Bateau Bay: Red Bus planning proposal to rezone depot for housing goes before council

The Central Coast’s longest running bus company is preparing a multimillion-dollar exit strategy, should its contract not be renewed with plans to rezone its massive depot at Bateau Bay.

Red Bus has lodged a proposal to rezone its Bateau Bay deport for housing. (File image)

As far as golden handshakes go this one could be a doozy. Red Bus’ three shareholders could be in for a multimillion-dollar payout if plans are approved to rezone its sprawling Bateau Bay depot for housing.

The company has put its request to prepare a planning proposal for its 5.261ha depot site to Central Coast Council, which is expected to ratify the bid at its meeting on Tuesday before forwarding it on to the NSW Planning Minister for a Gateway Determination.

Under the plans Red Bus hopes to rezone its land at 682a Coleridge Rd as R1 General Residential, apply for a minimum lot size of 450sq m and a building height of 9.5m (two-storeys).

Red Bus has initiated a planning proposal to rezone its depot at Bateau Bay into residential blocks if it loses its government contracts. Picture: supplied

Under the proposal Red Bus would include a clause in the site’s new zoning to allow it to continue to be used as a “transport depot” indefinitely.

The concept was sent to the Local Planning Panel for a review in September, which advised council should come up with a site-specific development control plan (DCP) for the subdivision, to ensure future housing on the site all follows the same guidelines.

“Red Bus depot has been operating on the site since 1981,” a report to council’s meeting states.

“The planning proposal provides future residential development opportunities should the land no longer be required for a bus depot.”

The report to council states the proposal is also consistent with the new Central Coast Regional Plan 2041, which calls for more housing in the regionally significant “Karagi” growth area that includes Bateau Bay.

Red Bus Service Central Coast

Red Bus had initially floated the idea of rezoning the site R2 Low Density Residential, consistent with existing housing to the north and south of the depot, but the Department of Planning and Environment recommended the higher density zoning in line with the future of the “Karagi” growth area.

The site operated as a sandstone quarry before Red Bus established its depot there in 1981.

Red Bus said the site, which is about the size of seven football fields, was likely to support 40-70 dwellings, which would be conservatively worth tens of millions of dollars.

Under the proposal a known Swift Parrot area would be except from development while a dam and four hollow-bearing trees would be retained on site.

Red Bus has been operating on the coast for 80 years and has grown to a fleet of 103 buses and 160 staff.

However last year Transport for NSW (TfNSW) put its contract for Region 7 bus services on the coast out to open tender.

Red Bus is planning an exit strategy should it fail to secure a new state government tender.

Red Bus’ existing contract remains until 2024 but if it is unable to secure the tender for another seven years local bus drivers fear it could be awarded to a foreign multinational.

In a letter earlier this year to the community, Red Bus signalled “given the uncertainty on the state government funding regimes, the company is looking to the future”.

Managing director John Shore, who is the majority shareholder of the company according to Australian Securities and Investments Commission (ASIC) records, has also made no secret in media reports last year that while Red Bus hoped to remain operating it had to “be prudent” and plan for alternatives.

TfNSW was expected to award the tender by the end of this year but the time table has blown out as it finalises contracts for its Sydney metropolitan services ahead of its regional services.