Decision details

It is resolved that:

(A)      Council approve a $3,000,000 (excluding GST) cash grant to The Trustee for the Salvation Army (NSW) Social Work to support the redevelopment of William Booth House located at 56-58 Albion Street, Surry Hills for the purposes of residential rehabilitation services as outlined in Attachment A to the subject report, and subject to the following conditions:

(i)         Council reserves the right to withdraw the grant offer:

(a)       if the project changes from the current proposal for residential rehabilitation services so that, in the City's view, it is no longer consistent with the project outlined in Attachment A or otherwise no longer complies with the City's Grants and Sponsorship Guidelines; or

(b)       if The Trustee for the Salvation Army (NSW) Social Work is not able to demonstrate that funding is available to the agreed value of the project within 18 months of Council approval of this grant;

(ii)        the grant funds are only to be paid when all of the following are satisfied:

(a)       no sooner than 1 July 2024;

(b)       when a Construction Certificate for the project has been issued; and

(c)       when the covenant referred to in (A)(v) below has been registered on title of the land;

(iii)      the City reserves the right to require the grant to be repaid in full indexed annually by CPI if:

(a)       The Trustee for the Salvation Army (NSW) Social Work does not achieve practical completion of the development by 27 June 2028; or

(b)       the project changes from the current proposal for residential rehabilitation services so that, in the City's view, it is no longer consistent with the project as outlined in Attachment A or otherwise no longer complies with the City's Grants and Sponsorship Guidelines;

(iv)      the property supported though this grant will remain as crisis accommodation or hostel use (as defined in the Sydney LEP 2012) into the future to fulfil the aims of the Affordable and Diverse Housing Fund, unless Council exercises a right under paragraph (i) or (iii) above; and

(v)       the City will require a covenant to be registered on the land title to protect the land use referred to in paragraph (iv) unless the grant funds are repaid in accordance with paragraph (iii); and

(B)      authority be delegated to the Chief Executive Officer to finalise negotiations, execute and administer a grant agreement with The Trustee for the Salvation Army (NSW) Social Work relating to the project described and on the terms described in (A).

Carried unanimously.

S117676