Atlassian wins support for ATP Sydney vision, as decision hangs in balance

Mike Cannon-Brookes at the Australian Technology Park. Photo: James Alcock.

Atlassian is winning support for its campaign to save the Australian Technology Park in Sydney, with Labor MP Ed Husic speaking on the issue in the federal parliament on Monday.

Mr Husic said the campaign by Atlassian co-founders Mike Cannon-Brookes and Scott Farquhar and the reportage by BRW and The Australian Financial Review had kept the public informed.

“If it were not for the actions of some, we would be completely unaware of the Baird government’s desire to turn ATP into a bland, papier-mache facsimile of the development that is already well represented in Sydney,” Mr Husic said.

“The test is now on the Baird government, with planning minister Rob Stokes finally agreeing that the government would consider bids on the basis of what they do to maintain an on-site innovation precinct. Hopefully, this will not conflict with the terms of the tender process, because we need to hold onto ATP.”

Mr Husic called on the public to sign the Change.org petition started by Sydney Startups’s Matthew Ho. The petition was started on Sunday and had 780 signatures by 11.15am on Tuesday.

The 14-hectare site was once the centre of Sydney’s rail building industry and was converted into a technology park in the 1990s. It has struggled to realise its potential as a technology park because of the way the site is developed and the odd assortment of companies based there.

The NSW government is now selling the land to developers, with the front runner thought to be Mirvac with a traditional office park concept and Commonwealth Bank as an anchor tenant.

However, Atlassian wants to save it as a technology park and has a number of other technology companies and venture capital firms on board to move to a revitalised site. Atlassian commissioned PricewaterhouseCoopers to study the economic impact of keeping ATP as an innovation hub, with the conclusion that it would boost the NSW economy by $390 million over three years. The full PwC report is here.

Atlassian last week announced it was backing Walker Corporation’s bid, which includes a strong precinct agreement to keep it as a technology hub.

NSW Planning Minister Rob Stokes is expected to make a decision within the next few weeks. He has said it would be sold with existing planning controls - prohibiting residential development - and would not be a price-only tender.

Hansard transcript of Mr Husic’s speech

“Right now the Baird government is in the process of selling an absolute hothouse of innovation in Sydney: the Australian Technology Park. The site houses 100 resident technology firms, cranking out 5½ thousand research positions, but, if it were not for the actions of some, we would be completely unaware of the Baird government’s desire to turn ATP into a bland, papier-mache facsimile of the development that is already well represented in Sydney.

“Fortunately, two people who know a thing or two about innovation are fighting to keep the spirit of ATP alive. Scott Farquhar and Mike Cannon-Brookes are co-founders of the home-grown software giant Atlassian. They have sketched out a vision for the site—a vision that could generate $400 million of value for the New South Wales economy over the next 10 years. They have spoken with five of the shortlisted ATP redevelopers to get their buy-in for a strong innovation precinct and they are confident that this might happen. To keep the heat on the issue, they have agitated for Sydney’s tech community to get behind the push to save it. Good on them for this incredibly important effort and good on the Financial Review and BRW for spotlighting this and keeping us aware of what was at stake if this fire sale went ahead.

“The test is now on the Baird government, with planning minister Rob Stokes finally agreeing that the government would consider bids on the basis of what they do to maintain an on-site innovation precinct. Hopefully, this will not conflict with the terms of the tender process, because we need to hold onto ATP. Let’s see what happens next. Please sign the change.org petition kicked off by Sydney Startups’s Matthew Ho to make sure we keep ATP.”

Full statement from Planning Minister Rob Stokes

“The ATP is being sold with existing land use zoning and planning controls in place. These controls prohibit residential development and permit mixed commercial/office uses, consistent with the uses that are clustered at ATP at present.

“A number of long-term leases underpin ATP’s ongoing technology focus and include leases to business incubator ATP Innovations (lease to 2094); Transport Management Centre (to 2094); University of Sydney (to 2019, plus option to 2029); Defence Science and Technology Organisation (to 2018, plus option to 2028); NICTA (to 2016 plus option to 2021) and Media City (to 2094).”

“These leases will be assigned to the new owner, or owners, as part of the sale.

“The tender evaluation will involve assessment against financial and non-financial criteria, including alignment with the ATP vision. The tender is not a ‘price only’ tender and will consider wider policy alignment as part of the evaluation process.”

How BRW reported the issue

• ‘I’d write a large cheque’: Atlassian’s proposal to save the Australian Technology Park in Sydney
• ‘Real money for the economy’: the $390 million hinging on the fate of the Australian Technology Park
• Stark choice for Sydney as Australian Technology Park bidding race narrows

The same stories were jointly published in print in The Australian Financial Review and Weekend AFR.

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