The legal battle looming over $89m North Sydney pool facelift

After mediation talks collapsed, North Sydney Council is threatening to take architects to court over the controversial $89 million-plus redevelopment of its Olympic pool.

Councillors will consider taking legal action against Brewster Hjorth Architects, the firm contracted in 2018 to provide design services for upgrades to the historic North Sydney Olympic Pool.

North Sydney pool is not expected to reopen until 2025.Credit: Dean Sewell

The dispute escalates tensions between the council and the architects, setting the stage for a potential courtroom showdown over the troubled project. The revamp has long been plagued by cost blowouts, delays, heritage concerns, and doubts over its scale and design.

Mayor Zoe Baker said a confidential report to councillors, which they will debate behind closed doors on Monday, detailed potential matters for a claim and recommended council instruct the chief executive to commence legal proceedings against the firm.

“I can’t anticipate what the vote will be,” Baker said, “but from my personal perspective, this is part of the council’s commitment to transparency about the project, and management of the project.

“I think the council has an obligation to explore and pursue any legal avenue to protect the ratepayers’ interests.”

Brewster Hjorth did not respond to a request for comment.

An executive summary of the confidential report, published in meeting papers, said the council had started a dispute resolution process with Brewster Hjorth, but the matter was not resolved.

“Council can now commence proceedings against [Brewster Hjorth Architects] if it wants to press its claims,” the report said.

In 2020, the council signed a contract with construction company Icon to build the Milsons Point complex designed by Brewster Hjorth Architects.

Heritage restoration works have been completed as construction forges ahead.Credit: Rhett Wyman

An independent report by consultants PwC previously criticised the council’s rush to sign the contract on New Year’s Eve, and the decision to have separate design and construction contracts.

“This expedited award created issues for the project as the design documentation was incomplete, and site investigations were ongoing, leading to early variations and delay,” the PwC report said.

The harbourside pool closed in early 2021 when the revamp was predicted to cost $58 million and be finished in late 2022. The pool is now due to reopen next year.

Last year, the council said the reopening had been delayed until 2025 after a steel roof frame for the 25-metre indoor pool had to be pulled down due to a “significant” design and construction problem.

A project update this month said construction was progressing, but replacing the roof was causing delays.

After the anticipated “practical completion” or handover early next year, the update noted, the council would need an additional two to three months to make the pool operational.

The report said the construction contract was $89.1 million, but “council continues to receive variations associated with latent conditions, along with design and construction-related issues”.

In February, councillors took out a $20 million loan to help fund the upgrades. Baker has previously said the loan would push the cost of the project to $105 million-$110 million.

The redevelopment of the complex, opened in 1936, includes upgrades to the indoor and outdoor pools, a new grandstand, a children’s water play area and an expanded gym.

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