The private sector will be engaged to preserve, restore and develop historic Central Police Station, Victoria Prison and the former Central Magistracy into a tourism-themed commercial development.

Commissioner for Tourism Eva Cheng told legislators today that the proposal will broaden the range of tourist attractions on offer and increase business opportunities.

Preservation proposal: The Central Police Station and former Central Magistracy will add a little hertiage to the district's entertainment and dining attractions.

Ms Cheng said the proposal will bring new ideas and dynamism into the process of using heritage assets to boost tourism.

The site is a fine example of Victorian and Edwardian colonial architecture preserved in its original form and integrity, and all buildings inside the site were declared monuments in 1995.

It is expected that additional tourist spending of between $64 million and $235 million a year will be induced, while the cost for annual maintenance (at $5.4 million and $5.6 million for 2001/02 and 2002/03 respectively) will also be saved.

It is estimated the proposed development will bring an additional 750 to 1,000 jobs if used for a mix of cultural, hotel, food and retail purposes, or 1,200 to 1,600 for a scenario involving just the food and retail sectors.

The proposed development will comply with preservation requirements. The project proponent should also demonstrate its financial capability to carry through the project.

"The mandatory preservation requirements will be kept to the minimum to preserve the heritage value of the site and leave as much flexibility as possible to the future project proponent to take forward the development concept," Ms Cheng said.

The private sector will be invited to submit proposals early next year. The Government will identify the successful proponent by the end of 2004 in accordance with the following criteria:

* Heritage preservation;

* Technical, environmental and traffic issues;

* Economic and tourism benefits; and,

* Payment to Government in the form of land premiums.

The site will be handed to the successful proponent in phases in 2005 for project completion in 2009.

On the reprovision of existing users on the site, the Government has drawn up plans for exiting users - the Police, Correctional Services and Immigration Departments.

The plans are scheduled for implementation by 2005.