Cars, banned ladies and $80 million worth of Sydney real estate: Circular Quay’s battle royale over crumbling club

A battle royale has erupted at one of Sydney’s oldest establishment clubs, after “lady members” were wrongly told they were not entitled to vote for the board that controls prime Circular Quay real estate valued at $80 million.

Relic of the past.... the Royal Automobile Club of Australia. Picture Cameron Richardson

A BATTLE royale has erupted at one of Sydney’s oldest establishment clubs, after “lady members” were wrongly told they were not entitled to vote for the board that controls prime Circular Quay real estate valued at $80 million.

A group of six new candidates wants to spill the Royal Automobile Club of Australia board following the incumbents’ failed attempt to pay $900,000 to prepare and manage a development application for the Macquarie St site that house’s the club’s headquarters.

The iinterior of the Royal Automobile Club of Australia. Picture: Christian Gilles

The board had ambitious plans to build new levels on top of the 1928 heritage-listed building, which has expansive views of the Opera House and Harbour Bridge.

The plan was defeated, and triggered the Renew Our Club campaign, which wants instead to hold onto its valuable real estate asset and turn the loss-making seven-storey club, which is bleeding members, into an up-market entertainment venue with a glamorous rooftop bar.

“It is a museum piece, yet it could be a very interesting and buzzy place,” Renew team lead candidate Stephen Hathway said. “Sometimes you can be in a room and there’s more staff than patrons.”

There was no beer on tap, only one of the four kitchens is operational and 60 per cent of the membership of 1900 was over 60 years old, he said, adding: “They won’t accept that they are running the club into the ground.”

Solicitor Michael Callanan, who has been president for three years and a member of the board for 16, declined to comment ahead of the club’s annual general meeting on Thursday. “In view of the fact that there are Board elections in progress … it is not appropriate to make any comment at this time,” he wrote in a text.

Renew team lead candidate Stephen Hathway. Picture: Christian Gilles

The old guard’s resistance to allowing the Renew campaign to access the membership list to distribute its campaign material ended up in the Federal Court, with the club forced to hand over the list plus pay costs.

Member Prue Grant complained to the club that she had not received board voting papers, and a club employee informed her that as a “lady member” she was not eligible to vote due to changes to the constitution in 2017, letters on renewourclub.com reveal.

“Why were we excluded from the Vote? This seems very sexist and contrary to antidiscrimination legislation,” Ms Grant wrote in a letter to the club.

The club has since apologised for the error and distributed ballot papers to lady members, but has rejected requests for the voting period to be extended to give them equal time to cast a vote. “I do apologise for the error on our behalf, this was surely not intentional and definitely not sexist or discriminatory just an error,” CEO Markus Friedler, who was paid $140,000 last year, wrote to Ms Grant.

The meeting that voted down the ambitious plans.

Uncertain future... the Royal Automobile Club of Australia. Picture: Christian Gilles

Renew board candidate Jane Marks was also excluded from the voting paper distribution, and had to argue her way on to the ballot paper.

RACA membership costs around $2000 a year.

The Renew team says a new rooftop bar in the model of London’s Royal Automobile Club would make Sydney’s club an “exciting place to be”, like it was in the 1920s when it had 7000 members.