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Glenorchy City Council to consider formal offer from Southern Huskies consortium for DEC

THE Southern Huskies’ bid to own the Derwent Entertainment Centre will take a big step forward tonight with the council to consider a formal offer.

Former basketballer Justin Hickey is part of the Hydraplay consortium that has expressed interest in buying the Derwent Entertainment Centre. Picture: SAM ROSEWARNE.
Former basketballer Justin Hickey is part of the Hydraplay consortium that has expressed interest in buying the Derwent Entertainment Centre. Picture: SAM ROSEWARNE.

THE Southern Huskies’ bid to buy the Derwent Entertainment Centre will take a big step forward on Monday night with the Glenorchy Council to consider a formal offer.

A closed session of Monday night’s council meeting will discuss an offer from the Hydraplay consortium that is behind Tasmania’s bid for a team in the NBL and the only interested bidder. Glenorchy Mayor Kristie Johnston said the council had requested the consortium — led by the former basketballer Justin Hickey and business partner Mike Sutton — to table its best offer for the DEC.

Glenorchy Mayor Kristie Johnston says council will consider a formal offer from the Hydraplay consortium for the DEC. Picture: MATT THOMPSON
Glenorchy Mayor Kristie Johnston says council will consider a formal offer from the Hydraplay consortium for the DEC. Picture: MATT THOMPSON

“The reason that it will be discussed in a closed session is the consortium has put forward an offer that is commercial in confidence,” Ald Johnston said.

“If we decide that offer is acceptable then the decision to actually dispose of the DEC would be at the council’s next meeting and it will be in an open forum.”

The DEC has been a burden on ratepayers in recent times with council reporting an operational loss for the centre of $145,000 in the last financial year, with depreciation ($869,000) and maintenance bringing the council’s total cost of running the building to almost $1.1 million.

READ MORE:

COUNCIL VOTES TO CLEAR THE DEC

A GRAND STAND FOR HUSLIES DEC BID

DEC SALE DEAL MOVES ANOTHER STEP CLOSER

In July, the council announced it was putting the DEC on the market and has valued it at $18.6 million.

But not everyone is in favour of the DEC being sold.

A petition will be tabled at tonight’s meeting with 736 signatures from people opposed to the sale of the DEC.

The petition refers to the council’s proposed sale of the DEC and the $4 million interest-free loan that has been offered by the State Government to help the council develop land adjacent to the DEC site at Wilkinsons Point.

But Ald Johnston said the DEC and Wilkinsons Point were separate titles and the council was still considering the loan.

A closed session of Monday night’s council meeting will discuss an offer from the Hydraplay consortium that is behind Tasmania’s bid for a team in the NBL and the only interested bidder.. Picture: SAM ROSEWARNE.
A closed session of Monday night’s council meeting will discuss an offer from the Hydraplay consortium that is behind Tasmania’s bid for a team in the NBL and the only interested bidder.. Picture: SAM ROSEWARNE.

A similar petition was also tabled in August with 418 signatures opposed to the sale.

The signators were listed as representors under section 178 of the Local Government Act that deals with the sale, exchange or disposal of public land and they were given the opportunity to appeal the council’s decision to sell the DEC.

No objections were lodged to the Resource Management and Planning Tribunal about the proposed sale.

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Original URL: https://www.themercury.com.au/business/glenorchy-city-council-to-consider-formal-offer-from-southern-huskies-consortium-for-dec/news-story/bf2c9db5af7dfd845fe7ba17da8d875b