Three new options for Glenorchy pool will cost millions more than expected

There are new options to replace the much loved Glenorchy Memorial Pool, but each will comes with a hefty price tag – millions more than early estimates. The options + how much they would cost ratepayers.

The Glenorchy Memorial Pool that remains closed. Picture: Nikki Davis-Jones

There are three new options to replace the much-loved Glenorchy Memorial Pool, but each option comes with a hefty price tag – tens of millions more than first thought.

The 60-year-old pool was closed because it had a number of problems, including a leak in the pool shell and structural issues.

The council’s early estimates put the cost of replacing it at between $30m and $40m, depending on the size of the facility.

The Glenorchy Memorial Pool that remains closed. Picture: Nikki Davis-Jones

The Glenorchy City Council has now released a report with new three new options, by MI Global Partners, for the future of the pool.

Each new option is costed to be about $70m.

The first (Option 4) would include a 50m outdoor pool, a 25m indoor lap pool, a 20m indoor warm water pool, a wellness hall with a spa and sauna and a toddler pool.

Construction would cost the council $72.7m.

It would bring in $2.7m in annual revenue, but it would cost the council $3.5m to run, which would leave an $845,000 deficit.

The second (Option 5) would include a 25m outdoor pool, a 25m indoor warm water pool, a wellness hall with a spa and sauna, and a toddler pool.

It would also include two multi-use indoor sports courts and a gym.

At a cost of $69.2m, it is the cheapest of the three.

According to the figures, it would rake in the most revenue – $3.1m – but it would cost $3.4m a year to run, leaving the council to pick up the remaining $215,000.

The third proposal (Option 6) would include an indoor 50m pool, and indoor 20m warm water pool, a wellness hall with a spa and sauna and a toddler pool.

It has a $70.7m price tag attached to it, would bring in $1.9m in yearly revenue and would cost $2.9m to run.

The Glenorchy Memorial Pool that remains closed. Picture: Nikki Davis-Jones

“The obvious challenge with all three options is the high projected capital costs which is similar for all three options at around $70m,” council officers said in a summary of the report.

“That figure is adjusted for inflation assuming the majority of construction is undertaken in

2026 and 2027.”

Council officers have endorsed Option 4 as the preference, because it was the most supported option during consultation.

They’ve recommended it be combined with the gym facilities included in option 5, but this has not yet been costed.

The Glenorchy Memorial Pool that remains closed. Picture: Nikki Davis-Jones

The report said it would mean higher capital costs, but would provide greater visitation and revenue.

Council officers have also included exactly how much ratepayers could expect rates to rise if the council replaces the pool.

“If these were to be covered by additional rates revenue it would collectively represent an approximate 9 per cent increase in rates,” they said.

“Council does not have the cash and capital to fully fund the pool.

“Any additional funding over and above any potential federal or state grant would likely need to be secured through a commercial loan.

“If council was required to borrow approximately a third of the build costs, a loan of $23m would be required with yearly repayments of $1,567,000 at a 5.5 per cent rate over 30 years.”

The council will vote on an option on Monday.

Originally published as Three new options for Glenorchy pool will cost millions more than expected