By Cara Waters
Lord Mayor Nick Reece accepted a donation from Audi Centre Melbourne two days after voting to discontinue part of Roden Street in West Melbourne, which adjoins the business.
Audi Centre Melbourne is owned by Bobby Zagame, who had an application for a development on the site approved by the City of Melbourne in 2023 and made a $20,000 donation on September 5 to Reece’s campaign to be elected lord mayor.
Lord Mayor Nick Reece said he would not take donations from developers in the City of Melbourne in the election campaign. Credit: Simon Schluter
Two days earlier, on September 3, Reece seconded a motion to discontinue part of Roden Street between King and Spencer streets in West Melbourne to facilitate a $2.75 million Greening Roden Street plan.
Reece described the proposal in an interview with North West City News as creating a “green oasis”, with plans to add 1000 square metres of trees and grass to the designated area, plus new kerbs and channels, seasonal garden beds and paths, and a reconfiguration of parking spaces so there would be no loss of parking.
Zagame is a luxury car retailer and applied to the council in October 2023 to develop the land at 559 to 577 King Street in West Melbourne – the location of Audi Centre Melbourne – into three buildings ranging in height from six to 10 storeys.
One of the issues in the application was road access and the location of crossovers, including on Roden Street. Reece voted to approve the development.
The planning minister approved the proposed development in January 2024.
Zagame said he was not aware of the motion to discontinue part of Roden Street and did not make a submission supporting or objecting to it.
“A number of Nick Reece policies aligned with our values,” he said when asked why he donated to Reece’s campaign. “I am both a resident and business owner in Melbourne.”
Reece has come under scrutiny after accepting tens of thousands of dollars from donors with property interests in the City of Melbourne, including some with pending developments.
Audi Centre Melbourne, which is owned by Bobby Zagame, made a $20,000 donation to lord mayor Nick Reece’s campaign. Credit: Paul Rovere
He promised he would not allow property developers within the City of Melbourne to bankroll his mayoral campaign. He argued that he had honoured that pledge by asking donors to sign a declaration stating they weren’t developers.
The declaration said: “I would like my donation to benefit Nicholas Reece’s 2024 Lord Mayoral campaign, and I understand that if the donation is $500 or higher, it will be disclosed in the return, which will be lodged with the CEO of the City of Melbourne after the election is held. I confirm that I am not a director or officer of a corporation engaged in a business that directly profits from the development of land or property in the City of Melbourne, tobacco industry business entity or gambling industry business entity.”
Neither Zagame nor Reece provided a copy of a declaration signed by Zagame or anyone at Audi Centre Melbourne.
“I don’t believe any form was signed as we are property owners and not developers within the municipality of Melbourne,” Zagame said.
Reece declined to comment on whether he considered Zagame to be a developer in the City of Melbourne. The Age is not suggesting any impropriety in relation to the donation or that it influenced Reece’s decisions, only that it raises questions about his campaign pledge concerning donations from developers.
“We asked people to support our campaign because we offered good leadership for Melbourne, there is no connection between any donation and any motion or decision of council,” Reece said.
An artist’s render of the City of Melbourne’s plan for Roden Street.
Reece said he had gone beyond the required donation laws to ensure the “utmost integrity” of his campaign.
“I’ll declare any conflicts of interest if they arise, but I won’t be commenting further on individual donors out of respect for them – my focus is on delivering results for Melbourne,” he said.