Gollywog Bachelor Club says the State Government short-changed it over Torrens-to-Torrens land acquisition
A 107-year-old community club and the State Government are heading to the Supreme Court in a fight for compensation over land acquisition.
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A 107-year-old men-only community club has taken the State Government to the Supreme Court, believing it was not adequately compensated after its clubhouse and land was compulsorily acquired for road works.
The Gollywog Bachelor Club – formed by a group of musicians – believes it suffered loss and damage after the Commissioner of Highways acquired land at 358 Port Rd, Hindmarsh, in 2014, documents lodged in the Supreme Court showed.
The land was acquired for the $801 million Torrens Rd to Torrens River upgrade, which opened to traffic in 2018.
Treasure Brenton Beard said the club was formed by musicians who met to play concerts for the homeless.
“They rehearsed and played all week then met on a Sunday,” the 71-year-old said.
“They’d put on free concerts for the under privileged and raise money in the city parklands.”
The club’s former location included a two-storey building with a first-floor flat that brought in approximately $10,000 in rent a year, offsetting running expenses.
It also held a limited club licence which allowed it to sell and supply liquor for up to 100 members and guests.
With just 12 members left, Mr Beard said “we’re not greedy, we just want what we had”.
The group also held a limited club licence which allowed it to sell and supply liquor for up to 100 members and guests.
In November 2014, the club was told the market value for the land was $490,000, but it would also be awarded “disturbance compensation” of $6600.
If the club committed to purchasing a property within 12 months, the government would pay $30,000 towards stamp duty and transfer fees, documents showed.
However, in December 2016, the club informed the government the market value of the land was $690,000, after it used a different valuation methodology.
“The defendant’s valuation of the amount of compensation to which the plaintiff is entitled for the land is inadequate,” the club’s statement of claim read.
At a hearing in November, the government’s legal counsel said there was a “very substantial difference of opinion as to not only the values but the actual correct approach to apply for the valuation of the subject property”.
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In its statement of defence, the government said the club had made “unreasonable and excessive claims for compensation”.
It argued the club’s claim was based upon a methodology that was “not accepted as a method of valuation and has not been adopted or deemed acceptable by any jurisdiction for a single property valuation, and was in fact wholly untenable”.
A directions hearing will be held on August 20.