reserve. Discussion The proposal supports and implements these objectives. Specifically the proposal: - Continues to develop the precinct as a strong employment activity node, - Provides services and facilities for the growing business and employee population at the Airport and in the surrounding region. - Provides for additional employment opportunities for the region, linked to the Principal Public Transport Network. - Recognises and supports existing industry, warehouse, office and commercial activities. - Promotes a design that continues the high profile, high quality landscaped environment already established in the project area. - Is designed to: o o o o Protect airside and aviation activities by ensuring the appropriate siting and design of all buildings and infrastructure. Have regard to the interfaces with other precincts and non-airport land. The proposal has minimal amenity impact on the Airport or other nearby land uses (the nearest residential property is approximately 800 metres away), and only a limited and reasonable impact on other comparable land uses in the region. Provide increased amenity by way of employment, improved access to services and increased competition, as well as service the business needs of land uses at the airport and in the region. These benefits also bring direct benefit to the locality and the economy of the region. The specific Economic and Social impacts and benefits of the proposal are discussed in more detail in subsequent sections of this report, and in greater detail in the Social Impact Assessment (Helen Weston, 2014) and Economic Impact Assessment (Essential Economics, 2014). Incorporate improved pedestrian links to public transport routes.

28 Land Use and Development Special Use Zone Schedule 2 Section 4 of Part B of the Approved Master Plan (2010) provides a zoning plan for the entire Moorabbin Airport site. Within this zoning plan (Figure 5: Moorabbin Airport Master Plan - Zones), the project area is affected by the provisions of the Special Use Zone Schedule 2 (SUZ 2). Zone Purpose The purposes of the SUZ 2 are to: - To provide for the use and development of the land in accordance with the Moorabbin Airport Land Use Policy. - To encourage the development of aviation related uses. - To encourage the development of commercial, retail, business and office uses. - To establish strong employment and business precincts and maximise employment opportunities. Discussion The proposal is consistent with, and implements the purposes of the SUZ 2. Specifically, the proposal: - Is consistent with the relevant policy as described and discussed in Section 6.1, 6.2 and the zone purpose. - Protects and encourages aviation on site by providing a benign and complementary use in proximity to aviation zoned land. - Provides for a land use which further reinforces the employment and business imperatives of this precinct, as a result of both short term construction and long term employment opportunities. Table of uses Under the definitions attached to the Approved Master Plan (2010), the proposed membership based retail and wholesale warehouse can be defined as a retail premises and the proposed petrol station can be defined as a service station. A retail premises is defined in the Approved Master Plan (2010) as: Land used to: (a) sell goods by retail, or by retail and wholesale; (b) sell services; or (c) hire goods It includes but is not limited to: - food and drink premises - Gambling premises - Landscape gardening supplies - Manufacturing sales - Market - Motor vehicle, boat or caravan sales - Postal agency - Primary produce sales - Trade supples

29 24 It does not include: - Shop Pursuant to the table of uses provided with the SUZ 2, planning approval is not required for the use of land for a retail premises or service station. As such, in accordance with the Approved Master Plan (2010) planning approval is not required for the proposed use of the site for the. Discussion The proposed land use does not require planning approval pursuant to the Approved Master Plan (2010). It is noted that the proposal is accompanied by detailed development plans and a wide range of specialist reports which provide a complete assessment against all relevant considerations. In particular: - The purpose of the use and the types of activities to be undertaken on the subject site are described in the MDP. - A site plan drawn to scale showing the location of the proposed use and activities accompany the MDP. - The proposed development will not impact on the amenity of any sensitive land uses. - An economic impact assessment has been undertaken which identifies the economic benefits and impacts of the proposal. Buildings and works Approval is required for buildings and works. An application must be accompanied by, the following, as appropriate: - A site plan drawn to scale. - Scaled elevation drawings to identify the colour and materials of all buildings and works. - Construction details of all drainage works, driveways, vehicle parking and loading areas. - A landscape layout which includes the description of vegetation to be planted, its source, the surfaces to be constructed, site works specification and method of preparing, draining, watering, maintaining and monitoring the landscape area. - Details relating to access, building materials and colour, vehicle parking, and height limitations. - Pre and post-construction environmental and works plan. Discussion The proposal is accompanied by detailed development plans which satisfy the matters above. Further, various specialist reports provide detail on design, landscaping, construction management and environmental and works management. Subject to approval of the, relevant approvals from the Airport Building Controller and Airport Environment Officer will be sought. Advertising Signs The purpose of this section is: - To allow adequate and effective signage at Moorabbin Airport. - To ensure signs do not contribute to excessive visual clutter or visual disorder. - To ensure that signs do not cause loss of amenity or adversely affect the natural or built environment or the safety, appearance or efficiency of the Airport.

30 25 Pursuant to this provision, the following applies: Table 1 Signage Requirements Section 1 - Approval not required Sign Business identification sign Direction sign Section 2 - Approval required Floodlit sign Internally-illuminated sign Any other sign not in Section 1 Condition The total advertisement area of all signs to each premises must not exceed 8 sqm. This does not include a direction sign. Only one to each premises. Must comply with the requirements of the Airports Act 1996 and regulations in relation to lighting around airports. An Internally Illuminated Sign is defined as: A sign illuminated by internal lighting or which contains lights or illuminated tubes arranged as an advertisement. A Direction Sign is defined as: A sign not exceeding 0.3 square metres that directs aircraft, vehicles or pedestrians. It does not include a sign that contains commercial information. The Approved Master Plan (2010) provides the following Decision Guidelines. Before deciding on an application to display a sign, the MAC must consider, as appropriate: - The requirements of the Airports Act 1996 and regulations in relation to lighting around airports. - The impact on aircraft movements and safety. - The relationship to the streetscape, setting or landscape. - The relationship to the site and building. - The impact of structures associated with the sign. - The impact of glare and illumination. - The need for identification and the opportunities for adequate identification on the site or locality. - The impact on aviation and road safety. Discussion Six signs are proposed to be located on the Costco warehouse and four signs are to be located on the Costco service station. The proposed Costco warehouse signs will be attached to the warehouse building and will comprise: - One externally illuminated sign Costco wholesale sign at 6.5 metres wide by 1.79 metres high to appear on the south-western elevation (total area m²) - Four Costco wholesale signs at 11.1 metres wide by 3.13 metres high to appear on each fascia of the warehouse (total area of each sign m²) - One non-illuminated Costco tyre centre sign at 5 metres wide by 0.53 metre high (total area m²) The four proposed Costco service station signs will be illuminated and attached to each fascia of the service station, comprising Costco gasoline signs at 2.57 metres wide by 0.71 metres high (total area of each sign m²) The illuminated signs will be attached to the building and externally illuminated through flood lighting. The signs will display the Costco corporate logo and colours. The signs will be simple in form and material and will be constructed of reverse pan channel with aluminium letters or flat cut aluminium composite materials. As specified by the Approved Master Plan (2010), the proposed signs will require approval as they exceed the

31 26 size specifications in the Approved Master Plan (2010). Application requirements: In accordance with the Approved Master Plan (2010), the proposal is accompanied by: - A site context report that describes the surrounding area, - Plans showing the location, dimensions and height above ground level of advertising signage, - A description of the existing character of the area, including built form and landscapes, - Information on other large signs within 200 metres of the project area (of which there are none), - Signage in the area is typified by pylon signage and illuminated signage on the façade of buildings such as at the nearby Direct Factory Outlet, McDonalds, Shell Service Station and industrial warehouses. In response to the decision guidelines for advertising signage, signage associated with the proposed development: - Cannot be seen from residential areas and therefore will not impact on the amenity of residential areas. - Will not obstruct traffic signals or pose any other distraction to drivers through flashing or animation. - Will not impact on significant or prominent views or vistas in the locality as these are limited. - Meet the requirements of the Airports Act 1996 and regulations with regard to light emission standards on airport, Obstacle Limitation Surface and aircraft movement and safety. - Are located below the Obstacle Limitation Surface and will be of an intensity and baffled to ensure that there will be no direct or indirect impact on aircraft movement and safety. - Are consistent with the existing streetscape, setting and landscape in their nature, design and location is generally well separated and of a number, size and intensity proportionate to the buildings and the project area, and are reflective of typical signage associated with this type of development. - Have taken reference from the future streetscape, setting and landscape envisaged by the proposed redevelopment and is in context with this general uplift in the quality and experience of these elements. - Given the size of the project area, are generally well separated and are of a number, size and intensity proportionate to the buildings and the project area, and reflective of typical signage associated with this type of development, and - Are of a nature and spacing that is commensurate with the size of the project area and the nature of the proposed uses. The signs are in keeping with the nature of the development, do not detract from the amenity of the area, and comply with the relevant purposes and requirements of the Approved Master Plan (2010) and the Airports Act Car Parking A new use must not commence or the floor area of an existing use must not be increased until the required car spaces have been provided on the land. Car parking requirement for the proposed use are not specified in the Approved Master Plan (2010). Where a use is not specified in the table, an adequate number of car spaces must be provided to the satisfaction of the MAC. Discussion Consistent with the Approved Master Plan (2010) provisions, when a use is not specified in the car parking table to the Master Plan, an adequate number of car spaces must be provided to the satisfaction of the MAC. The Transport Impact Assessment Report, GTA, 2014 (the GTA TIA report) concluded that 681 car spaces are required for the Costco warehouse based on likely peak demand. The proposed development provides for 727 car parking spaces for staff and customers inclusive of 16 disabled car parking spaces. Whilst no car parking is proposed for the Costco service station, this is considered to be acceptable given that the

32 27 Costco service station will operate as a membership only self-service and pay facility, with all transactions occurring at the petrol pump. There will be a manned booth at the Costco service station, with a staff member available to assist customers where necessary. It is expected that this staff member can park in the wider Costco warehouse car park, as needed. Car parking is for customers and staff and is unlikely to be used by nearby businesses for alternative purposes. GTA has also prepared the Integrated Transport Plan which supports the integration of the proposed development within existing movement networks. Design and Construction As per Costco s standard design requirements, proposed car parks are 5.75 long and 2.8m wide accessed from a 6.2m wide aisle. These exceed the Approved Master Plan (2010) requirements and reflect the bulk purchase nature of Costco. Turning space for forward exiting is provided and each car space generally is accessible from two directions. There is one dead end aisle serving six car bays, located in the northern portion of the main car parking area and to the west of the loading area, however sufficient manoeuvring space has been provided at the end of this row of car parking to allow cars to manoeuvre in a satisfactory manner. The car parking area will be formed and drained such that it can be used in accordance with the plan. In addition it will be appropriately surfaced and line marked. Other design elements Landscaping to the car park will include tree species of heights, at maturity of between 13m and 20m designed to provide shade. Hedge planting will be undertaken on the Chifley Drive street frontage to integrate the visual impact of the car park. Consistent with being on an Airport, landscape species will be selected that do not attract bird life. Car parking spaces are provided across the site, adjoining each of the retail offerings. A total of 16 disabled car parking spaces are located close to building entrances. To provide a secure car parking area and safe movement of pedestrians, the car park will be lit by mounted lights. There will also be lights mounted to buildings. All external lighting has been designed to comply with aviation requirements relevant to the project area. Loading and Unloading of Vehicles The purpose of this section is to set aside land for loading and unloading commercial vehicles to prevent loss of amenity and adverse effect on traffic flow and road safety. It requires loading facilities to be provided in accordance with the following table: Table 2 Loading Bay Requirements Floor Area of Building 2,600sqm or less in single occupation For every additional 1,800sqm or part thereof Minimum Loading Bay Dimensions Area Length Width Height clearance Additional 27.4sqm 7.6m 3.6m 4.0m 18sqm Discussion In accordance with the Approved Master Plan (2010), 139 square metres and 54 square metres of loading space are required for the Costco Warehouse and Costco service station respectively within the subject site. The proposed Costco Warehouse and Costco service station provide for 395 square metres and 150 square metres of loading space respectively, which is well in excess of requirements. The design of driveways and loading areas is consistent with the requirements of the Approved Master Plan

33 28 (2010). Driveways at each of these entries exceed 3.6 metres. Vehicle access to the is via minimum eight metre and 6.25 metre wide roadways respectively. The loading bays have been appropriately designed to accommodate vehicles of a size up to and including B-Doubles via dedicated service roads. Vehicle access to the Costco warehouse is proposed to occur via two car park access points and one service vehicle access located on the Chifley Drive extension. Separate entry and exit accesses are also proposed for the Costco service station. More detail on the operation of the loading bays is contained in the GTA Traffic Impact Assessment Report (GTA 2014). Design Principles for New Development The objective of this section is to achieve high quality urban design and architecture that: - Reflects the role, operation and safety requirements of Moorabbin Airport - Enhances liveability, visual amenity and safety of the public realm - Minimises detrimental impact on neighbouring properties. Specific guidance is provided under the headings of Context, Public Realm, Entry Nodes and Streetscape Design, Site Coverage, Building Height, Setbacks, Building Design, Details and Materials, Energy and Resource Efficiency, Car parking, Loading Bays, Landscape Architecture and Aviation Risk Assessment. Discussion As noted in Section 5, the building is specifically designed to house a Costco warehouse. The built form is honest to the function of the building as accommodating a large format retailer. It is purposefully simple and restrained, and reflects the internal fit-out of the store. Car parking, loading areas and service zones are directly determined by the buildings operations and services, and are concealed to the rear of the building in order to best provide a clean and visually un-cluttered vista along Chifley Drive. The development s bulk and scale is consistent with neighbouring warehouse and distribution buildings within this part of Chifley Business Park that vary in both size and façade treatment, including a Visy Pet Warehouse located to the west of the site, a Coca-Cola Amatil warehouse directly to the north, and warehouse units to the south-west. Building height is below that of the neighbouring buildings, and the building parapet conceals the guttering and mechanical services on the roof, allowing for a clean and unobtrusive façade as viewed externally. At the entry, the canopy and colonnade provides shelter for Costco members, and for trolley bay storage. This canopy is lowered from the rest of the building, providing a more human scale at the store entry. There is a careful selection of materials, textures and colours for the Costco building that are prevalent with other large scale developments, similar in nature, along Chifley Drive. To maintain the clean lines of the façade, the guttering and roof top elements are all hidden behind the main parapet. In this context, the proposed development achieves the objectives of and design principles contained in the Approved Master Plan (2010). In accordance with the Approved Master Plan (2010) the proposed MDP includes: - A detailed analysis of site context. - Enhances the amenity and safety of the public realm and balance the levels of sun and shade within public spaces. - Provides a sense of clear public entry for all modes of transport to the project area and separates heavy vehicle movements and visually screen loading areas from the main public areas. - Embeds ESD initiatives in the design response and adopts principles for the incorporation of ESD into the construction and operation.

34 29 - Provides an appropriate level of car parking but also encourage and support alternative travel modes. - Provides appropriate site coverage to allow for landscaping. - Comprises of architecturally designed buildings that reflect and respond to the heights and proportions of buildings along the boundaries and to neighbouring land uses and the Moorabbin Airport site. - Embeds landscape architecture as an integral part of the design response, and providing an appropriate balance between site coverage, landscaping and pedestrian spaces for the type of use and consistent with nearby land uses. - Provides setbacks from the main roads in order to provide sufficient landscaping of the streetscape. - Provides an appropriate level of car parking and appropriately designed and located loading areas that are screened (as far as practical) from general public areas. - Addresses aviation risk through the design initiatives implemented. This MDP includes a separate aviation assessment prepared by Kneebush Planning.

35 Victorian Planning System 7.1 Overview The Victorian Government has recently undertaken to significantly reform the Victorian planning system, having introduced and in the process of introducing a suite of new policy documents and zones to stimulate and guide future development in the State. This includes: - A revised State planning framework comprising a new metropolitan planning strategy encompassing the Greater City of Melbourne, and eight regional growth plans encompassing the remainder of the State - A review of the State Planning Policy Framework and the Local Planning Policy Framework in the Victorian Planning Provisions, which are the foundation of every planning scheme in the State - Land use zoning reforms across all rural and urban zones, incorporating changes to all commercial, industrial and residential zones. Announcing the approval of the reformed planning zones, Planning Minister Matthew Guy stated For Victoria to continue to be a business leader and an attractive place to invest we must have the right conditions in place to enable greater flexibility and growth opportunities for our commercial and business centre. If our state is to grow and adapt to changing market conditions then we cannot operate a 21st century economy with a 20th century planning system. These reforms are essential and overdue, Mr Guy added. This reform complements Securing Victoria s Economy (2012), the Victorian Government s strategy to strengthen Victoria s economic future. A strong and vibrant economy is fundamental for Victoria s future, and Securing Victoria s Economy is the State government platform for generating the confidence, investment and employment vital for Victoria s ongoing prosperity. Among other matters, Securing Victoria s Economy further develops reforms founded in Productivity Commission s report on the Economic Structure and Performance of the Australian Retail Industry (2011) which noted, among other things, that business flexibility can be restricted by excessive regulation and unduly restrictive policies. Securing Victoria s Economy notes that Victoria s economic diversity is an important competitive advantage, helping the economy to weather cyclical fluctuations and manage broader structural change. Maintaining this diversity requires economic flexibility creating maximum ability for the economy to adapt to change and take advantage of new economic opportunities. It is vital that policy settings allow for this flexibility and changing investment and employment patterns. (Securing Victoria s Economy. P39) The Government s strategy is to stimulate sustainable economic growth. This is supported by modified planning policy promoting flexible land use and economic adaptability, and zoning reform that allows more as of right uses and other changes in commercial and industrial zones, and reduces entry barriers making Victoria s planning system the most competitive in Australia. The recent reforms to the Victorian planning system are still being implemented and those relevant to the Costco MDP Project are discussed in greater detail below. Plan Melbourne (2013) Plan Melbourne has recently been released in draft form by the Victorian Government. It is a metropolitan planning strategy that seeks to guide the future growth of the metropolitan area and of Victoria s peri-urban and rural cities and townships. The strengthening of Melbourne s economic position also underpins Plan Melbourne. Plan Melbourne envisages: - An expanded Central City at the hub of an "Integrated Economic Triangle" of employment, ports and transport links, and an emphasis on supporting National Employment Clusters, Metropolitan Activity Centres, State Significant Industrial Precincts, Transport Gateways, Activity Centres and Neighbourhood Centres. - Increased local employment opportunities - Delivery of the 20 minute city, where residents can access services, including community, retail and employment needs within an accessible 20 minute journey - The majority of new dwellings, 600,000 out of a total of 1,046,000, to be built in established areas.

36 31 - The best use of well-priced and located commercial and industrial land. - A third passenger airport in the outer south-east, with potential locations between Koo Wee Rup and Lang Lang, and - Airports as important movers of freight and people. Plan Melbourne recognises Moorabbin Airport as part of the Moorabbin/Braeside Industrial precinct and notes the urban uses of Chifley Business Park, the DFO and Kingston Central on the Airport. It is anticipated that Plan Melbourne will be implemented into the Victorian planning system in early Policy Review The State Government has also commenced a review of the State Planning Policy Framework (SPPF), a key policy component of the Victoria Planning Provisions and a requirement of every planning scheme in Victoria. The SPPF is the expression of State policy (including that emerging from Plan Melbourne) in Victorian planning schemes. The Ministerial Advisory Committee appointed to this task has also been asked to include consideration and the relationship of local policy (prepared by local government) with a revised State policy structure. Plan Melbourne also notes that the SPPF should be updated to clarify the role and function of Melbourne s airports, including Moorabbin Airport. The Advisory Committee has been asked to submit a revised SPPF, including Plan Melbourne directions, for consideration by the Minister for Planning by end of 2013, and a final report by mid Land Use Zoning Reforms The new commercial and industrial zones were introduced on 1 July The new commercial zones provide greater flexibility and growth opportunities for Victoria s commercial and business centres, respond to changing retail, commercial and housing markets by allowing for a wider range of uses that will support more mixed use employment. The reformed industrial zones support business investment and industry by responding to new and emerging trends regarding the mix of industry and office, and provide greater incentive for business investment. Notably restrictions have been reduced regarding office development in industrial zones, and small supermarkets are now allowed in the Industrial 3 Zone. Further, current limits on the amount of retail floor space permitted in certain centres or locations are to be removed and the locations where retail uses can be provided are being expanded. The Minister for Planning noted the State Government s drive to position Victoria s planning system as the best in Australia to incentivise for new employment growth. Discussion The State Government s planning reform highlight a number of factors relevant to the future of Moorabbin Airport and the contribution it is expected to make to achievement of a strong Victorian economy. This reform: - Recognises and supports the importance of economic growth and local and regional employment in underpinning a competitive economy. - Requires greater (and local) access between residents and their service and employment needs within a notional 20 minutes travel time, - Recognises and supports the critical role of competitive airports, and - Supports infrastructure investment and a greater alignment between infrastructure investment and broader, transformational metropolitan planning objectives.

37 Planning Provisions - Kingston Planning Scheme As Moorabbin Airport is Commonwealth land, it is not subject to the legislative provisions of the Victorian Planning System. However, pursuant to Section 91 of the Airports Act 1996, the proposed development must consider the extent (if any) of consistency with planning schemes in force under a law of the State in which the airport is located, and if the major development plan is not consistent with those planning schemes, the justification for the inconsistencies. Any assessment of the consistency of the proposed Costco warehouse against the Kingston Planning Scheme is inherently difficult due to its exclusion from the Scheme due its Commonwealth status. References to Moorabbin Airport in the Kingston Planning Scheme are at times inconsistent, by either: - not recognising the site, - contemplating the Airport as a non-urban site or - recognising and supporting the site for urban activities and as a key employer in the region. To provide a context for the planning assessment under the Kingston Planning Scheme, it is important to understand how that planning scheme would categorise and describe the proposed use. As highlighted earlier in this report, the land use proposed is a large format, membership based, retail and wholesale warehouse and a membership only petrol station. Large format land uses such as the Costco MDP Project, are popular and successful operations offering customers affordable pricing based upon cost benefits associated with buying in bulk and passing those savings onto customers. These uses have quite specific siting requirements. Typically, they require large, flat sites (5ha plus), large warehouse style buildings and ample parking. Along with national retailing industry policy reviews and initiatives, these uses have redefined conventional retailing by increasing competition and reducing prices, and expanded retail policy, particularly in terms of location in relation to established activity centres. Costco is not typically used by customers as a replacement for the local store or supermarket, but for less frequent bulk purchasing of a more limited range of goods. Costco will carry approximately 4,500 individual products, whilst a conventional supermarket will carry 30,000, and a large discount department store closer to 40,000. The range of goods extends groceries to sporting equipment, clothing and jewellery, whitegoods, electrical equipment, wine and liquor, sheets, towels and pet food. Costco warehouses compete with a very wide range of alternate shopping locations, including supermarkets, discount department stores, specialty stores, bulky goods/homemaker outlets, individual retailers and wholesalers. The trade area served by a Costco is regional. Consequently, its overall impact on individual businesses is limited. The Costco model also includes membership which also enables costs of goods to be kept to a minimum, with prices 10-25% lower than the overall price of the same items at competitors. Some 30% of Costco s sales are businesses either purchasing goods for themselves (i.e. offices) or for on-selling to consumers (i.e. corner stores). Costco has over 620 warehouses worldwide. In Melbourne, Docklands is an operational store. A second has opened in Ringwood and an application for a third, in Epping is currently nearing the completion of the planning process. Under the Victoria Planning Provisions (the VPP s the standards upon which the all planning schemes in Victoria must be based), the proposed use would be defined as a Retail Premises (the Costco warehouse and a Service Station. The VPP definitions are included below for reference and clarity. Retail Premises Land used to: a) sell goods by retail, or by retail and wholesale; b) sell services; or c) hire goods. Service Station Land used to sell motor vehicle fuel from bowsers, and lubricants. It may include the:

38 33 a) selling of motor vehicle accessories or parts; b) selling of food, drinks and other convenience goods; c) hiring of trailers; d) servicing or washing of motor vehicles; and e) installing of motor vehicle accessories or parts. 7.3 State Planning Policy Framework (SPPF) This section summarises key elements of the current State Planning Policy Framework (SPPF). These elements highlight relevant State Planning Policy considerations that frame the consideration of the proposed development. As noted earlier, an Advisory Committee has been appointed to report on the review of the SPPF to align with the review of a number of State policy matters, including the newly developed Plan Melbourne. The SPPF seeks to ensure that the objectives of planning in Victoria are fostered through appropriate land use and development planning policies and practices which integrate relevant environmental, social and economic factors in the interests of net community benefit and sustainable development. These objectives are: - To provide for the fair, orderly, economic and sustainable use and development of land. - To provide for the protection of natural and man-made resources and the maintenance of ecological processes and genetic diversity. - To secure a pleasant, efficient and safe working, living and recreational environment for all Victorians and visitors to Victoria. - To conserve and enhance those buildings, areas or other places which are of scientific, aesthetic, architectural or historical interest, or otherwise of special cultural value. - To protect public utilities and other assets and enable the orderly provision and coordination of public utilities and other facilities for the benefit of the community. - To facilitate development in accordance with the objectives set out in the points above, and - To balance the present and future interests of all Victorians. Discussion The high level objectives provided above set the framework for more specific and detailed policy and standards that articulate these aspirations at different levels of detail and across a broad range of policy issues and land uses. Matters requiring planning approval and consent often raise benefits and potential impacts, and the planning authority, be it government, a regulated authority or an appeals body is required to make a decision balancing these factors. Clause provides the following guidance: Planning authorities and responsible authorities should endeavour to integrate the range of policies relevant to issues to be determined and balance conflicting objectives in favour of net community benefit and sustainable development for the benefit of present and future generation. The following sections assess this proposal against State policy, local policy and relevant particular provisions in this manner. The is considered to particularly provide for the fair, orderly, economic and sustainable use and development of land, bringing considerable benefit to the locality and region with limited adverse impact.

39 34 The following table provides a summary of the proposed development against the SPPF. Summary of Response to the State Planning Policy Framework Policy Clause 11 Settlement Clause 11 of the SPPF addresses Settlement Policy. Pursuant to this Clause, planning is to anticipate and respond to the needs of existing and future communities through provision of zoned and serviced land for housing, employment, recreation and open space, commercial and community facilities and infrastructure. Specifically, planning is to also recognise the need for, and as far as practicable contribute towards: - Health and safety. - Diversity of choice. - Adaptation in response to changing technology. - Economic viability. - A high standard of urban design and amenity. - Energy efficiency. - Prevention of pollution to land, water and air. - Protection of environmentally sensitive areas and natural resources. - Accessibility, and - Land use and transport integration. Planning is to prevent environmental problems created by siting incompatible land uses close together and is to facilitate sustainable development that takes full advantage of existing settlement patterns, and investment in transport and communication, water and sewerage and social facilities. Response The proposal raises issues of impacts and benefits which are considered in greater detail in subsequent sections of this report, and in explicit detail in separate specialist reports. The is considered to be generally consistent with this clause as the development responds to the needs of existing and future communities by: - Supporting a vital aviation operation in Victoria s network of airports and in turn support the growth of the local, regional and State communities and economies both in terms of services to airport users and by way of income to support airport operations and improvements - Providing significant direct and indirect employment for the local area and region - Initiating and supporting local infrastructure improvements and initiatives, including roads and pedestrian network improvements - Providing a high quality and sustainably designed response - Managing and minimising environmental impacts - Increasing retail choice and competition in the locality and region with minimal impact on other local and regional land uses - Providing diversity, access and improved levels of service for local and regional communities with limited impact on other centres in the locality and region - Supporting the growth and needs of the local community, airport users, the Chifley Business Park, land side activities and surrounding commercial land uses, and - Providing an integrated transport and land use outcome. As a land use of regional significance, the Costco warehouse will increase the profile of the area, including the awareness of the broader range of facilities and services that the area has to offer. It is likely to stimulate further development and uplift in the surrounding area on and off airport. The proposed development will support the Airport s specialised role and function as a mixed use employment precinct in the region. Importantly, in the context of strategic settlement planning, the proposed development will provide an overall net community benefit with limited impact on other activities in the area and region by way of economic impacts, movement and safety or amenity.

40 35 Summary of Response to the State Planning Policy Framework Policy Clause Activity Centres Clause Activity Centre Planning encourages the concentration of major retail and commercial developments into activity centres. Activity centre policy is guided by Clauses Activity centre network and Activity centre planning and supported by Clause Activity centre hierarchy. A key strategy of this Clause is to develop and support a network of activity centres that: - Comprises a range of centres that differ in size and function. - Is a focus for business, shopping, working, leisure and community facilities. - Provides different types of housing, including forms of higher density housing. - Is connected by public transport and cycling networks, and - Maximises choices in services, employment and social interaction. These policies seek to encourage and manage the growth of identified activity centres. Response Moorabbin Airport was excluded from consideration because it is a Commonwealth owned site. Because of the conflicting nature of the objectives of this policy and its relationship to the Airport, the net community benefit provision of Clause applies. With the existing diversity of land uses, the Airport functions as a strong, mixed use employment precinct. It is already a major focus of employment and commercial activity within the locality and region comprising airport, office, retail, restricted retail and industrial uses providing for with approximately 3,300 direct jobs. Moorabbin Airport has a busy and diverse mix of business, retail and service uses that generate a high number of trips. The subject site is generally well serviced by public transport routes and is located close to the Principal Public Transport Network. Clause Activity centre planning encourages the concentration of major retail and commercial developments into activity centres. Activity centre policies do not prohibit the establishment of retail activities in locations other than activity centres. Clause Out of centre development for Metropolitan Melbourne, (which is discussed below) allows commercial development outside of designated centres to be considered where the proposed use or development is of net benefit to the community in the region served by the proposal or provides small scale commercial opportunities that meet the needs of local residents and workers in convenient locations. The emergence of large format retailing has also challenged planning frameworks and those frameworks have recently been modified to allow growth of this legitimate form of retailing through zoning reform. The comprises a large format, membership only retail and wholesale warehouse which includes hearing and optical services, tyre sales and fitting outlet and a membership only petrol station. Like other emerging large format retail uses (e.g. Masters), the demonstrates particular and limiting locational requirements such as those found on this site. These include minimum lots sizes in the order of 5ha, large footprint buildings, minimum lot depths, flat land, space for ample car parking and excellent road access. As noted in the Report of the Advisory Committee appointed to consider the Woolworths Oxygen proposals (now known as Masters) there are limited opportunities to find such sites with the requisite size and configuration within or adjacent to existing recognised activity centres in the region, and further question as to the appropriateness of such a use in an activity centre if a site could be found. This Advisory Committee subsequently supported recognition of the emergence of large format retailing in planning, and supported a variety of sites across Melbourne for the Woolworths Oxygen uses. In this regard, the application of these same principles with regard

41 36 Summary of Response to the State Planning Policy Framework Policy Response to the Costco warehouse raises the same planning and site selection issues. The proposed development will bring a net benefit to the local and regional community with limited and reasonable impacts on activity centres in the region. The Economic Impact and Social Impact Assessments explore these impacts in significant detail. In particular, the following key conclusions are taken from the Economic Impact Assessment: - Costco differentiates itself from traditional retailers by following a membership-based model, with an emphasis on a limited range of merchandise for which bulk purchases are the primary option. - Costco typically has about 4,500 individual products on its floor at any one time, and this is much less than the 30,000 or more products typically on the shelves at a full-line supermarket, or around 40,000 products on offer in a large discount department store such as Kmart, Big W or Target. - A Main Trade Area (MTA) has been defined reflecting the broad trading patterns associated with the Costco model and the ability of the Warehouse to benefit from visitation generated by other on-site uses including the existing DFO outlet centre. - Costco relies on a catchment of 700,000 where a full line supermarket relies on a catchment of 8, Costco Moorabbin would achieve a market share of 0.5% of spending by residents of the MTA in Trading impacts associated with the proposed Costco Warehouse at Moorabbin Airport are forecast to be within the normal bounds of retail competition. Further, economic benefits associated with the proposed Costco Warehouse at Moorabbin Airport include: - Construction investment of $35 million - A total of 80 direct jobs created during the construction phase of the project, with approximately 130 indirect jobs created in the wider economy through the employment multiplier - At full development an estimated 375 direct on-site jobs (175 full time and 200 part time/casual) are expected to be created on an ongoing basis, with an additional 225 indirect ongoing jobs created through the wider economy as a result of the employment multiplier - A high share of employees are expected to live locally in the City of Kingston and other areas of south-east Melbourne - Enhanced shopping and service facilities for local residents, workers and visitors - Providing a new retail format to south-east Melbourne

42 37 Summary of Response to the State Planning Policy Framework Policy Response - Ability to achieve greater employment self-sufficiency in the region through local employment generation, and to provide important opportunities for young people to enter the workforce, as well as the opportunities generated by Costco for older workers including many people re-entering the workforce. - Creation of an additional revenue stream for Moorabbin Airport which contributes to the maintenance and investment in infrastructure. The Social Impact Assessment (SIA) also confirms a number of social benefits from the proposal and concludes that the proposed is likely to result in a number of benefits for the local and wider regional area, particularly related to the increase in the availability and accessibility of a different retail offering with a range of lower priced goods and increased job opportunities, and in particular jobs that are part time and /or with flexible hours. Potential disbenefits are identified in the SIA are perceived economic effects, increased traffic movements (efficiency and safety) and concerns over liquor sales, each of which are responded to in the relevant specialist reports. The land proposed is surplus to Moorabbin Airport s needs. Having been identified for redevelopment in the Approved Airport Master Plan (2010), the site is ideally suited to the proposed development and it will deliver a net community benefit. The proposal is inconsistent with this clause as Moorabbin Airport is a Commonwealth site and not recognised by the policy. However the airport currently functions as a strong, mixed use employment precinct, the proposal is an extension of this existing function. The proposal meets the test of net community benefit. Clause Urban Growth Clause Supply of urban land seeks to ensure that a sufficient supply of land is available for the broad palate of land uses, including commercial. Planning for urban growth should consider: - Opportunities for the consolidation, redevelopment and intensification of existing urban areas. - Neighbourhood character and landscape considerations. - The limits of land capability and natural hazards and environmental quality. - Service limitations and the costs of providing infrastructure. The site of the proposed is well located, serviced and underutilised urban land identified in the Approved Master Plan (2010) as employment related development. The redevelopment of this site as proposed would be consistent with this clause. Clauses Planning for growth areas, Structure Planning and Sequencing of growth focus on growth area planning are not considered relevant to the.

43 38 Summary of Response to the State Planning Policy Framework Policy Clause Open Space Clause Metropolitan Melbourne Clause sets out policy with regard to Metropolitan Melbourne. Specifically, Clause sets out an Activity Centre Hierarchy. This Hierarchy describes Central Activities Districts, Principle Activity Centres, Major Activity Centres, Specialised Activity Centres and Neighbourhood Activity Centres. Clause sets out policy to protect the Green Wedges of Metropolitan Melbourne from inappropriate development. Specific strategies to achieve this include: - ensure strategic planning and land management of each green wedge area to promote and encourage its key features and related values; - support development in the green wedge that provides for environmental, economic and social benefits, and specifically; and - plan and protect major transport facilities that serve the wider Victorian community, such as airports and ports with their associated access corridors. The objective of Clause Green wedges is to protect the green wedge from inappropriate development and strategies to achieve this include ensuring that long term strategic planning of each green wedge area occurs to promote and encourage its key features and related values. It is noted that green wedge strategy also seeks to plan for and protect major transport facilities that serve the wider Victorian community, such as airports and ports with their associated access corridors. Response Clauses Open space planning and Open space management are not considered relevant to the Costco MDP Project. The planning principles contained in Clause Activity centre hierarchy are discussed above in the consideration of Clause Activity Centres. With regard to Clause , it is noted that as Moorabbin Airport is a Commonwealth site it is unzoned land. The site was deliberately not included in the Urban Growth Boundary (UGB) when it was reviewed in 2003 because the land was owned by the Commonwealth Government and was not subject to State and local planning controls. It is noted that one of the underlying imperatives of the Green Wedge Zone is to protect significant transport infrastructure such as airports. This does not detract from the existing urban use of surplus land at airports. In this regard, it is inappropriate to consider the land as non-urban land or to apply the non-urban (Clause Melbourne s Urban Growth, Green Wedges, Non Urban Areas and South East Non Urban Area Policy) clauses of the Kingston Planning Scheme to the site. Moorabbin Airport is clearly urban in its use, development and character, and sits in an urban context. The Airport: - Is abutted on three sides (to its west, south and east) by urban zoned land comprising commercial, industrial and residential uses, and is separated from Green Wedge zoned land used as market gardens and for sand mining to the north by Centre Dandenong Road. - Is situated at the intersection of two major metropolitan roads carrying some 60,000vpd, and is on the Principal Public Transport Network, the Principal Transport Network, Smart Roads and the Principal Bicycle Network. It has excellent access to other major roads including the Nepean Highway, the Monash Freeway, Frankston Freeway and EastLink, and is approximately 500m to the west of the proposed Dingley Bypass. - Contains retail and commercial uses. - Provides for approximately 5% of all employment in the municipal area of Kingston, and is located in the heart of an employment cluster of some 20,500 workers. In addition to the Airport and the varied businesses on airport land, the Airport houses the DFO, ALDI and Chifley Business Park. Overall, Moorabbin Airport provides for 3,300 jobs. Clauses City Structure, Employment corridors, Central Melbourne, Melbourne s urban growth, Open space network in Metropolitan Melbourne, River corridors are not considered relevant to the Costco MDP Project.

44 39 Summary of Response to the State Planning Policy Framework Policy Response Clause Regional Development Clauses Regional settlement networks, Melbourne s hinterland areas, Rural productivity, Regional planning strategies and principles and Coastal settlement are not considered relevant to the Costco MDP Project. Clause 12 Environmental and Landscape Values Clause 13 Environmental Risks Clause Noise and air seeks to assist the control of noise effects on sensitive land uses, and to assist the protection and improvement of air quality. Clause 14 Natural Resource management Clause Water seeks to: - Protect and, where possible, restore catchments, waterways, water bodies, groundwater, and the marine environment, - Protect water quality, and - Manage water resources in a sustainable way Clause 15 Built Environment and Heritage Clause 15 sets out policy with regard to Built Environment and Heritage. In particular, Clause 15 seeks to achieve high quality, sustainable urban design and architecture that: - Contributes positively to local urban character and sense of place. - Reflects the particular characteristics, aspirations and cultural identity of the community. - Enhances liveability, diversity, amenity and safety of the public realm. - Promotes attractiveness of towns and cities within broader strategic contexts, and - Minimises detrimental impact on neighbouring properties. Clauses Biodiversity, Coastal areas, Alpine areas and Significant environments and landscapes are not considered relevant to the. Clause Climate change impacts (coastal inundation and erosion), Floodplains, Soil degradation, and Bushfire are not considered relevant to the. The is consistent with the objectives of Clause Noise and air (sensitive uses) as identified in the Environmental Summary Report which addresses environmental considerations. Clauses Agriculture and Resource exploration and extraction are not considered relevant to the due to the highly modified nature of the site. The is consistent with the objectives of Clause Water as identified in the separate Environmental Summary Report which addresses environmental considerations. The proposed development is consistent with the requirements of Clauses Urban environment and Sustainability by contributing positively to local urban character and creating sense of place. As noted in Section 5 opportunities for sustainable design have been captured through the site and design development. The proposed development has been specifically designed to continue the positive built environment directions established by the development of the Chifley Business Park to its north and west, which continues to inform and uplift the design expectation and contribution of other land in the area. The design response promotes a high quality, sustainable urban design and architecture whilst also minimising its impacts on surrounding properties and lands uses. The proposed purpose built structures reflect their intended use and comprise contemporary forms and materials. The proposed development is consistent with the requirements of this clause by contributing positively to local urban character and creating sense of place. The proposed development contributes to an urban environment that is attractive, safe and functional. Access to public transport will be improved by the construction of Chifley Drive and associated pedestrian footpaths to connect with Boundary Road.

45 40 Summary of Response to the State Planning Policy Framework Policy Response The proposed development proposes extensive planting of native vegetation along the street frontage and within the project area. The plantings will define the entries, create avenues of trees and strategically locate plants throughout the car park to reduce the perceived scale of the car park within the local environment. The plantings have been carefully located to provide for clear visual sightlines at entries and to provide clear visual surveillance across the car park. The development is consistent with this policy as it will contribute to an uplift of the area s character and enhance its liveability, diversity, amenity and safety. Clause Heritage is not considered relevant to the Costco MDP Project. Clause 16 Housing Clause 17 Economic Development Clause 17 sets out State planning policy in relation to Economic Development. Planning is to enable areas to build on their strengths and achieve their economic potential. Commercial development is encouraged that meets the community s needs for retail, entertainment, office and other commercial services and provides a net community benefit in relation to accessibility, efficient infrastructure use and the aggregation and sustainability of commercial facilities. In achieving this: - Commercial facilities are to be located in or on the border of existing or planned activity centres. - Proposals or expansion of single use retail, commercial and recreational facilities outside activity centres are discouraged by giving preference to locations in or on the border of an activity centre, and - Out-of-centre proposals are considered where the proposed use or development is of net benefit to the community in the region served by the proposal. Clauses Residential development and Housing form are not considered relevant to the. The proposed development complies with the requirements of Clause 17 by providing a net community benefit. In particular it will assist in meeting the community s needs for local employment and improved accessibility of choice and competition in commercial and retail services, as well as, efficient infrastructure use and sustainability of commercial facilities. The Airport is a mixed use employment precinct providing approximately 3,300 direct jobs and 6,000 indirect jobs. This is anticipated to grow to 7,500 direct jobs upon full implementation of the Approved Master Plan The will deliver a variety of local and regional benefits including additional employment, services and competition with minimal impact on other land uses. The Economic Impact Assessment and Social Impact Assessment for the proposed development outline these matters in further detail. The proposed Costco warehouse supports the outcomes sought by the relevant objectives of the Kingston Planning Scheme. Clauses Industrial land development and Tourism are not specifically relevant to the. Clause 18 Transport Clause 18 sets out policy with regard to The proposed development has direct frontage on to the extended Chifley Drive which when complete will connect with Centre Dandenong and Boundary Roads, accessing two arterial roads, the Principal Public Transport Network, Principal Freight Network,

46 41 Summary of Response to the State Planning Policy Framework Policy Transport. The overall objective is to ensure an integrated and sustainable transport system that provides access to social and economic opportunities, facilitates economic prosperity, contributes to environmental sustainability, coordinates reliable movements of people and goods, and is safe. In particular, Clause seeks to strengthen the role of Victoria s Airports within the State's economic and transport infrastructure and protect their ongoing operation. Particular strategies to achieve this include: - Protecting airports from incompatible land-uses. - Ensuring that in the planning of airports, land-use decisions are integrated, appropriate land-use buffers are in place and provision is made for associated businesses that service airports, and - Ensuring the planning of airports identifies and encourages activities that complement the role of the airport and enables the operator to effectively develop the airport to be efficient and functional and contributes to the aviation needs of the State. Specifically with regard to Moorabbin Airport, Clause also recognises it as an important regional and State aviation asset and supports its continued use as a general aviation Airport. Clause seeks to ensure that future development at the site encourages uses that support and enhance the State s aviation industry and supports opportunities to extend activities at the Airport that improve access to regional Victoria. Response the Smart Roads Network and Principal Bicycle Network. The accompanying Traffic Impact Assessment and Integrated Transport Plan prepared by GTA confirm that the proposed development appropriately manages its impacts safely and sustainably and is readily accommodated on the local and regional network. The proposed development also facilitates alternative modes of transport through incorporating the provision of public transport, pedestrian and cycling infrastructure. As discussed further below, the proposed development has sufficient car parking provision in accordance with Clause of the Kingston Planning Scheme. Recognising the large format nature of the proposed use, the Integrated Transport Plan proposes a number of initiatives to maximise the efficiency of the operations of the proposed development, and sustainability initiatives to integrate with and support existing transport networks, to minimise the need for people to travel and when they do, to reduce reliance on private vehicles in favour of other, more sustainable alternatives. The proposed development seeks to encourage walking and cycling by the provision of walking and cycling paths, as well as the provision of on-site bike storage and change room facilities. The proposed is consistent with the objectives of Clause Integrated Transport and Movement Networks. The proposed development complies with Clause Airports by supporting and complementing the core aviation activities at the site. The land uses and development proposed by the Costco MDP Project complements the operation of the Airport in a variety of ways, including: - Supporting its viability and in doing so its role in the Victorian network of airports through the provision of compatible land uses - Providing a revenue stream which will support long term investment in Airport infrastructure and ongoing operations - Providing services to the on-airport population - Supporting the growth and needs of airport users, the Chifley Business Park and land side activities - Supporting the Airport s key existing role in a local and regional activity area and focus of commercial and airport activity, and - Providing a benign land use neighbour for core Airport activity. The proposal recognises and protects the operational needs of the Airport and strengthens the operation of the Airport and is consistent with State policy. An Aviation Impact Assessment of the effect that the proposed

47 42 Summary of Response to the State Planning Policy Framework Policy Response development may have on aircraft operations accompanies the Costco MDP and finds the proposed development will not impact on aircraft operations at Moorabbin Airport. Clauses Ports and Freight are not considered relevant to the. Clause 19 Infrastructure Clauses Renewable energy and Development infrastructure seek to encourage the sustainable use of energy and service infrastructure. The incorporates a variety of initiatives which reduce resource consumption, whilst the site also takes advantage of excellent existing urban services provision. Clause Community infrastructure is not considered relevant to the.

48 Local Planning Policy Framework (LPPF) The Local Planning Policy Framework (LPPF) contained within the Kingston Planning Scheme has not changed significantly since the release of the Approved Master Plan (2010). It is noted that Council has recently adopted, but as yet has not implemented the review of its LPPF. The review notes that current local planning policy in relation to the Airport will be reviewed and any comments through consultation will be taken into consideration. The following elements highlight relevant local planning policy considerations that will frame the consideration of this proposal. The following table provides a summary of the proposed development against the LPPF. A more detailed discussion on specific key policies occurs later in this section. Response to Local Planning Policy Framework Policy Clause Purpose Clause Municipal Profile Clause explores the profile of the municipality, outlining its strategic context as a part of metropolitan Melbourne and its demographic profile. Extracts relevant to the Airport include: - The City s regional prominence is heightened by the presence of the Moorabbin Airport, which is recognised as one of the busiest airports in Australia - Moorabbin Airport plays a major role within the State s economic and transport infrastructure. Long term protection of its flight paths is required to optimise its potential for future growth - The land which is not required for aviation purposes at the Moorabbin Airport is becoming increasingly utilised for a diversity of retail and commercial activities - The contribution that Moorabbin Airport makes to the local and regional economies is enhanced by the associated aviation and aviation related industrial/commercial activities located on the airport, which supply a significant number of jobs to the local economy. Response This Clause sets the context for the remainder of the LPPF to provide the clarity, certainty and rationale regarding land use planning in the City of Kingston. The proposed development is consistent with the referencing contained within the municipal profile. Moorabbin Airport is clearly recognised as an important contributor to local, regional and State economies, and in achieving this, a land use that elevates the regional significance of the City of Kingston. The Clause notes that land which is not required for aviation is increasingly being used for a diversity of land uses including retail and commercial activities. Kingston is also noted as one of Victoria s most important centres of commerce and industry. As a proposed land use of regional significance, the Costco MDP Project will increase the profile of the area and an awareness of the broader range of facilities and services that the area has to offer, stimulating further growth and uplift in the surrounding area. Clause Land use challenges for the new millennium Council is seeking to ensure that future planning decisions prioritise the facilitation of retail reinvestment into Kingston activity centres will be vital in successfully achieving The Economic Impact Assessment has found that the proposal will have minimal impact on Kingston s activity centres, and is likely to bring positive benefits to the Kingston area. This is discussed in response to Clause below. Costco is also a regional destination. That is, regional visitors,

49 44 Response to Local Planning Policy Framework Policy metropolitan planning objectives. Further, The viability of the aviation activities on the Moorabbin Airport will depend upon the long-term protection of its flight paths from inappropriate development. Clause Vision The relevant vision for City strategy and economic development is To provide strategic leadership for the City and to facilitate strategic land use, sustainable economic development and job creation within a framework of concern for environmental and social implications. Response who might not otherwise visit the area, will be introduced to the locality, increasing the profile of the area and an awareness of the broader range of facilities and services that the area has to offer. The proposed development will not impact upon the flight paths at Moorabbin Airport. The Strategic Framework Plan identifies locations where specific land use outcomes will be supported and promoted. The Moorabbin Airport site is identified on the plan as outside the Urban Growth Boundary and the need to protect its long term flight paths is highlighted. Clause Residential land use Clause Retail and Commercial Land Use Clause sets out policy with regard to Retail and Commercial land use. This clause notes that: - The challenge over the next decade becomes one of monitoring established retailing locations and restricted retailing precincts - Additional out of centre development is to be discouraged - The implications of any retail activities at the Moorabbin Airport need to be closely monitored - There is a need for new supermarket investment, particularly in the central and southern sections of the municipality, to provide existing communities with greater choice and encourage higher utilisation of activity centres - The emergence of office precincts at the Moorabbin Airport and Parkview Estate reinforce a move towards campus style office precincts, which differ from the historical suburban in centre model. This Clause is not considered relevant to the Costco MDP Project. There are inconsistencies in the manner in which non-aviation developments at Moorabbin Airport are recognised in the Kingston Planning Scheme. Council s retail and commercial land use planning should recognise existing activity at the Airport and its Approved Master Plan (2010). Moorabbin Airport complements locally defined activity centres identified by this clause. Figures 8, 9 and 10 highlight Kingston s strategic vision for residential, industrial and retail and commercial development. The Kingston Strategic Residential Land Use Framework Plan within the Kingston Planning Scheme signals incremental housing change for areas directly to the east and west of Moorabbin Airport. This indicates that there will be increased residential density and future population growth within the primary catchment of the proposed development (refer to Figure 9). The Kingston Industrial Land Use Framework Plan within the Kingston Planning Scheme highlights that the industrial areas to the east are predominately built out and recognise that Moorabbin Airport (for example, Chifley Business Park and other future development) will be a significant source of land supply and job creation in the region (refer to Figure 10). The Kingston Commercial and Retail Land Use Framework Plan within the Kingston Planning Scheme identifies Council s preferred activity centre structure within Kingston. The Plan reflects the historic location of activity centres along the rail corridor and Nepean Highway, with only limited centres outside of this north-south transport spine. We note that the Framework Plan does not recognise the findings of the Council approved Retail / Commercial Development Strategy

50 45 Response to Local Planning Policy Framework Policy Response (City of Kingston with Charter Keck Cramer and Hansen Partnership, 2006) on which it is based. The Retail / Commercial Development Strategy (City of Kingston with Charter Keck Cramer and Hansen Partnership, 2006) recognised that there are a number of strategic development sites in Kingston that could support future economic activity and cites Moorabbin Airport as one of these. The Strategy also recognises the attractiveness of the Moorabbin Airport for bulky goods retailers, citing the establishment of the Good Guys store and highlighting that the opportunity to gain exposure to shoppers visiting other retailers at Moorabbin Airport will act to attract further bulky goods retailers. The Strategy goes on to recommend that recognition be given to the potential for additional floor space to be developed at the Moorabbin Airport. The Costco MDP introduces a very different form of retailing that will complement the existing retail hierarchy and will bring substantial and direct benefits to the Airport community as well as the local and regional catchment in terms of improved services, competition and amenities. As evidenced by the accompanying Economic Impact Assessment, the consequential impact of the proposed development on existing activity centres in this locality and region are well within acceptable short and long term parameters and provide substantial economic benefit. The inconsistency with this policy is justified as the proposed development delivers a number of significant benefits to the community, civil aviation users and other users of the Airport, with very limited disbenefit. Clause Industrial land use Clause Foreshore Clause Environment, wetlands and waterways The broad purpose of Clause is to protect, enhance and restore the local and regional ecological assets of the municipality recognising its urban context and the need to better manage the impacts of urban development. Clause Non-Urban Areas Non-urban area policies are contained in Clause 21.10, Clause and Clause Council is generally concerned that Kingston s nonurban areas will continue to experience significant pressure for more intensive urban development as a result of changing This clause is not considered relevant to the Costco MDP Project. This clause is not considered relevant to the Costco MDP Project. The is consistent with the objectives of Clause Environment, wetlands and waterways as identified in the Environmental Summary Report which addresses environmental considerations. The subject site, as a part of Moorabbin Airport, was deliberately not included in the UGB when it was reviewed in 2003 because the land was owned by the Commonwealth Government and was not subject to strategic planning controls. The site s formal status with regard to the Victoria Planning Provisions is that it is unzoned land owned by the

51 46 Response to Local Planning Policy Framework Policy metropolitan growth patterns, the availability of physical infrastructure, diminishing extractive resources and a decline in the area s agricultural production. The sustainable management of Kingston s non-urban areas is one of Council s largest planning challenges. It is noted that Kingston s Green Wedge Plan and Green Wedge Memorandum of Understanding with the State government identify that the operation of market gardens and sand mining are already on the decline. Clause Open Space Clause Transport, movement and access Clause seeks to create a safe, efficient, accessible and sustainable transport network in the municipality that increases accessibility and the range of transport choices to the municipality s community. Clause Heritage Clause Performance, monitoring and review Clause Southland Principal Activity Centre Policy Clause Springvale Industrial Park Area Policy Clause Sandbelt Open Space Project Policy Response Commonwealth. In Clause Non-Urban Areas, Council seeks to sustain the operation and economic viability of the Airport by protecting airport operations and flight paths from intrusive/inappropriate land uses, and providing appropriate buffers around airport related activities to minimise their impact on surrounding land uses. Council also views the nonurban areas as important elements in ensuring the overall health and wellbeing of the community. This proposal is consistent with this clause as it provides new economic activity that does not hinder operations of the airport and complements surrounding land uses. This Clause is not considered relevant to the Costco MDP Project. The extension of Chifley Drive through to Boundary Road implements the Approved Master Plan (2010). When complete, the site will connect with Centre Dandenong and Boundary Roads, accessing two arterial roads, the Principal Public Transport Network, Principal Freight Network, the Smart Roads Network and Principal Bicycle Network. The Traffic Impact Assessment and Integrated Transport Plan prepared by GTA for the confirm that the proposed development appropriately manages its impacts and is readily accommodated on the local and regional transportation network. Recognising the legitimate large format nature of the proposed use, the proposed development incorporates a variety of sustainability initiatives to minimise its environmental impacts, and to connect with public transport and pedestrian and cycling infrastructure. The layout and design of the proposed development will also minimise associated operational and transport impacts to other urban development and transport networks. This clause is not considered relevant to the Costco MDP Project. This clause is not considered relevant to the Costco MDP Project. This clause is not considered relevant to the Costco MDP Project. This clause is not considered relevant to the Costco MDP Project. This clause is not considered relevant to the Costco MDP Project.

52 47 Response to Local Planning Policy Framework Policy Response Clause South East Non Urban Area Policy Clause sets out policy for the South East Non-Urban Area Policy and seeks to protect the operation and economic viability of key industries (including the airport). This planning policy seeks to support and protect the variety of primarily non-urban land uses and environmental values in this area, including managing its urban interface, catchment and landscape values. Clause Moorabbin Airport Environs Clause deals specifically with Moorabbin Airport Environs and recognises the significant role played by the Moorabbin Airport in the local and regional economy and in the state s transport infrastructure. This policy seeks to ensure that the use and development of land around the Moorabbin Airport is sensitive to the long term operation of the airport. The objectives of the policy are to: - Identify areas, which are or will be, subject to high levels of aircraft noise, including areas where the use of land for uses sensitive to aircraft noise will need to be restricted - Ensure that the use and development of The Airport is a part of the broader urban fabric of South East Melbourne. The development and its accompanying specialist reports demonstrate that the development also supports the objectives and aspirations for the Kingston Planning Scheme. The proposed development is consistent with the role of the Airport recognised in the LPPF. The Airport is clearly identified as an important contributor to local, regional and State economies, and in achieving this, as a land use that elevates the regional significance of the City of Kingston. The Costco MDP Project supports this role and significance on two fronts. The proposed development will bring substantial and direct benefits to the Moorabbin Airport community as well as the local and regional catchment in terms of improved services and amenities. The will add a significant commercial operation which will increase the level of service and choice available to local and regional communities, as well as stimulate the local and regional economy, creating external benefits ranging from employment to investment by other businesses. It will also support the operation and growth of the Airport. As evidenced by the accompanying Economic Impact Assessment, the consequential impact of the proposed development on existing activity centres in this locality and region are within acceptable short and long term parameters and provides substantial economic benefit. The LPPF clause identifies that the challenge over the next decade will be monitoring established retailing locations and restricted retailing precincts and that the implications of any retail activities at the Moorabbin Airport need to be closely monitored. Moorabbin Airport complements locally defined activity centres addressed by the LPPF. As demonstrated by the Specialist Reports that accompany this proposal, the proposed development comprises a use that: - Supports and is complementary to the operation of the Airport - Brings substantial and direct benefit to the Airport community, and the local and regional catchment in terms of improved services and amenities, and attracting new visitors who would not otherwise have come into the Kingston municipality. - Achieves this outcome with limited and reasonable impacts to the surrounding local or regional community, or existing activity centres in this locality and region - Does not impact on airport operations and protects flight paths from intrusive/inappropriate land uses

53 48 Response to Local Planning Policy Framework Policy land within the policy area is compatible with the operation of airports in respect to the impact of aircraft noise on sensitive uses - Assist in shielding people from the impact of aircraft noise by requiring appropriate noise attenuation measures in new dwellings and other noise sensitive buildings. Response - Complies with all noise abatement policies outlined in Clause The is consistent with the objectives of Clause Moorabbin Airport Environment as identified in the separate Environmental Summary Report. Clause South Road Industrial Gateway Policy Clause Enterprises Site Policy Clause Park View Industrial Estate Policy Clause Parkdale Plaza Business Centre Policy Clause Former Epsom Training Facility and Environs Policy Clause Residential Development Policy Clause Carrum Activity Centre Policy Clause Clayton South Framework Policy Clause Mordialloc Activity Centre Policy Clause Outdoor Advertising Signage Policy This Clause sets out policy and standards in relation to the provision of advertising signage in the municipality. Clause Heritage Policy Clause Highett Activity Centre Policy Clause Materials Recycling in the Green Wedge This clause is not considered relevant to the Costco MDP Project. This clause is not considered relevant to the Costco MDP Project. This clause is not considered relevant to the Costco MDP Project. This clause is not considered relevant to the Costco MDP Project. This clause is not considered relevant to the Costco MDP Project. This clause is not considered relevant to the Costco MDP Project. This clause is not considered relevant to the Costco MDP Project. This clause is not considered relevant to the Costco MDP Project. This clause is not considered relevant to the Costco MDP Project. The provides for a number of signs consistent with the nature of the proposed use and its built form, and is consistent with this provision. This Clause is not considered relevant to the Costco MDP Project. This Clause is not considered relevant to the Costco MDP Project. This Clause is not considered relevant to the Costco MDP Project.

54 49 Moorabbin Airport Figure 9: Kingston Residential Land Use Plan

55 50 Moorabbin Airport Figure 10: Kingston Industrial Land Use Framework Plan

56 51 Moorabbin Airport Figure 11: Kingston Retail and Commercial Land Use Framework Plan

57 Zones and Overlays Zoning The Kingston Planning Scheme Zones are shown in Figure 12. The project area is Commonwealth land and no planning scheme zones apply to the project area. Land abutting and beyond the Airport site is zoned Industrial 1, Green Wedge and Residential 1. Centre Dandenong Road and Boundary Road are zoned Road Zone 1 reflective of their importance to the local and regional road network. Discussion The intersectional and road treatment upgrades will partially occur within the Road Zone 1. Under Clause a permit is not required for the use or development of a road and thus a planning permit would not be required. Overlays The Kingston Planning Scheme Overlays are shown in Figure 13. The project area is Commonwealth land and no planning scheme overlays apply to the project area. The Design and Development Overlay Schedule 4 (Aviation Obstacle Referral Height Area No 1) and Airport Environs Overlay of the Kingston Planning Scheme are shown to cover the project area and its surrounds. The objectives of these overlays are to ensure that land use and development are compatible with the operation of Moorabbin Airport in accordance with the Approved Master Plan (2010) and with protection of safe air navigation for aircraft approaching and departing the airfield. Discussion The Approved Master Plan 2010 defines on site planning conditions such as the Australian Noise Exposure Forecast (ANEF) using contour maps. Similarly to a planning scheme overlay, the contour defines an area that may be subject to a specific development issue- in this case, aviation noise exposure. Kingston City Council has incorporated the ANEF contour into their planning scheme as the Airport Environs Overlay. The Airport Environs Overlay is based upon the ANEF forecasting undertaken in 1998, and has not been updated in response to more recent forecasting undertaken in The development has taken into account the height requirements (as part of Schedule 4 to the Design and Development Overlay) to ensure the height of the building is at an acceptable level. The proposed development also complies with noise abatement policies. The proposed development does not impact on the operation of Moorabbin Airport.

58 53 Figure 12: Planning Scheme Zones

59 54 Figure 13: Planning Scheme Overlays