Item ## City Infrastructure & Public Works Committee on 19/08/2014. Victoria Park Kiosk Lease Consultation Results [2013/00358]
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1 Item ## City Infrastructure & Public Works Committee on 19/08/2014 Status: Public Victoria Park Kiosk Lease Consultation Results [2013/00358] Strategic Outcome: Program & Value Proposition: Program Contact No: Approved: Outcome 1 - City of Great Places Property Development - The Property Development Program will leverage Council's property assets and integrate its organisational effort to deliver lasting public value Phillip Burton, CM Infrastructure Management Neil Brown, GM City Infrastructure and Public Works RECOMMENDATION That the City Infrastructure & Public Works Committee recommends to Council that: 1. Council notes the public consultation process and is satisfied that no significant negative responses were received. 2. Council in its capacity as lessor and in no other capacity, approves in principle to the terms and conditions of the proposed Park Land Lease Agreement (Attachment A) over the Victoria Park Kiosk located in Victoria Park / Pakapakanthi as per Attachment B to Item # on the Agenda for the meeting of the City Infrastructure and Public Works Committee held on 19 August 2014, to Paul Petchy (or nominated entity). 3. The Chief Executive Officer be authorised to execute the Memorandum of Lease and associated documentation. 4. The Lord Mayor and Chief Executive Officer be authorised to affix the Common Seal of the Council to the Memorandum of Lease and associated documentation. BACKGROUND 1. At its meeting on 24 July 2012 Council endorsed the following recommendation of the Corporate Planning, Governance & Finance Committee: That: 1. Council authorises the Administration to seek expressions of interest from prospective lessees for the use of the vacant buildings at Victoria Park /Pakapakanthi (Park 16) P a g e 1 I t e m #
2 identified on the plan attached as Attachment A to Item 10 on the Agenda for the meeting of the City Infrastructure & Public Works Committee held on 17 July The Administration submits a further report seeking approval to the agreed terms and conditions of the lease and to submit the lease to public consultation. 2. At its meeting of 25 June 2013, Council further resolved that lease negotiations commence with Petchy Holdings Pty Ltd, the successful candidate for the Victoria Park Kiosk following the Expression of Interest that was held late Following this meeting the terms and conditions of a lease were finalised between the Council and Petchy Holdings Pty Ltd resulting in an Agreement to Lease (Attachment C) being signed. 4. On the 21 May 2014, Development Plan Consent was granted to Petchy Holdings Pty Ltd by the Development Assessment Commission (DAC) (Attachment D) to change the use of the land from a vacant building (former kiosk) to café (shop) with associated demountable storage shed and shelter structure. The approved planning consent plans may be view in Attachment E and other works included: 4.1 Painting the kiosk white or close to match existing colours; 4.2 Stainless steel kitchen fit out that is compliant with Health & Food Safety Regulations; 4.3 Stainless steel standing bench (external) to accommodate cyclist; 4.4 Air-conditioner inserted on the side of the kiosk; 4.5 Roof mounted flue (no higher than 700mm); and 4.6 Erection of a demountable shade structure (umbrella). 5. Council is also scheduled to undertake capital works that are complimentary to the kiosk in its operations. These proposed works may be viewed on Attachment F and include: 5.1 New perimeter path around the kiosk; 5.2 Trimming of tree immediately adjacent the kiosk; 5.3 New breakout/outdoor dining area finished with porous compacted granulitic sand; 5.4 New porous compacted granulitic sand footpath linking the kiosk to existing path east of the kiosk; 5.5 New power and gas connections; and 5.6 All new access points to be DDA compliant. 6. The kiosk, at present is not listed as a State Heritage Item or recognised as a Local Heritage Item in the Adelaide (City) Development Plan. 7. Whilst planning consent was being sought through the DAC, the Administration negotiated the standard Park Lands Lease Agreement with Petchy Holdings Pty Ltd to develop the P a g e 2 I t e m #
3 proposed Park Lands Agreement for the Kiosk ready for consultation (Attachment A). 8. In accordance with Section 202 of the Local Government Act 2005 and as per Council s resolution, the public consultation was undertaken over a four week period commencing Monday 16 June 2014 and concluded at 5:00 pm on Friday 11 July Prior to the consultation commencing, key stakeholders were identified. They included commercial and community Park Lands lease holders, and other interested parties such as Office for Recreation and Sport and the Park Lands Preservation Society. 10. An was forwarded to the key stakeholders notifying them of the consultation and to also provide them with other information relevant to the public consultation. 11. It is noted that Petchey P/L has agreed to the details of the Park Lands lease agreement for the Victoria Park Kiosk lease being made public. 12. Following the public consultation, the Your Say Adelaide website summary (Attachment G) concluded that: people were aware the consultation and visited the website; people were informed about the consultation and downloaded information from the website; and people were engaged in the consultation by submitting online submission forms (Attachment H). 13. The three (3) comments that were received from members of the public are listed below: Summary 13.1 Please no liquor licence! Supported. Cate Richardson 199 East Terrace, Adelaide; 13.2 Good use of existing building and having toilets both at back of grandstand and west off Kiosk means no additional ones are required. Lovely trees for shade which can be used in planning some simple seating. These seats can be used whether kiosk is open or not. I have seen wooden bench seats around a tree trunk - not up against it - far enough away to have heads clear of tree but to have the benefit of the shade. Such seating has the benefit of facilitating conversation or to retreat into own space. Supported. Marjon Martin 14A Well Street, Adelaide; and 13.3 Your EOI was completed quite a long time ago. Is the proposal from Petchy Holdings still relevant? Have conditions in the park changed which might impact the choice of the best facility possible? Without more detailed specifications for the kiosk it is very difficult to comment of its suitability. Undecided. Samantha Jersmann 41 Ormond Grove, Toorak Gardens. 14. Of the 3 comments that were received, two (2) supported the lease proposal, and one (1) was undecided. 15. It is evident that the 1 undecided comment does not relate to the lease itself, as it relates more so to Council objectives and the activation plans for Victoria Park / Pakapakanthi. P a g e 3 I t e m #
4 16. It is fair to say that under these circumstances that there was no negative feedback received or associated with the proposed 9 Year 11 Month lease, nor is it perceived by the public that this lease will negatively impact on the building or the surrounding area. Next Steps 17. It is proposed that following Council endorsement of this report that the lease between Council and Petchy Holdings Pty Ltd be finalised and executed by both parties and that Council commence its capital works program scheduled for this site. IMPLICATIONS Policy Implication Applicable Comment Business Plan Objectives / Outcomes or Services YES Property Management Services (ID 5.5) Consultation YES Completed Resource Risk / Legal / Legislative Budget / Financial Implications 14/15 Budget Allocation YES - Asset Management Renewal $86K 14/15 Budget Reconsideration Proposed 15/16 Budget Allocation Ongoing Costs (eg maintenance) Life of Project / Life Expectancy of Asset YES Lessee is responsible for all repairs and maintenance to the building 9 year 11 months ATTACHMENTS Attachment A Proposed Park Lands Lease Agreement Petchey Holdings Pty Ltd Attachment B Lease Map Victoria Park Attachment C Agreement to Lease Attachment D Development Assessment Commission Decision Notification Form Attachment E Approved Planning Consent Plans Attachment F Council Capital Works Attachment G Your Say Adelaide Summary P a g e 4 I t e m #
5 Attachment H Engaged comments - Your Say Website P a g e 5 I t e m #
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