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Ian Cassels: failure to build Shelly Bay development could cost more for ratepayers

News from The Wellington Company
A failure of the proposed Shelly Bay development to go ahead could result in millions of dollars worth of ongoing costs to ratepayers. Speaking at the Wellington City Council’s City Strategy Committee meeting this morning, Ian Cassels made it clear he had no objection to councillors undertaking a review, but outlined the ways in which Wellingtonians could end up forking out of city coffers if the deal as it stands was to fall over.

Currently, the completed development is expected to be paying $3m a year in rates to the city – a cost which will have to be borne by ratepayers otherwise, in order to keep up with the full costs of requisite upgrades, including heritage sites and seawall and roading upgrades, Cassels said.

The site, currently containing a number of business operations, is being charged rates as if ‘nothing was wrong,’ Cassels told the Committee, but the reality is that the entire site is in severe need of infrastructure upgrades to be able to operate.

The project as a whole comprises parcels of land currently under the owership of The Wellington Company, Port Nicholson Block Settlement Trust and the Wellington City Council. In 2017, the Council voted to sell and lease the publicly owned parcels of land (currently largely inaccessible to the public) to be developed as part of the whole project.

If the proposed $500 million development was to go ahead, the development would be paying rates rather than local ratepayers.

Introducing Cassels to the meeting, official representatives of mana whenua reiterated the strength of the partnership relationship between PNBST and TWC.

To date, the joint relationship has resulted in five housing projects, with 822 units and more expected in the pipeline.

These are:

– 350 units at Shelly Bay
– 221 units at Wainui (Crown also a partner)
– 93 units at Monark (Crown also a partner)
– 56 units at Paetutu
– 102 units at Victoria Quarter (Crown also a partner)

Content Sourced from scoop.co.nz
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5 comments:

  1. Andy Foster, 22. August 2019, 22:01

    Hi Ian – today you told councillors two things –
    First, you said that we had been through a long due process on Shelly Bay. I know you want your development to happen, but surely you must realise how wrong the HASHA legislation was to just cut the wider community out of any chance of having a say?
    Second, you said your Shelly Bay proposed development would save the community $100 million. It would be really good if you detailed how you came up with that number. It sounds from the way you put it as if you are just adding up many many years of rates bills. That completely ignores that the Council has to provide a lot of services to these new residents, which would swallow up all or most of any financial benefit to the Council. I’ll email this to you too – and look forward to some answers.
    Kind regards, Andy

     
  2. Metedith, 22. August 2019, 22:03

    Has this guy really got Wellington at heart? This seems like smoke and mirrors…you “give” me valuable land and I will ( actually not me – the people who buy my houses) will give you lots (some) of money back in rates! He could give all the profit that he will make or even the majority of it back to the city…then he would become more plausible methinks.
    Meantime while Peter Jackson sorts out Shelley Bay, it seems from the information he provided that the taxpayer is funding this guy nicely,

     
  3. Madeleine Simpson, 23. August 2019, 5:37

    That’s not true as $3 million is additional rates, not lost rates. As we all see, the Council have wastefully hemorrhaged away money it borrows in our names. The $30 million to close the undamaged library is far more concerning than this developer’s self serving spin. How much more than that has the Council wasted on legal costs when they fight the communities that oppose them? Democracy is at the bottom of the cliff (still awaiting the ambulance).

     
  4. Marion Leader, 23. August 2019, 13:19

    Ian, how much will it cost to upgrade the road? How much of this are you paying?

     
  5. Marion Leader, 26. August 2019, 7:05

    Can Mr Cassels reply to Cr Foster and to me please?

     

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