Today’s Leader carried two huge advertisements calling for submissions under Section 223 of the Local Government Act for the leasing of two facilities at GESAC – one for a cafe, and one for consulting rooms. There are a couple of interesting features in these ads. For example the rental that is listed for each lease DOES NOT indicate whether the amount is PER ANNUM or whether the stated amount is for the full 5 year lease period. We strongly suspect that this is again nothing more than spin and placing an amount of $66,000 for one lease (as the total sum) certainly sounds a lot better than publicising the fact that this space has been leased for a paltry $12 or $13,000 per annum!
There are also several other questions we would like answered. For example:
- Are tenants paying for all utilities such as water, electricity,etc. or will ratepayers bear this burden?
- Are these final rentals in line with original prognostications or are they well below what the planners of GESAC promised?
- Does any councillor even know the answers to the above questions? If so, please let the community know too!
August 2, 2011 at 9:57 PM
A few weeks back there was another report on this blog about council entering into a hire purchase agreement. We’ve never been told why or had it explained why anyone would want to pay higher interest through this kind of arrangement. From memory the question posed was whether council had run out of money and this was their only option. I’d like this answered by councillors.
August 2, 2011 at 10:21 PM
Not only that anon, but there were also gym equipment and cafe outfitting done by Council – I am still wondering where Council got the required expertise to undertake such expenditures and why Council is going against accepted business practice in doing so (supplying equipment and outfitting is normally the responsibility of the leasee)
As for the sums – $66K for a year is at the low end of business premises rental (and is definitely low for a permises that is so poised for success as the Lip would like us to believe). If this is actually the total for a 5 year period – I think I’ll take up the lease and reside there, it’s cheaper than a 1 bedroom apartment.
August 2, 2011 at 10:49 PM
Lies, lies and more damned lies. Hard to believe anything that is printed or said by this council. Latest Glen Eira News is trying to sell the line about GESAC being on time and on budget. No reference to the extra half a million for the car park which wasn’t budgeted for and the countless other incidentals which will start coming in now no doubt.
August 3, 2011 at 12:27 AM
The supply of all this portable equippment by council is staggering. It will be handy if the leasee finds he is wasting his time down in that isolated pocket of the municipality, finds it is costing him money to sit there doing push-ups by himself and decides to set up a business near transport in some other place else or the same with the coffee shop proprietor. Hotel owners I know only lease out the building (just and empty shell) but oh it is much better for the leaseee the Glen Eira way and of course becaquse it is obtained through hire purchase the insurance will be enormous!!! AND WE PAY AND CANNOT AFFORD TO GO THERE
August 3, 2011 at 12:14 PM
Lets face it .Even if GESAC is an enormous success, the highest rated suburbs in our City, due to distance will not use this asset and will most likely lose the much loved Rec Centre.This Council is a digrace when it comes to equal distribution of Ratepayer funds.Frank is concerned on stupid matters instead of looking after the ratepayers who voted him in.
August 14, 2011 at 9:23 AM
Does anyone ever come on here and applaud Council for their efforts in spite of what appears to be intense scrutiny by the likes of Anon and Gimmeabreak….I wonder if any of them have ever stood for election as a Councillor .?