CES NQ Constructions calls for meeting between council and Hilton developer
The Townsville builder for the rejected Hilton Garden Inn has called on the council to support ratepayers by returning to the table to discuss salvaging the project. HAVE YOUR SAY IN OUR POLL.
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The Townsville builder for the ill-fated $60m Hilton Garden Inn has called on the council to act in the best interests of ratepayers by going back to the negotiating table with the developer to see if there was a way of salvaging the project.
Founded in 2008, Townsville-based CES NQ Constructions has worked for the past 12 months and invested hundreds of thousands of dollars towards the Hilton project, with its team just a week out from breaking ground next to Queensland Country Bank Stadium on the 186-room hotel.
CES NQ’s construction manager Patrick Donlan said they had been “ready to go” with a fence around the site, arrangements made in China to pursue the modular construction approach, and a site team employed including project management, site engineers, safety person, and general labour for the project.
He accused the “erratic” and “chaotic” Townsville City Council of damaging the city’s reputation by “pulling the rug out from under everybody” when it rejected the project last week without properly consulting with developer HHNQ, who claims 25 emails and meeting requests were ignored.
“It was a real slap in the face from council to our business, and to be honest, I think it shows a complete lack of understanding commercially about what it takes to get a project of this nature to be shovel ready,” Mr Donlan said.
“(Council needed to) understand the position that the project was in, considering we’ve gone through some really difficult periods to actually get it to go.”
He said there remained a window of opportunity for the council to act with integrity and professionalism by giving the developer a hearing to gather the correct knowledge before making an informed decision.
“We were a week off starting on the job site, or it could have been sooner. My understanding was it was a minor change amendment that was put through to do with the aesthetics of the building,” he said.
“It went through to planning and the developer paid the fee, they came back and confirmed it was only a minor change. The developer paid the fee straight away and we were just waiting for that to get signed off.”
He said a key impediment to the project meeting council’s requirement for pilings to be in the ground by June 30 was the absence of piling rigs in North Queensland and the wait for one to be sourced from down south.
“The piling design was happening, the piling platform was due to happen, but physically getting a rig here by the 30th of June was not happening. It’d be within the first couple of months that it would have come up,” he said.
“These are things you’ve got to have booked in and ready to go, and until all the commercial arrangements are all in place, our hands were tied because we were waiting on council’s final approvals.”
Mr Donlan urged the council to consider the interests of ratepayers in its decision-making, given that the hotel’s lease would provide a reliable stream of income into the council’s coffers for decades to come.
The project would also provide an employment windfall for the city with 25 to 30 different trades poised to be engaged and 100 contractors working on-site with families to support for the duration of the project, with the completed hotel supporting 42 ongoing roles.
“Indirectly, the (construction) number would be more than double that, with suppliers providing goods and services to the project such as reinforcing steel, concrete, timber, hardware, plumbing, electrical, transport, paint supplies, the list goes on,” he said.
A Townsville City Council spokesman said the council had already made its position clear on the Hilton project.
“(The council) will now consider alternative opportunities for the site in consultation with key stakeholders to provide best value for ratepayers in line with council’s strategy for development of the North Queensland Stadium Precinct,” the spokesman said.
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Originally published as CES NQ Constructions calls for meeting between council and Hilton developer
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