Whistler St triangle plans unlikely after negotiations between council and developers stall
NEGOTIATIONS between the Northern Beaches Council and developers hoping to redevelop the Whistler St carpark have broken down. The two sides attempted to work out the best outcome for Whistler St after a council decision to scrap a linked plan to build a carpark under Manly Oval.
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NEGOTIATIONS between the Northern Beaches Council and developers hoping to redevelop the Whistler St carpark have broken down.
The two sides attempted to work out the best outcome for Whistler St after a council decision to scrap a linked plan to build a carpark under Manly Oval.
Built Development Group and Athas Holdings would have paid then Manly Council $37.5 million in cash and another $10 million in-kind to lease the Whistler St triangle site for 99 years.
The site includes the carpark and library, meant to be bulldozed to make way for a new top-floor library with 180-degree views of the Manly Cove.
The plan was scrapped by administrator Dick Persson in response to two independent reports which cited significant contractual and financial risks with the Manly Oval carpark.
In March, the Daily reported Built and Athas threatened to sue the council for $49 million after Mr Persson cancelled the tender.
That threat led to negotiations, believed to have centred around moving the library to Manly Town Hall and allowing developers more space for apartments.
“We had a number of meetings between the two organisations, that was in the company of a probity adviser,” council chief executive Mark Ferguson said.
“As a consequence in late May Built-Athas terminated the deed for negotiation as they didn’t believe there was an acceptable option.”
It is unclear if the developers will take legal action.
A developer spokeswoman stated: “Built and Athas Holdings can confirm negotiations with the … Council in relation to the Whistler Street development have been unsuccessful.
“We approached these negotiations in good faith and worked hard to provide a range of proposals to achieve an outcome both commercially viable while in the interests of Manly residents and businesses.”
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At the most recent council meeting, Mr Persson said: “It is my understanding that the council stands ready to compensate those companies for the money they can show they spent. I think as soon as they get senior legal advice, I suspect they may come to that view as well.”