The Proposal
Purdon Planning with The Salvation Army, lessee of Block 21 Section 6 Barton (2 Brisbane Avenue) recently undertook community consultation in relation to a proposal to remove the concessional status of the Crown Lease as well as remove the ‘associations to occupy’ clause at 2 Brisbane Avenue, Barton. The project is close to lodgement and as part of the pre-DA process we are providing a further opportunity for input from the community.
The Salvation Army is an international charitable organisation that provides critical outreach and support where it is needed most to improve physical, emotional and spiritual health in the community. The Salvation Army have a long and proud history of providing assistance to those experiencing “hardship and injustice”, including providing a broad range of services such as chaplaincy, homelessness services, alcohol and other drug recovery services, family and domestic violence support, social housing, aged care and other social programs.
A concessional lease is a lease where rather than paying the lease premium upfront, the Lessee pays an annual rent. At 2 Brisbane Ave, The Salvation Army pays an annual rent of over $100,000 and has paid the ACT Government in excess of $1m over the past ten years. Given the ACT Government issues concessional leases at a rate below market value, the Government restricts use of the site through clauses within the Crown Lease. For this site, The Salvation Army is required to occupy a proportion of the site and is therefore unable to fully sublet the building.
The concessional lease for the subject site was issued in 1986 for the purpose of ‘The Association, offices and residential accommodation for the Association’ with the associated restrictions requiring The Salvation Army to occupy a minimum portion of the building. To maintain a viable use of the property and to sustainably provide critical outreach and support to the community, The Salvation Army is now seeking to remove the restrictions in the lease to enable flexibility in the future.
The Salvation Army is proposing to remove the concessional status of the Crown Lease, undertake a lease variation to remove the restriction for The Salvation Army or association to occupy the building and make the required payment for the site, at current market value. No change of land use or redevelopments are proposed as part of the application.
The Process
To remove the concessional status of the Crown Lease, a Development Application (DA) is required.
The following documents will be submitted as part of the DA:
- Social Impact Assessment which considers any impacts on the community as a result of removing the concessional status;
- Statement Against Criteria which assesses the proposal against all relevant statutory controls;
- Valuation report which determines the market value of the land and improved site value as a result of amendments to the lease; and
- Consultation report which reflects all comments recorded during the consultation period
Purdon Planning will be responsible for preparation of the Social Impact Assessment, Statement Against Criteria and Consultation Report. The Valuation Report will be provided by a qualified valuer.
Once the DA is submitted, the ACT Planning & Land Authority (ACTPLA) will list the proposal on the ACTPLA website and members of the community will be given further opportunity to submit comments on the proposal.
The application will then be assessed by ACTPLA. In most instances, ACTPLA will make a decision on a DA based on their assessment. However, for removal of a concessional status, Ministerial approval is required.
Because the Minister must make a decision on this application, there is no statutory timeframe for approval.
Stakeholder Engagement and Feedback
Should you be interested in attending an information session about this Proposal, please register your interest via email to purdons@purdon.com.au before 12th February to arrange a suitable time.
Purdon Planning will also be in contact with the Kingston & Barton Residents Group.
This website will also be updated with new information and dates, as they arise.
If you have any comments, questions or feedback, please send an email to purdons@purdon.com.au or call 02 6527 1511.