John Arkan criticises planned Coffs Council asset sale ahead of crucial meeting

John Arkan has issued an extraordinary statement on the potential sale of council-owned assets to fund the Cultural and Civic Space.

Cr John Arkan

Councillor John Arkan has released an extraordinary statement criticising a plan to sell council assets to fund the Cultural and Civic Space project.

Coffs Harbour City Council plan to sell four buildings in the CBD to help fund the project, two of which are the subject of offers to be discussed at Thursday’s council meeting.

In a lengthy post on his Facebook page, Mr Arkan criticised the sell-off as “the biggest rip-off proposal” he had seen in his 12 years as a councillor and instead wanted the buildings auctioned off.

“Council assets (are) being sold in my view way, way under value. To make it worse the same buildings are then to be leased back at huge rental rates,” Mr Arkan said.

“A huge win for the investor, a MASSIVE loss to the ratepayers. It‘s a booming market in Coffs at the moment.

“If the buildings are to be sold to part finance the cultural and civic space project, then the best price possible must be achieved.”

Council’s main administration building on Castle Street is one of those properties under offer and comprises of a two level commercial office building as well as the council chambers.

Coffs Harbour City Council’s Castle St offices are up for sale.

The staff report to councillors states that the $7.25m offer for the Castle St building is considered “fair and reasonable and in line with current market conditions” and that the property has been “extensively exposed to the market”.

Staff also note there have been other offers on the property but at a lower price.

“The offer is in line with the values assessed by property group Savills Pty Ltd who provided an independent valuation of the property on Council’s behalf,” the council report states.

In his post, Mr Arkan said “a valuation report given to councillors is already outdated” but declined to elaborate further on the report he was referring to or his comments more broadly.

The Mayor has been contacted for comment.

Coffs Harbour City Council do not comment on agenda items to be discussed at upcoming council meetings.