An exciting redevelopment is underway for the Kongwak Butter Factory, which was established in 1896.

We are breathing new life into the historic buildings including a new general store, restaurant, art gallery, and event space. The broader site will include a market garden (to support the restaurant) and boutique accommodation.

The Kongwak Butter Factory will be a celebration of the town’s history, and will showcase local produce, arts and culture.

The Kongwak Butter Factory has largely laid dormant since it ceased operation in the 1960’s due to the lack of technical feasibility and commercial viability associated with its reuse for other purposes. This is a consequence of the significant cost of restoration and need for adequate supporting infrastructure including onsite wastewater treatment and car parking. To address these challenges, the surrounding 15 hectares of land was purchased, with 39 keys of guest accommodation included in the masterplan, which will enable the business to be commercially viable.

We are drawing from the past to create an enduring legacy for the future.

The design and masterplan have been carefully shaped with community benefit and town amenity at front of mind, whilst also adopting a regenerative approach to landscape in a rural agricultural setting to drive significant environmental benefits whilst preserving and enhancing agricultural output.

The Kongwak Butter Factory will create jobs, support economic development, and improve liveability in the region supporting community connection and social inclusion.

On Tuesday 31 December 2024, the Victorian Government approved our planning permit application lodged with the Department of Transport and Planning. This gives permission to commence construction works and redevelop the Kongwak Butter Factory in line with the approved masterplan.

The old Cheese Factory building condition has deteriorated significantly since its last operation in the 1960s. During the masterplan process, we received structural engineering advice that if critical maintenance and restoration works are not completed soon, the building would be at risk of being demolished.

This redevelopment of the Kongwak Butter Factory will ensure that these buildings are preserved, and their history celebrated. We have engaged a heritage consultant to ensure high value heritage elements are preserved and brought back to life.

Here’s an extract from the Victorian Heritage database:

The former Kongwak Co-operative Butter & Cheese Factory complex is of local historical, aesthetic, and architectural significance to South Gippsland Shire.

Historically, the complex demonstrates the importance of the dairying industry to the development of the Kongwak township and district and is important for its ability to illustrate in one location the key phases of growth that occurred from the Federation to postwar periods. It includes the 1941 cheese factory, which illustrates the change to cheese production that occurred as a result of World War 2 and is believed to be the only surviving example of its type in the Shire.

The design for the development of the Kongwak Butter Factory has been done with a deep respect for the significance of the iconic Butter Factory buildings and the social connection that it has to the local Kongwak community over many generations. Community and the environment have been equal key considerations in the design process.

Once developed, the historic Butter Factory will once again have pride of place in the Kongwak township, being fully restored with one Australia’s most celebrated Architects, John Wardle, and his team, and in close collaboration with an expert heritage consultant.

The plans for the buildings have been carefully designed with a mix of different size, format, primary use and density to utilise the buildings in an effective way which caters to varying needs both through the week and across seasons.

All new functions will be carefully integrated and hidden behind the heritage façade, with the day-to-day operation of the site and movement of guests carefully planned to occur within private property and as far away from the public realm as possible.

Visually, new accommodation buildings have been designed to be sympathetic to the Bunurong landscape and in character with the township and rural setting using simple agricultural materials of corrugated iron and timber.

A new north facing parkland and sculpture walk will be permanently open to the public and provide a stunning new perspective to appreciate the avenue of honour trees, with a walking loop in the parkland traversing past a new reservoir and wetland with the Kongwak township, which will increase town amenity, and provide a place to stop, rest and enjoy.

Engineering and design controls have been incorporated into the future plans to help ensure that the future operations do not cause detrimental safety, amenity and enjoyment impacts to the Kongwak community, particularly neighbouring properties. Specific matters in relation to noise, traffic, parking and wastewater are addressed in further detail below.

A Draft Operational Management Plan has also been developed to map out details in relation to site use and coordination, management controls, and responsibilities to ensure that this is done in an effective way with minimal impact to neighbouring properties in the Kongwak township.

The development of the Kongwak Butter Factory will serve as a beacon for opportunity and prosperity for the region, contributing significantly to creating both direct and flow on jobs through construction and in ongoing operation.

Increased visitation will deliver significant economic impacts through increased length of stay and visitor spend. This includes increased dispersal across seasons, with the food and drink plus arts and culture offerings shaped to maximise all year-round visitation.

The Kongwak Butter Factory will support the success of other hospitality and tourism businesses in the region through extended stay and by orchestrating connections to other experiences, and in doing so will activate the Bass Coast and South Gippsland Villages.

The future plans will help develop skills and build workforce capability in the region in a top tier hospitality setting, in line with the regions Food, Drink and Agritourism Strategy.

A regenerative approach to landscape within a rural agricultural community has underpinned the landscape masterplan for the Kongwak Butter Factory estate, with ecology outcomes at the core of our landscape design. Associated benefits include:

· Revegetation of 3.2 hectares of farming and township zoned land including extensive replanting of the riparian corridor to support improved biodiversity (with the loss of only 0.059 hectares of native vegetation, primarily at the proposed waterway crossing point),

· Regeneration of the old billabong in the north-western corner of the site so that it once again becomes an important part of the landscape and ecosystem,

· Rehabilitation of the Foster Creek including bank stabilisation and revegetation to restore the health and amenity of the creek back to the ferny gully that it once was,

· Improved stormwater management across the site, including the drainage channel and new reservoir and wetland within the township serving as a treatment train to remove sediment and nutrients to improve water quality in the Foster Creek,

· Environmental Sustainability Design principles have been considered in the restoration of existing buildings and design of new buildings, and will be a particular focus through subsequent design development.

A Bunurong Elder and Artist has contributed to both the landscape and experiential design for the site, with fire pit and indigenous garden included in the design, to allow storytelling and Caring for Country.

As part of the regenerative approach to landscape there has also been a focus on optimising the agricultural uses for the site, with a focus on sustainable farming practices across the market garden, vineyard, orchard, and paddocks for livestock grazing.

A supporting Agriculture Report has been developed by an ergonomist, which determines that there will be significantly increased agricultural productivity of the site through these higher intensity uses.

New guest accommodation is located to minimise the impact on agriculture land and agricultural activities on the site, integrated into the landscape just to the north of the new publicly accessible parkland.

The specific focus on Gippsland produce, and the celebration of all things dairy, will also lift the profile of the region agriculture industry and will support broader agri-tourism in the region.

When in operation, the Kongwak Butter Factory will renew the small-town vibrancy in the township. The Kongwak Market has helped shape is the cultural identity in recent times, whilst the Kongwak Butter Factory will has provided only an interesting visual backdrop. Many have hoped for it to be reimagined into something that can be enjoyed.

The redeveloped Kongwak Butter Factory is being designed for people to meaningfully connect. Locals and visitors will enjoy open green space, creative exhibitions, historic storytelling, quality cuisine, local produce, locals’ nights and a unique event space to create lifelong memories.

Within the old Cheese Factory, there will be a warm and welcoming restaurant offering quality food, with a focus on sourcing from the local region. Seating up to 130 people during normal operations, we envisage a bustling, vibrant, energetic experience where stories will be told, shared and made. A gathering place for many, which has been lost since the closure of the General Store.

Accommodation is limited in the area. The old Butter Factory currently provides accommodation for up to 16 people across 5 bedrooms. This will be expanded to 39 suites across the estate, mostly twin bed.

The architectural renders published on our website illustrate how new accommodation will be nestled within the landscape, beyond the new publicly accessible parkland within the Kongwak township. A new private footbridge will allow guests to traverse to the hospitality and culture-based offerings at the Butter Factory without stepping foot on public land.

As part of designing the new accommodation, there has been a critical need to consider location specific factors including risks associated with flooding and bushfire. The associated Flood Report and Bushfire Report demonstrate that requirements of design standards can be met for the site in relation to these matters.

In the old Cheese Factory building we will have a small store offering weekly grocery needs such as milk (from the local region), freshly baked goods, cheese, wine and cured meats. Barista made coffee and eventually take-away food will be available as well as artwork and gifts.

We endeavour to offer some of the region’s best food and beverages for locals and visitors to enjoy, celebrating the richness on our doorstep!

The Kongwak Butter Factory will become a hub for creative activity. We are excited to launch a unique artist in residence program once the redevelopment is completed. A curated program of arts and culture exhibitions and experiences will be available for the community, guest and visitors. This will include connection to local Indigenous history through storytelling.

Yes. Our private off-street parking will be sufficient for all proposed activities on the site and will include accessible parking. We will also make our carpark available to market visitors to address the challenges that are experienced with car-parking on Sundays within the Kongwak township.

A transport study has been undertaken with a supporting Transport Report. This includes the undertaking of a Car Parking Demand Assessment which has informed the design of car parking arrangements for the site. As part of this, a Transport Impact Assessment also concluded that additional traffic generated by the proposed development will be easily accommodated by the surrounding road network.

All car parking will be on private property, with no reliance on existing car parks in the township as part of the design. There will also be no parking in the road reserve, and new carparks will be screened with vegetation from the street in order to support improved town amenity.

Farmland adjacent to the Butter Factory property was purchased to unlock the wastewater management challenge for the site and ensure that it can be managed in line with EPA standards.

The wastewater treatment system will treat wastewater to a standard higher than a typical septic system, producing recycled water suitable for irrigation. The system creates no odour at all (you can stand on top of it and not smell anything), and a holding dam with recycled water will be used to store some water in the wetter months. This type of solution is common and will have no impact on the Foster Creek.

The planning application has already been referred to the EPA who have reviewed the Wastewater Report and have no objection to the proposal.

An Acoustic Report was developed by a Health, Safety and Noise specialist to fully assess potential noise impacts and how these can be mitigated to comply with stringent levels as defined in EPA guidelines.

In line with the Acoustic Assessment recommends the following engineering controls will be implemented to manage noise to an acceptable level: a 2.4m high acoustic wall be constructed along the shared boundary with 1494 Korumburra-Wonthaggi Road; external mechanical plants be acoustically enclosed/treated; a noise limiter be installed to the speaker system; windows in the dining area of the cheese factory be installed in acoustic frames; and existing vegetation be maintained to suppress noise.

To minimise the disturbance to the surrounding residential areas during waste collection, the collection will follow the criteria specified by the EPA, with collections occurring once a week and restricted to specific hours, as detailed in the Waste Report.

Operational measures will also be adopted to manage noise including the management of access to the site, staggering closing times between the restaurant and event space, and coordinating patron movements so that they leave the site in an orderly manner.

We have carefully considered community feedback through this design phase, whilst ensuring the commercial viability of the project.

A Community Reference Group (CRG) was established to engage with local relevant community groups. Through the CRG, we conducted direct consultation with 11 different community stakeholder groups, meeting to showcase our full plans, answering questions and taking on board feedback to inform the design.

There has been further follow up with these stakeholder groups as requested and required, as well as extensive broader conversation with individual community members when approached and through casual interactions.

Construction is planned to start this year. We expect to be welcoming guests to the redeveloped Kongwak Butter Factory in late 2026, in time to celebrate the site's 130th anniversary!

All information relating to construction, progress updates and new exciting announcements will be posted to this website.

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