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Court appeal over mega gym in industrial area exposes millionaires’ rift

Two Brisbane business titans are locked in the most bitter of legal fights over the development of blue chip inner-city property on the Brisbane River.

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They are two of Queensland’s richest men, one a billionaire cattle baron married to a fashion icon, the other a waste recycling mogul who has made millions from the garbage business.

In a close 25-year friendship, rich-listers Trevor Lee and Balfour Irvine were guests on each other’s boats and spent time with each other’s families.

But now these Brisbane business titans are locked in the most bitter of legal fights over the development of blue chip inner-city property on the Brisbane River.

For these two men, who own expansive neighbouring parcels of some of Queensland’s most valuable land, business has become personal in an appeal hearing over a gym development.

The Planning and Environment Court case has revealed claims of deception and broken promises.

Trevor Lee and Keri Craig-Lee.
Trevor Lee and Keri Craig-Lee.

It has also given a fly-on-the-wall view of lobbying by Mr Lee’s celebrity wife Keri Craig-Lee and of texts from one of his lieutenants trying to convince a government minister to bring in a favourable planning change.

And it has also prompted a judge to question whether it was an instance of “two very wealthy individuals having a duel in court, flexing their muscles” over an area.

Rich-listers Trevor Lee and Balfour Irvine are locked in a legal stoush over the development of the highlighted land.
Rich-listers Trevor Lee and Balfour Irvine are locked in a legal stoush over the development of the highlighted land.

Mr Lee’s Australian Country Choice is appealing approval of what could be one of Australia’s largest indoor gyms, TotalFusion, on part of a 30ha Morningside site – called Rivermakers – owned by Mr Irvine’s BMI Group.

What’s at stake is how some of Brisbane’s best remaining river frontage can be developed.

Mr Lee owns ACC, which has a $200m abattoir and beef processing factory – employing 1350 workers – and sits on 42ha at Cannon Hill.

Along with another industry giant Wilmar Trading, ACC has appealed Brisbane City Council’s approval of the gym for two years in an existing building, which could then revert to industry use.

ACC claims the 5577sq m complex, including a rock climbing wall, will affect its Cannon Hill operations, and is now awaiting Judge Nicole Kefford’s appeal decision.

Balfour Irvine at the Rivermakers site. Picture: Richard Walker
Balfour Irvine at the Rivermakers site. Picture: Richard Walker

WE WERE FRIENDS

In a court affidavit, Mr Lee, who sat on the opposite side of the courtroom from Mr Irvine during the appeal, told how his once-close friendship with Mr Irvine changed over development of Rivermakers.

He said in early 2015 Mr Irvine asked if he would have a problem with him buying a large parcel near ACC’s Colmslie Rd facility.

Mr Lee said, over following years, Mr Irvine had assured him he would not develop the Rivermakers site for retail, restaurant or food activities or build anything outside the existing industrial zoning.

The Rivermakers site. Picture: Richard Walker
The Rivermakers site. Picture: Richard Walker

“We had known each other for approximately 25 years,’’ Mr Lee said. “We had been to each other’s houses, we had spent time with each other’s families and we had been guests on each other’s boats ... I considered that we were close friends.’’

But Mr Lee said in February last year Mr Irvine was quoted as saying the land being developed would include a 300-seat restaurant, taphouse and brewery.

He said he sent Mr Irvine an email expressing his disbelief that he would go against his “promises’’ that all development would be within the existing industrial zoning.

“He was due to come to my house for a party the next evening and he asked me, whether, in the circumstances, he should not come. I said that would be a good idea,’’ Mr Lee said.

When the pair met two days later, Mr Lee said he told Mr Irvine that over the previous five years he had assured him he would never do retail, restaurants or anything that would affect his beef business.

The Rivermakers site. Picture: Richard Walker
The Rivermakers site. Picture: Richard Walker

“To my amazement, he replied that he never said that,’’ Mr Lee said in his court affidavit.

Mr Lee said he was “staggered’’ when Mr Irvine told him he had never told him the site would only be developed for industrial purposes and he had always intended to maximise its potential.

Mr Irvine later told Mr Lee that his accusations and comments were incorrect, saying it hurt him to think Mr Lee believed he would break a promise to him.

The Rivermakers site already includes a service station, a McDonald’s restaurant and a brewery in a heritage building and a meat retailer, while a business park is being developed.

PLENTY OF SKIN IN GAME

In final oral submissions, counsel for ACC, Danny Gore, questioned the credibility of the notion that a gym, which already has had a multimillion-dollar fit-out, would pull out after just two years.

“One can see Rivermakers has brought a lot of money into this case … Your Honour would know, would be able to infer, Rivermakers’ fees alone, consultants, lawyers, the works, it’s going to be a significant seven-figure sum,’’ Mr Gore told Judge Nicole Kefford.

“Why would you do that if it’s just two years? You just wouldn’t.’’

Judge Kefford asked Mr Gore if it also could be inferred, from Mr Lee’s affidavit, that there was “some ill will’’ between Mr Lee and the individual behind Rivermakers.

She asked if it was “not a case of two very wealthy individuals having a duel in court … flexing their muscles over the area’’.

Trevor Lee leaves Brisbane Supreme court. Picture, John Gass
Trevor Lee leaves Brisbane Supreme court. Picture, John Gass

Mr Gore told the judge Mr Lee had no personal vendetta.

“How do you know the same’s not true of the other side though?’’ Judge Kefford asked.

“Why is that not a reasonable inference as to why they’re spending so much money, given what Mr Lee’s been doing, in terms of approaching the state government and the like?’’

The 4500sq m gym will have six studio spaces, and a separate 9 Degrees indoor rock climbing wall will operate next door.

Local workers will be offered 40 per cent discount on gym membership, but only 300 members will be allowed in the gym at any one time, the court heard.

The gym already had about 1500 members signed up and it would employ about 100 staff, TotalFusion founder Leon McNiece said.

Michelle and Leon McNiece in their cycle room at Total Fusion gym, Morningside. Picture: Liam Kidston.
Michelle and Leon McNiece in their cycle room at Total Fusion gym, Morningside. Picture: Liam Kidston.

During the appeal, experts were questioned about possible local traffic, planning, economic, and noise and odour impacts of the gym.

A major concern for ACC and Wilmar Trading, which operates Queensland Bulk Terminals, is increased traffic, with 350 cattle trucks already driving down Colmslie Rd each week and a roundabout already under strain.

Mitchel Batty, counsel for Rivermakers, said cattle trucks passed closer to nearby homes than they would to the gym and there already were several non-industrial businesses within the industrial-zoned area.

Gym owners Michelle and Leon McNiece leave Brisbane Supreme court. Thursday July 29, 2021. Picture: John Gass
Gym owners Michelle and Leon McNiece leave Brisbane Supreme court. Thursday July 29, 2021. Picture: John Gass

After the hearing, Mr Irvine told the Sunday Mail he was “disappointed and sad’’ that Mr Lee wanted to take an exclusivity position, but he denied there was any personal fight between them.

He said he had only ever told Mr Lee that he would never do residential development at Rivermakers.

Mr Irvine said he was developing Rivermakers as a “whole new environment of modern industry’’, including small boutique operators, to give local workers and residents a variety of amenities.

“We are adapting what the council wants to see – modern industry,’’ Mr Irvine said.

Original URL: https://www.couriermail.com.au/news/queensland/court-appeal-over-mega-gym-in-industrial-area-exposes-millionaires-rift/news-story/16ddf789b957513969db2961ccd71a14