Tonsley Administration Building for sale – develop on the doorstep of innovation

A prime commercial development opportunity has hit the market on the doorstep of Australia’s most awarded innovation district.

Renewal SA is seeking expressions of interest for a 2.578-hectare allotment at the entrance of the Tonsley Innovation District, located 12km southwest of Adelaide CBD.

Renewal SA Development Director, Innovation Districts and City Matt Hogan says the location, known as Lot 805 or the Tonsley Administration Building, offers interested parties an outstanding opportunity to create a pinnacle redevelopment or refurbish (subject to approval) of the existing building, fronting a nationally renowned district.

The site at 1 Tonsley Boulevard is currently occupied by a three-story 1960s office building with 12,308 square meters of lettable space, a multi-use basement, and a 197-space open-air carpark.

The building is locally known for its enormous black and white Aztec mural covering its entire eastern side, facing South Road.

“There is a strong exposure opportunity for a future development to front one of the state’s busiest sections of road, with its 195m frontage passed by 34,900 cars every day,” Mr Hogan added.

The site’s location on South Road also connects directly with the states key industrial zones through the North-South Corridor, which on completion in 2031, will result in a 78km non-stop stretch of road linking the outer northern and southern suburbs of Adelaide.

The site is listed as a ‘Strategic Innovation Zone’ within the City of Marion, offering developers the chance to join a high-profile community of global leaders in health, education, research and supporting industries including accommodation, tourism, hospitality, cultural, entertainment and recreation.

The precinct’s urban design protocols stipulate possible uses could also include commercial offerings, allowing wider opportunities for the market to join the likes of the 88-room Mantra Tonsley Adelaide hotel, bar and bistro, which opened in 2024, and the planned Boiler House Brewery redevelopment.

While development of the site is encouraged, Mr Hogan said the purchaser can work with the existing building and its occupants while plans progress.

“There is flexibility built into this opportunity so the successful purchaser can either develop immediately or maintain its current operation for a period of time.”

The Administration Building currently holds a leasing profile of north of $1 million in gross holding income per annum.

The sale of the Tonsley Administration Building site is the latest in a series of development releases by Renewal SA, recently unlocking land at Thebarton/Southwark, Tapangka on Franklin, North Terrace, Bowden and Whyalla for commercial and industrial development, worth more than $2 billion.

Tonsley Innovation District is a state government-led precinct that began in 2012 on the site of the old Mitsubishi manufacturing plant. It’s one of three South Australian innovation districts developed by Renewal SA, including Technology Park at Mawson Lakes and Lot Fourteen on North Terrace, Adelaide.

Now home to more than 150 businesses, 2,000 workers, and 8,500 students, Tonsley Innovation District is working to solve some of the world’s most complex problems through creative innovation while setting a global benchmark for the successful re-use of a former industrial site.

Tonsley’s high-profile research institutions and training providers include SAGE Group, Siemens Energy, ZEISS, Tesla, Micro-X, Flinders University and TAFE SA. The district is only a short distance from Flinders University’s main campus, Flinders Private Hospital, Flinders Medical Centre, Marion Shopping Centre and Castle Plaza Shopping Centre.

Final submissions through the EOI process are due by Thursday 13 March at 2:00pm (ACDT).