Geoff Helisma
Information regarding the sale of the former visitor information centre (VIC) at South Grafton was tabled as a $882,000 major budget variation at the August 23 Clarence Valley Council (CVC) meeting.
Cr Greg Clancy asked about the discrepancy between the sale price ($970,200) listed on the Valuer General’s (VG) website and the tabled price.
Acting general manager Laura Black said that GST had been subtracted from the sale price.
The amount listed on the VG’s website includes GST.
The explanatory note in the report to council states, “At its Ordinary Meeting held June 2019, Council resolved [in a confidential session] to … decline the offer for purchase from XXXXXXXX of … of $750,000 … [and] make a counteroffer to XXXXXXXX of $900,000 plus GST”. (Note: see correction elsewhere in today’s paper)
The offer was not accepted, however, CVC “set a reserve price for future offers at $900,000 plus GST” and “delegated authority to [the general manager to] negotiate, accept offers received up to 10 per cent below the reserve price … and execute the required documents relating to the sale”.
“In November 2021, [the] sale was negotiated by the former General Manager (sale price $970,200 incl GST) with contracts being signed in December 2021.
“The purchaser sought a contract variation in late January 2022 and contracts were exchanged in early February 2022.
“Settlement occurred on 19 July 2022.
“A recommendation for expenditure of funds was discussed at the recent Economic Development and Tourism Advisory Committee, the minutes of which will be reported to September for consideration.”
The planning proposal to rezone the Spring Street property advocated that proceeds of the sale are “to be used by CVC to improve services and facilities in the [CVC] Local Government Area”.
Correction:
In relation to Clarence Valley Council’s sale of the former visitor information centre at Spring Street, South Grafton, the Independent has on several occasions earlier this year stated that the “last known public” sale price listing was $1.2million.
This was incorrect, it was revealed in July 2020 that the “building, previously listed at $1.2million (plus GST), [was] on the market for $900,000 (plus GST)”.