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Australia Post is making its biggest ever investment in South Australia, with the announcement of a new $500 million parcel facility planned for the former Holden factory at Elizabeth in Adelaide’s north.
The new facility is expected to service and support postal deliveries across the state for the next 20 years and allow Australia Post to “test and learn” as it plans its future operations and national network footprint.
The parcel facility, which is scheduled to open in 2028, will span 83,000 sqm, making it the largest in Australia Post’s network and the first fully combined Australia Post and StarTrack facility in the country.
When fully operational, the development will incorporate world leading sortation technology and innovation, giving it the capability to process up to 400,000 parcels per day, doubling the current capacity at Australia Post’s existing Adelaide Airport Parcel Facility.
Australia Post’s CEO Paul Graham says the new infrastructure planned for Adelaide will streamline parcel processing and customer experience for South Australians, boosting efficiency and sustainability “for decades to come”.
“South Australia continues to experience year-on-year e-commerce growth, with 80 per cent of residents shopping online in the past year,” says Graham.
“This new parcel facility will help us meet that growing demand over the next two decades and deliver to customers’ doors faster than ever before."
Graham says the new parcel facility is critical to give Australia Post a “competitive advantage” as online shopping continues to evolve.
“This parcel facility will be the largest in the country and the blueprint for our most technically advanced facilities going forward,” he says.
“It forms part of our long-term strategy to modernise our network, improve efficiency and maintain our role as Australia’s trusted delivery partner, for consumers and businesses alike.”
Melbourne-based Pelligra Group, which bought the sprawling former Holden factory site in 2017, will develop the Adelaide parcel facility.
Pelligra has been developing the $268 million Lionsgate business park on the site since 2022 and is the company behind the Playford Innovation Hub office-retail project proposed for the Elizabeth CBD.
“This project will provide a broad range of benefits to South Australia, and we’re excited to be a part of that,” says Pelligra group chairman Ross Pelligra, commenting on the Australia Post project.
“We’re proud that Australia Post selected us to help them breathe new life and activity into a site with significant industrial heritage and help transform it into a state-of-the-art facility focused on keeping South Australians connected.”
The parcel facility will target a 5-star Green Star rating and feature advanced on-road sustainability technology.
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