Decision details

It is resolved that:

(A)        Council approve a $3,000,000 (excluding GST) cash grant to Wesley Community Services Limited to support the redevelopment of the RJ Williams building located at 274-276 Glebe Point Road, Glebe for the purposes of affordable housing as outlined in Attachment A to the subject report 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 subsidised accommodation and supporting facilities consistent with the development outlined in Attachment A to the subject report; or

(b)        if Wesley Community Services Limited are 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 2021; and

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

(c)         when Wesley Community Services Limited have demonstrated that funding is available to the agreed value of the project, either in the form of other grants or partnerships, or through Wesley Mission Services Limited cash reserves; and

(d)        when the applicant has provided a suitable Plan of Management for the purposes of providing best practice affordable rental housing for the types of tenants proposed in the application as well as engaging local Aboriginal and Torres Strait Islander communities to ensure equitable access to the affordable housing to be provided;

(iii)        the City reserves the right to require the $3,000,000 grant to be repaid in full indexed annually by CPI if:

(a)        Wesley Community Services Limited does not complete the development by 31 December 2025; or

(b)        the project changes from the current proposal for subsidised accommodation and supporting facilities as outlined in Attachment A to the subject report;

(iv)       the property supported though this grant will remain as subsidised accommodation and supporting facilities as outlined in Attachment A to the subject report in perpetuity 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 Wesley Community Services Limited relating to the project described and on the terms described in clause (A).

Carried unanimously.

S117676