Gosford’s $234M Waterside development on old Frogy’s site in stalemate over buried asbestos
Work on the “Barangaroo of Gosford” has ground to a halt after asbestos was discovered buried under concrete slabs — and the demolition company walked off the site claiming it was owed nearly $400,000 when the developer ceased payments.
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THE sins of Frogy’s past have come back to haunt the $234 million Waterside development.
Work on the “Barangaroo of Gosford” has ground to a halt after asbestos was discovered
buried under concrete slabs — and the demolition company walked off the site claiming it was owed nearly $400,000 when the developer ceased payments.
It does not bode well for Gosford’s most ambitious project, which has long been held as the catalyst for the revitalisation of the CBD.
Deadly asbestos was discovered almost as soon as demolition began on the site in August and, while it sparked initial delays, the site was later believed to have been rendered safe.
But when concrete slabs were lifted under what was the old youth centre on the corner of Baker St and Georgiana Terrace, the true level of contamination was revealed.
The demolition contractor and licensed asbestos removal company — Integrated Construction Equipment (ICE) Demolition — began removing the asbestos and dumping it at an approved
tip site.
But when demolition costs spiralled fourfold out-of-control the developer, the New Hong Kong Macau Australia company, ceased payments — leaving ICE claiming it was about $400,000 out of pocket in unpaid tip fees and work.
The contractor downed tools in mid-November.
“It’s been a f ... ing nightmare that job,” ICE Demolition director Tony Fenwick told the Express Advocate.
“The big issue (was) we found asbestos and then we found major contamination.
“I have stopped it because I can’t get paid and there’s still issues with the site.
“I don’t like leaving jobs. It’s got to the point we’ve had enough, we’re leaving ... we
will come back when we get some money.”
With 30 years industry experience, Mr Fenwick said he had been burned in the past doing work on the promise money would follow, and said he had been paid just $100,000 out of the
$500,000 he was owed.
Even then he said he had to “beg, plead and threaten legal action”.
“We can’t get the first leg over the line,” Mr Fenwick said.
“If this is the way it starts, it’s not going to end well. Good luck to all the other trades who are going in after. You will want to make sure you get your money.”
DEVELOPER: “IT WAS NEVER ABOUT THE MONEY”
THE Sydney-based Chinese developer of the Waterside complex said it was “never about the money” and instead was worried he was being “taken for a ride” when demolition costs spiralled out-of-control and he stopped paying his contractor.
That is the view of East Gosford firm CKDS Architecture, who designed the three-tower, 550-apartment complex, and who have been drawn in to broker a peace deal that will hopefully see work rescue on the eyesore — perhaps as early as next week.
CKDS Architecture director Caine King said when Jian Wang purchased the site from Spurbest — which the Express Advocate can reveal for the first time was at a cost of $13.1 million — it was on the understanding the past owner had spent $750,000 in removing asbestos from the derelict buildings.
He said — unbeknown to anyone — that after five terrace buildings burned down the asbestos remains were just “bulldozed”, and concrete slabs for what would later become the youth centre were poured over the top.
Mr King said 800 tonnes of contaminated material, at tip fees of about $400 a tonne, were removed in three days in November.
“The delays are now costing the developer four times the original amount. You just can’t have an open chequebook,” he said.
Mr King said he spoke to Mr Wang and his son Jun, and both parties had since reached a verbal agreement.
New contracts had been drawn up and, upon signing, contractor Tony Fenwick would be paid his outstanding debt.
Under the new contract, he said both parties had agreed to a five week program.
Attempts by the Express Advocate to contact Mr Wang or New Hong Kong Macau Australia were unsuccessful.
HISTORY OF THE FORMER FROGY’S SITE
■ November 2001: Sydney developer Spurbest buys the old Frogy’s rollerskating rink and two adjoining buildings, the former electricity building and the old youth club site, from Central Coast Leagues Club for $1.5 million
■ January 2002: Frogy’s closes its doors after 20 years
■ June 2006: Spurbest proposes a $105 million development of six towers ranging from seven to 22 storeys
■ September 2002: Gosford City Council votes against a rezoning proposal and Spurbest threatens to sell the site
■ October 2002: Spurbest revives its plans
■ November 2002: Council rejects the Spurbest proposal
■ September 2003: The State Government appoints independent planner John McInerney to oversee the CBD redevelopment
■ December 2003: The State Government rejects Spurbest plans
■ April 2004: Spurbest submits plans for a scaled-down version of the development
September 2005: A scaled-down Spurbest plan is approved
■ July 2006: Spurbest puts the Frogy’s site up for sale after years of political infighting over building heights
■ December 2014: Sydney-based Chinese developer Jian Wang, of the New Hong Kong Macau Australia company, purchases the site for $13.1 million
■ February 2015: Mr Wang announces plans for the $234 million Waterside development with three towers of 22 to 33 storeys, 550 residential apartments, an 80-room hotel, twin cinemas, offices, shops and a 600-space car park
■ September 2015: The Waterside project is deferred by the Joint Regional Planning Panel (JRPP) over height and floor space ratios
■ December 2015: JRPP grants final approval after Gosford Council spends much of the year negotiating with Mr Wang about locating the Regional Performing Arts centre within the development
■ April 2017: Applicant lodges a Section 96 amendment to allow demolition to begin prior to a construction certificate and CKDS Architecture announces a contact has been signed with a demolition company
■ August 2017: Demolition begins, but is initially halted when asbestos is discovered
■ November 2017: ICE Demolition walks off the site owed nearly $400,000 after payments cease
■ February 2018: The derelict site remains vacant for nearly three months