Fitzroy nursing home development application on hold while owner proves to DPTI it is worth $21 million
A DEVELOPMENT application for an Adelaide nursing home is on hold while the owner produces evidence on how it is suddenly worth $21 million and able to gain major project status.
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QUESTIONS have been raised about how a Fitzroy nursing home proposal rejected by Prospect Council when it was worth $12 million has now jumped in value to $21 million, allowing it to gain major development status.
To be declared a major development, and therefore have the State Government rather than the local council deal with the assessment, retirement and aged care projects have to be worth at least $20 million.
Following contact with Prospect Council last week, the government’s Planning Department has put on hold the application by owner Terry Snell to triple the size of the St George’s Park Nursing Home until he can justify the increase in value.
The new development at 13-14 Fitzroy Tce has 74 new rooms — one fewer than the previous application refused last September.
It is also 100sq m smaller, Prospect Council’s director of community and planning, Nathan Cunningham, told a meeting last week — although no plans have been made public.
“Following discussion with the City of Prospect, it was identified that a similar development had been presented to (the) council at a value of $12 million,” a Planning Department spokesman told The City.
“The application is on hold until the proponent provides acceptable justification for the cost difference (from the original council application to the major development application) and solid evidence that it is in excess of $20 million development value.
“If this is not provided, or it is determined to be less than $20 million development value, the application will not continue as a major development.”
As well as the new rooms, the latest application also includes a basement carpark, dining and lounge rooms, meeting and sitting rooms, a library, a hairdressing salon, a new kitchen and servery area and staff amenities.
The development application refused by Prospect Council included similar items.
The existing nursing home has 32 rooms and is contained to 13 Fitzroy Tce.
When contacted last week, Mr Snell said he was unaware of the project being given major development status.
Asked about the increased value, he said “Thanks for the call,” and hung up.
Three neighbours objected to the proposal when it went to the council’s development assessment panel.
Their main concerns were lack of parking, traffic congestion on the Fitzroy Tce service road, increased noise and the development being unsuited to the local historic conservation zone.
Councillors voted at last week’s meeting to write to Premier Jay Weatherill, Planning Minister John Rau, Opposition leader Steven Marshall and Opposition planning spokesman David Pisoni asking for the major development status to be overturned.
Mr Rau changed major development regulations in March so that retirement and aged care projects worth more than $20 million could gain major development status.
“This decision will enable a whole of government assessment process to be undertaken on qualifying proposals,” the Planning Department’s website states.
In a report published in December, SA Ombudsman Wayne Lines said the Office of the State Co-ordinator General had “erred” in valuing an On The Run petrol station proposed for Kensington Park at more than $3 million, allowing it to be considered by the Development Assessment Commission rather than Burnside Council.