Giannarelli Group evicts tourism operators from Gold Coast shopping centre to make way for Ritz Carlton
The State Government and council must intervene to halt the potential forced eviction of 30 marine tourism businesses from a section of Gold Coast waters, warn boaties.
Property
Don't miss out on the headlines from Property. Followed categories will be added to My News.
The State Government and council must intervene to halt the potential forced eviction of 30 marine tourism businesses from the Broadwater and Mariners Cove, warn boaties.
The Main Beach Marine Tourism Association (MBMTA) says businesses risked “extinction by eviction” unless authorities helped secure their future.
The Giannarelli and Pelligra groups have lodged a development application for a proposed Main Beach Superyacht Marina and Ritz Carlton Hotel on the site. It has sparked objections from tourism operators and community groups.
An MBMTA spokesperson claimed the developers had launched a pre-emptive eviction strike on association members after they lodged objections to the project DA.
“These acts of revenge must be stopped by government,” the spokesperson alleged.
But developer, Melbourne-based Giannarelli Group, says the two evictions are because of a lease breach and they need more space for their team. The Mariners Cove marina tourism precinct hosts 30 businesses employing 100 residents, generating $100 million a year - representing at least half the city’s marine tourism operators.
The MBMTA pokesman said the government should have assured the future of marine businesses when transferring the lease to the new owners.
“And now Ritz Carlton plans an elitist Superyacht Marina which turfs out small businesses and their hardworking staff,” the spokesperson said.
The council should also reject its DA as it fails to comply with the purpose of The Spit lease for “business: tourist facilities” and operation of “commercial marina”.
“The State Government should intervene to impose fair departure terms and establish a new marine business precinct on The Spit,” the spokesperson said.
The proposed private and exclusive-use Superyacht Marina would not satisfy the “tourism facilities” criteria under existing planning laws, the spokesperson said. “Only the mega-rich will use it, not the general public, average boat owner or budget tourist,” the spokesperson added.
The MBMTA says it was prepared to work amicably with developers on sensible departure arrangements and seek their support for relocation nearby.
“But it still faces the issue of no agreed alternative new location for a marine business precinct on The Spit,” the spokesperson said.
“The membership opposes any move to force us to relocate to a jetty facility at Southport, which is not a technically appropriate site for many reasons.
“They are gratified by the support of all Main Beach community groups which want to see them remain on the eastern side of the Broadwater.
“The Ritz-Carlton takeover requires the State Government to provide an alternative location and the MBMTA’s preferred site is at Carters Basin adjacent to the existing Fish Co-op jetty.
“This location is already earmarked in The Spit Masterplan for a facility that can cater for tourism and charter vessels.”
The MBMTA had been lobbying the State Government for two years to recognise concerns but says it failed to get any response.
“It will now take its campaign to the next level seeking to convince the State to facilitate the creation of this new precinct,” the spokesperson said.
Luxury resort developer evicts marine tourism operators
Small tourism operators are being evicted at Mariners Cove on The Spit by the group behind a planned luxury redevelopment that includes a Ritz-Carlton.
Fuming business owners - who claim the evictions threaten the marine tourism industry - fear they are being punted after speaking out against the development while council considers it.
But the developer - Melbourne-based Giannarelli Group - says the evictions so far are due to a lease breach and because they need more space for their team.
A termination notice of a casual marina berth licence was sent to an operator giving them a month to clear away their boating operation.
Dion Giannarelli’s Melbourne-based Giannarelli Group alongside joint venture partners Pelligra Group want to build a three-storey precinct including a six-star branded Ritz-Carlton hotel. It also includes more than 5000sq m of restaurants and a superyacht marina.
In a confidential email to the operator, on a monthly lease, management advised their final licence term would end on May 24.
The Giannarelli Group’s Mariners Cove Holding Pty Ltd wrote: “Please ensure that on or before the last day of the term that you vacate your berths leaving it in good repair and clean condition and remove any signage installed by you within the marina and or adjoining area.”
“We thank you for your business over the years and wish you all the best with your future endeavours.”
The evicted operator had objected to the superyacht marina in a submission on council’s planning online.
Other business owners in Mariners Cove are understood to be in talks about their leases.
Mr Giannarelli, who confirmed two tenants had been given departure notices, said “regular discussions” had been held with tenants since August 2022 and stakeholders had been offered “assistance to help them find a relocation solution”.
“We have already spoken to each of the current business owners and have met in person with a number of them over the last week to provide reassurance and progress on our plans,” he said.
“The tenants have been advised they will not be asked to leave the marina until our development application is approved by Gold Coast City Council and the regulatory bodies.
“(But) we have given notice to two existing tenants in preparation for our DA approval and due diligence process as we start our planning toward development.
“Neither of the vacate notices are related to any objection. One was due to a breach of the leasing agreement and one was to accommodate our growing team within the building we currently occupy.”
Paradise Jet Boating in a submission said they were not opposed to change on the site and its ageing buildings needed a facelift but the proposed development did not fit the location.
The DA to council shows a “luxury precinct” catering for superyachts, a large charter boat party operation and a ferry terminal.
“Although not a planning issue as such, the dislodgement of 30-odd locally owned marine-based tourism enterprises should be considered,” Paradise Jet Boating wrote.
Spirit of Gold Coast Whale Watching said its business relied on the location to survive.
“If we get notice to vacate, we literally have no business. Our business has operated for 26 years, and this will bring it to a complete halt,” the whale watching company said.
Sailing in Paradise also recognised Mariners Cove needed to be redeveloped but questioned whether the hotel and superyachts fitted with The Spit Masterplan which talks of future development serving from “budget to premium markets”.
“The planned luxury precinct will have the effect of excluding those on more moderate incomes who currently patronise the area on a regular basis,” Sailing in Paradise said.
“We are concerned the focus on providing berths for super yachts and other large vessels will result in net loss of berths for more modestly-sized vessels, whether commercial or privately owned.”
The Main Beach Association emailed council planning chair Cameron Caldwell and area councillor Darren Taylor with its last-minute submission saying “none of those wanting to lodge an objection to the DA knew about the public notification”.
The notice was “simply not placed in a location where it was easily visible to owners of businesses on the site nor the various interested community groups”.
In their “short submission” MBA leader Sue Donovan also argued the DA was not consistent with The Spit Master Plan.
The proposed redevelopment and neighbouring Gordon Corp $300m Mantaray Marina would only cater to the premium tourism market “leaving a huge void for in affordable tourism attractions currently available”.
“Clearly the ageing buildings are well overdue for a major facelift, both in terms of safety and aesthetics,” Ms Donovan said.
“However, we are greatly concerned about the impact that this will have on the egalitarian nature of The Spit for locals and visitors alike.”
Ms Donovan said the loss of at least 30 locally-owned business would be “deeply regrettable”.
Mariners Cove Holding in its response to council planners said The Spit Masterplan overlay code area includes only some parts of The Spit but not their premises.
“Why the premises is excluded along with the Sheraton Mirage and Palazzo Versace resorts, remain unclear,” Mariners Cove Holdings said.
But the new building would “enliven both the plaza and waterfront edge” set out in outcomes for the Masterplan’s Village South area.
Further comment is being sought.
First look: Tower to replace old Surfers Paradise unit complex
Plans for an ultra-thin tower next to one of Surfers Paradise’s busiest light rail stations has been unveiled. FIND OUT WHERE
First look: Giant new homeware shopping centre expansion
Plans have been unveiled for a massive expansion of a Gold Coast shopping centre which will feature hundreds of carparks and a giant anchor tenant in its showroom.