Thursday 19 March 2020
20 CHIEF EXECUTIVE OFFICER NETWORK ITEMS
20.1 Lease Surrender - Royal National Agricultural and Pastoral Society of Tasmania Limited
FILE NO: SF3249
CHIEF EXECUTIVE OFFICER: Michael Stretton
DECISION STATEMENT:
To consider the leasing or licencing of land at Inveresk currently occupied by the Royal National Agricultural and Pastoral Society of Tasmania Limited.
RECOMMENDATION:
That Council:
1. notes the parking arrangements proposed by the University of Tasmania to accommodate the parking demand that will be created by the increase in students as a result of the University relocation to the Inveresk and Willis Street Precinct, together with the public demand which will remain within the precinct;
2. accepts the surrender of the lease currently existing between the Council and the Royal National Agricultural and Pastoral Society of Tasmania Limited over land at Inveresk with the final terms of the surrender to be agreed by the Chief Executive Officer;
3. pursuant to section 178 of the Local Government Act 1993 (Tas), and subject to a Planning Permit being issued for the construction of a car park on the land, resolves by absolute majority to dispose of the public land identified at Recommendation 6 by lease, or otherwise by licence, for a period of 20 years (with an option for a further 20 years) to the University of Tasmania on the following terms:
a. the University of Tasmania will be responsible for funding and constructing the private and public car parks on the land.
b. the Council will be responsible for the reasonable maintenance of the car parks throughout the relevant period.
c. the University of Tasmania will provide the Council with use of the private car park during events outside of the University of Tasmania's ordinary hours of operation.
d. the Council will receive all revenue from the public car park at all times and from the private car park during events, with the exception of UTAS staff/students that have a valid parking permit.
e. any right, option or discretion available to Council under the lease, licence and or other commercial arrangement may be exercised by the Chief Executive Officer.
f. the remaining terms of any lease, licence and or commercial arrangement to be agreed by the Chief Executive Officer.
4. requests the Chief Executive Officer to do anything necessary or convenient to implement the decision to dispose of or deal with the land, noting that a decision to dispose or otherwise deal with the land is subject to a planning permit being issued for the construction of a car park on the land;
5. notes, for the avoidance of doubt, Chief Executive Officer is a term of reference for the General Manager as appointed by Council under section 61 of the Local Government Act 1993 (Tas); and
6. notes that the land mentioned at Recommendation 3. is the land appearing in the following plan:
REPORT:
Since the development of its Precinct Plan (pictured below) for the re-location of the University of Tasmania (UTAS) to the Inveresk Precinct last year, UTAS has been working on finalising parking arrangements to cater for the parking demand which will be created by the increase in University students, together with the public demand which will remain within the precinct. The public demand includes attendees and visitors to the Queen Victoria Museum and Art Gallery and other businesses within the precinct such as the Tramsheds Meeting and Convention Centre, Blue Café, Launceston Tramway Museum, visitors to the University itself, Tiger Bus users, recreational visitors such as parkrun participants, together with parking when events are held at UTAS Stadium (etc).
In developing its parking arrangements, UTAS has considered a number of sites including the Inveresk and Willis Street sites together with the Glebe Farm site. The Glebe Farm site was ruled out last year for a variety of reasons and does not form part of the proposed parking arrangements.
UTAS expects that by 2032, 10,000 students (or 5,400 full-time equivalent students) will be engaged in education within the precinct. A range of short courses, pathway courses and full degree courses will be offered which will increase staffing levels to 490 (FTEs).
As a result, the parking demand within the precinct will increase from the current level of 527 car parking spaces, to a maximum of 1,373 spaces by 2032.
The following table provides an overview of the current occupancy rates for the car parks within the precinct (including Willis Street), which is based on previous parking surveys and the Council's car park utilisation data. The data indicates that the public parking demand is generally 60% of the available parking on Inveresk and over 90% at Willis Street. The exception to these rates is when AFL/Big Bash cricket games are being held at UTAS Stadium.
Inveresk and Willis Street Car Parking Demand
A large percentage of UTAS and public parking demand on the Inveresk Precinct is proposed to be located on the site which is currently leased by Council to the Royal National Agricultural and Pastoral Society of Tasmania Limited (the Society). That lease covers land on the north-east corner of the precinct, broadly including the areas around the pavilions. This site has become available following an approach from the Society's Chief Executive Officer to UTAS in August 2019 requesting an opportunity to discuss the potential for a parking development to occur on the site. Subsequently, UTAS and the Society have entered into an Agreement which will surrender the Society's lease to the City of Launceston (CoL) and the Society has written to the Council requesting its consent for the surrender.
The Society is eager to finalise this arrangement and plan for their last show to occur on site in 2020, with the arrangements for future shows and the Esk Market to be announced by the Society in due course.
This agreement would enable the construction of a significant car park at the northern end of the precinct, with 852 spaces proposed. During normal operations (Monday - Friday) 484 of these car spaces are proposed to be reserved for UTAS staff and students with enough spaces available to preserve the current level of public parking in the Precinct (527). UTAS proposes to develop the car park at an anticipated cost of between $4m 4.5m and will request to enter into a long-term licence with the CoL to gain access to the car spaces it develops on the land. It is anticipated that boom gates will restrict entry to the reserved UTAS car park. The CoL will continue to receive the car parking revenue generated by the public area and from parking charges during sporting, entertainment and other events. A concept plan of the Northern Roundhouse Car Park is shown below.
Proposed Northern Roundhouse Inveresk Car Park
In return for UTAS funding the development of the car park, the CoL would be responsible for the maintenance costs of the car park throughout the licence period. If approved and constructed, the Council will continue to fund the Tiger Bus and the journey will originate from the Roundhouse Car Park, dropping passengers to the half circle and Willis Street before journeying into the City.
In addition to the Northern Roundhouse Car Park, UTAS has reached an agreement to utilise additional land adjacent to Willis Street on the Mitre 10 site, which along with the Willis Street site, will facilitate the provision of 90 car parking spaces to service this locality.
UTAS proposes to provide car parking spaces at a time-scale which is commensurate with the increasing demand within the precinct. Subject to attaining the necessary permits and approvals, UTAS has advised that it is their intention to construct the Northern Roundhouse Car Park from November 2020, following the final Show on the site in October. This car park will cater for the parking demand on the precinct until 2027, following which, further parking spaces will be constructed, provided there is a demonstrable demand for the additional car parking spaces.
It is proposed that additional parking of up to 272 spaces would be provided in 2027 and would include the construction of a second level over a portion of the Northern Roundhouse Car Park or alternatively, UTAS may elect to purchase an appropriately located adjoining site on which to provide the additional car parking spaces.
UTAS Proposed Car Parking Provision Schedule
The number and location of car parking spaces to be provided by UTAS under its parking plan are illustrated in the following table:
Car park
|
Number of Spaces
|
CURRENT CAPARKING PROVISION
| |
Roundhouse
|
192
|
Architecture School
|
102
|
Main Car Park
|
310
|
Willis Street
|
165
|
QVMAG
|
33
|
UTAS Car Park
|
51
|
Tramway Museum
|
12
|
TOTAL
|
865
|
Car park
|
Number of Spaces
|
PROPOSED CAR PARKING PROVISION TO 2027
| |
Roundhouse - Public Parking (New)
|
368
|
Roundhouse - UTAS Parking (New)
|
484
|
Willis Street and Mitre 10 - UTAS Parking (New)
|
90
|
Main Car Park - Public Parking (Existing)
|
159
|
UTAS AND PUBLIC SUB TOTAL
|
1,101
|
QVMAG (Existing non-public parking)
|
33
|
Tramway Museum (Existing non-public parking)
|
12
|
PRECINCT TOTAL
|
1,146
|
PROPOSED CAR PARKING PROVISION - POST 2027
| |
Roundhouse - UTAS Parking (New)
|
272*
|
Roundhouse - Public Parking (Existing)
|
368
|
Roundhouse - UTAS Parking (Existing)
|
484
|
Main Car Park - Public Parking (Existing)
|
159
|
Willis Street and Mitre 10 - UTAS Parking (Existing)
|
90
|
UTAS AND PUBLIC SUB TOTAL
|
1,373
|
QVMAG (Existing non-public parking)
|
33
|
Tramway Museum (Existing non-public parking)
|
12
|
PRECINCT TOTAL
|
1,418
|
As mentioned earlier in this report, Council currently has a lease with the Society over the land proposed to be utilised by UTAS for the construction of the Northern Roundhouse Car Park and Council Officers are in negotiations with UTAS regarding future use of the site.
The Council has received correspondence from the Society requesting that it consents to the proposed surrender of its lease of the land. Under the terms of the lease, the Society will need to re-pay an outstanding debt to the Council concerning the use of the site.
The land in question is public land within the meaning of section 177A of the Local Government Act 1993 (Tas) (the Act).
If the land is to be disposed of by lease, the requirements of section 178 of the Act must be met, which requires the Chief Executive Officer to publish the intention to dispose of the land twice in a newspaper, to display a copy of such notice on any boundary of the land abutting a highway and to notify the public that objections can be made to the disposal within 21 days of the first publication.
Once notification requirements are met, and if no objections to the leasing of the land are made to the Council, the Chief Executive Officer can enter into a lease for the land with UTAS in accordance with the Recommendations. If objections are received, the matter will return to Council for determination.
A planning permit is required for the leasing of land for a period exceeding ten years, and for the development of the car parks on the land. A decision to dispose of the land in no way fetters or binds Council's role as a planning authority.
ECONOMIC IMPACT: Not considered relevant to this report.
ENVIRONMENTAL IMPACT: Not considered relevant to this report.
SOCIAL IMPACT: Not considered relevant to this report.
STRATEGIC DOCUMENT REFERENCE:
City of Launceston Corporate Strategic Plan 2014-2024
Strategic Priority 3: We are a progressive leader that is accountable to our governance obligations and responsive to our community.
10-Year Goal: To ensure decisions are made in a transparent and accountable way, that effectively meet our statutory obligations, support quality services and underpin the longterm sustainability of our organisation.
Focus Areas:
2. To fairly and equitably discharge our statutory and governance obligations.
BUDGET & FINANCIAL ASPECTS:
The Royal National Agricultural and Pastoral Society of Tasmania Limited currently have a debt to the Council of $151,736.55 in respect to the subject land. This debt would need to be paid to the Council as part of the proposed surrender of the lease.
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