GPT Group chief executive Michael Cameron has backed light rail as a suitable replacement for inner-city Newcastle's much-debated heavy rail line.
Speaking at the Hunter Business Chamber lunch in Newcastle yesterday, Mr Cameron said GPT would go ahead with its proposed $600 million retail project in the CBD if light rail was the city's preferred public transport option.
"For us it is all about reconfiguring the transport solution and replacing the current situation with something that's better," he said.
"And if that might mean light rail or a bus interchange, that would be a fantastic solution.
"The last thing we want to see is the transport process closed because obviously we want to see people coming into the CBD."
Minister for the Hunter and Newcastle MP Jodi McKay welcomed Mr Cameron's comments.
"The heavy rail line remains a barrier to good urban development," Ms McKay said.
"I understand [Mr Cameron] would support any transport solution that would open up the city.
"I believe this demonstrates that GPT is willing to work with the government and the community to revitalise our CBD."
Professor Peter Newman, a board member of the Rudd government advisory body Infrastructure Australia, backed the light rail option during a visit to Newcastle last month.
Professor Newman told Newcastle Business Club that modern light rail was capable of running long distances at high speeds and was easily accessible.
He said Newcastle had been too preoccupied with arguing over the line to look at the development opportunities light rail presented.
Last year’s Hunter Development Corporation city centre renewal report said light rail was ‘‘not viable’’, and recommended the rail line be used instead as a green corridor for pedestrians and cyclists.
The state government has yet to respond to the corporation’s central recommendation to remove the heavy rail line between a proposed interchange at Wickham and Newcastle Station.
GPT, Australia’s third-largest property group, has been criticised for calling on the government to cut the line so its retail project could proceed.
The rail debate has divided Newcastle, with Save Our Rail and Fix Our City organising rival rallies last week on the same night.
Save Our Rail president Joan Dawson said yesterday her group would accept light rail as an additional service, not as a replacement for heavy rail.
‘‘We see that it’s important for heavy rail to continue to run into Newcastle,’’ she said.
‘‘However we’re amenable to other alternatives such as putting heavy rail underground or above ground, or building buildings over it.’’
Fix Our City’s Paul Murphy said GPT’s retail project was vital for the city’s revitalisation.
‘‘We’ve been quite open in saying that light rail is certainly stage two of the development after the adoption of the HDC report for the revitalisation of the city,’’ he said.
‘‘We feel that if light rail comes into this argument at this point in time, there’s going to be a delay in the decision.’’
Mr Cameron said the Newcastle development was at the top of GPT’s $2.5billion to-do list.
‘‘We have very low gearing and we have the banks willing to lend to us and to see us grow the business so we’ve never been in better shape,’’ Mr Cameron said.
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