The Hotel Australasia will be demolished to make way for a third Eden supermarket after the Land and Environment Court upheld an appeal against a rejected Development Application (DA).
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The heritage section of the building may still be preserved however, with developer Rodney Thompson contacting Bega Valley Shire Council by email on Tuesday afternoon.
Mr Thompson proposes in his email to transfer a 10-15 metre section of the building to Council, in exchange for a waiver on Great Southern Developments’ car parking contributions of $453,100 under a Voluntary Planning Agreement.
Mr Thompson’s email, which was sent to all Councillors on Wednesday morning, came about after a meeting with ‘Save the Pit’ proponents Peter Whiter and Graeme Wykes in Merimbula on Tuesday morning.
Following the meeting, Mr Whiter wrote to Councillors urging them to consider and take up the offer, as well as attaching a draft business plan outlining potential uses for the building, which include a wine or tapas bar, indigenous art gallery, community radio station and hostel-style accommodation.
Mr Thompson said the offer will expire in 2-3 weeks.
“We’ve been working on this for 18 months, and with our financial commitments, time is of the essence,” he said on Wednesday.
“I’ve sent an email to Council with my proposal to transfer ownership of the front section in exchange for the section 94s [car parking contributions] being waived.
“If they take up the offer, we would require the 1906 façade to be restored within 12 months, or we’ll push along with the development as approved by the Land and Environment Court.
“The subdivision would require us to lodge a formal section 96 [modification application] to the approved DA, and re-design the development around the front section.
“The proposal we’ve put to Council says that, if it were not refurbished and the contract was to fall away, our car parking contributions would be reduced by $120,000 to cover the costs of lodging the section 96 and redesigning the development.”
‘Save the Pit’ campaigner Peter Whiter urged Councillors to indicate whether or not they will be willing to support the group’s efforts.
“All we want is some direction, and an indication of whether they’ll look at it,” Mr Whiter said.
“I wrote to all Councillors after the meeting [with Rodney Thompson] yesterday [Tuesday], and also forwarded them an updated copy of our business plan.
“It’s been the impression of our group right from the start that Council should own the building, and now that the developer has made the offer directly to Council, we’re urging them to consider and take it up.”
Bega Valley Shire Council Mayor Bill Taylor said the proposal “will be discussed and considered”, but that it is “unworkable in its current form”.
Cr Taylor said Mr Thompson’s proposal is substantially different to anything previously discussed.
“Allowing Council 2-3 weeks to consider a proposal where there are so many unknowns is impossible,” Cr Taylor said.
“We have been aware of the request [from the ‘Save the Pit’ group], but as the matter was before the court, it was not considered at the time.
“Now [that the matter has been dealt with], Mr Thompson has submitted a proposal that is just unworkable in its current form.
“Council can’t just rush in and buy something, and this proposal has moved the goalposts on us again by talking about a section 96, which has not been discussed before.
“It’s my understanding that the subdivision would require a whole new DA.
“If Council was to take ownership on behalf of the community, as the landowner, we would be incurring all the risk.
“There are unknowns in terms of physical attributes and exactly what the restoration of the 1906 façade might cost, and the draft business plan sent to Councillors [by the ‘Save the Pit’ group] still has substantial blanks.
“What Council needs to do is consider the proper use of residents’ money and not end up in a situation where Council owns a building that may not be viable.
“But when someone puts a proposal to us, it will always be looked at and considered.”
The terms of agreement filed by Great Southern Developments on Friday, and approved by the court on Tuesday, contain 81 conditions that the developer must abide by during demolition and development.
These include the preservation of the hotel’s 1905-06 bricks, timber framed windows and doors, four-panel doors, and the individual elements of the internal staircase, which must be carefully removed and separately stockpiled on the site during demolition.
The court has ordered that the developer must either retain these materials for re-use or re-sale, or make them available for members to collect from the site for a minimum of 14 days during the demolition phase.
The developer is also required provide a public art work in consultation with Council’s community and culture section.