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Wirrina Cove marina operator New Wave Aerospace has failed to meet ‘specific obligations’ of lease with State Government

THE operator of a major South Australian marina — who is at the centre of a class action — has failed to maintain the property in breach of its lease with the State Government.

The State Government will take action to dredge the entrance to the Wirrina Cove marina, whose operator is at the centre of a class action.
The State Government will take action to dredge the entrance to the Wirrina Cove marina, whose operator is at the centre of a class action.

THE operator of a embattled South Australian marina — who is at the centre of a class action — has failed to maintain the property in breach of its lease with the State Government.

The Transport Department’s general manager property Steve McQuillan has written to berth holders at Wirrina Cove marina advising them that marina operator New Wave Aerospace has failed to meet “specific obligations” of the lease, in particular dredging of the marina and entrance channel to a required depth.

“The department has completed a further hydrographic survey in 2017 to ascertain the current state of the marina and entrance channel, which has further shown that the subject areas of the channel are not of an acceptable depth,” the December 20 letter said.

“The department has determined that the inaction of NWA cannot be allowed to continue further to which the department is taking its own action to undertake the dredgin.”

A department spokesman, in response to questions from The Advertiser, said the dredging work could take in excess of a year to complete subject to necessary approvals.

“A number of approvals will be required prior to undertaking any dredging of the marina,” he said.

“DPTI is currently in the process of engaging a consultant to undertake the preliminary environmental works.”

“Dredging of the marina is a maintenance obligation issue under the lease to assist navigation throughout the marina.

“For legal reasons, DPTI cannot comment further regarding obgliations between the two parties.”

He would not answer whether the department would be charging the dredging cost to NWA or whether it was considering terminating the lease.

NWA’s lease with the Government is due to expire in 2048 with a 30-year right of renewal

NWA and its director Stephen Marks are being sued by berth holders in the District Court over alleged failings of the company to account for more than $1 million in spending.

Their claim catalogues disputed expenditure, including $280,000 on marina dredging, $240,000 for “major works”, $91,500 for landscaping, and $225,000 in management fees.

The matter is listed for a five day trial next month.

Mr Marks has also drawn the ire of Yankalilla Council and its residents over the construction of a three-storey beachfront house at Carrickalinga higher than approved.

Consumer and Business Services are also investigating whether Mr Marks breached his builder’s licence during construction of the property.

Under the conditions of his licence Mr Marks, as director of New Wave Construction, is restricted to alterations and renovation additions to residential buildings not exceeding one storey.

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Original URL: https://www.adelaidenow.com.au/business/sa-business-journal/wirrina-cove-marina-operator-new-wave-aerospace-has-failed-to-meet-specific-obligations-of-lease-with-state-government/news-story/8b31a196e61263b935802db5f0b65085