A $400 million redevelopment of Central Market Arcade will go ahead after it was approved by the State Commission Assessment Panel, the City of Adelaide announced today.

The project – named Market Square – will include a hotel, apartments, ground-floor retail and food precinct, and an urban terrace described as “an elevated and vibrant garden retreat in the heart of the city”.

Plans for the redevelopment – a joint venture between ICD Property and the City of Adelaide – were announced back in December 2019. They also include an enhanced and expanded Central Market, and a 15,000-square-metre office building.

“This investment provides a unique opportunity to build on what people already love about the market district,” Lord Mayor Sandy Verschoor said in a press release. “We are excited to be part of ICD Property’s flagship development, Market Square, building on the Central Market’s importance as a South Australian icon, and provide better connections to Victoria Square and the surrounding streets.”

The Adelaide Central Market will remain open for business throughout construction.

“Existing traders are investing significantly in stall fit-outs and expansions, demonstrating their long-term commitment and confidence in the Market to provide a financially sustainable future,” says Adelaide Central Market Authority chair Theo Maras. “The Authority wholly supports the redevelopment and looks forward to helping deliver this city shaping redevelopment, with our Market at its heart.”

ICD Property has partnered with property development firm Sinclair Brook and Adelaide-founded global architecture firm Woods Bagot to deliver the project. Woods Bagot associate principal Alex Hall says Market Square’s design would respect the “grittiness and authentic feel of the [Central] Market”.

“The idea has always been to develop a globally relevant destination by providing a window into South Australia’s unique offerings … holding close those things locals love about it, the design is the result of great dialogue and collaboration with the Adelaide Central Market Authority, the City of Adelaide, ICD Property and the Office for Design and Architecture SA.”

The City of Adelaide says it will offer support to existing Central Market Arcade traders to help them “make informed decisions around when, where and how they might relocate their business within the city” so they can continue operating. The council has also partnered with Business SA to provide those traders with a range of specialised services designed to support them to “adapt, grow, and thrive” (available up until June 30, 2022).

Demolition and construction will begin this year; the construction period for the whole development is expected to take three and a half years.