2022-02-14 General Committee Meeting Agenda

GENERAL COMMITTEE MEETING AGENDA                                                 14 FEBRUARY 2022


Ground / lands lease
A ground/lands lease is essentially a long-term lease (say 40 years) of the land component only,
in this case, to a community housing provider. The community housing provider undertakes the
feasibility, design, construct, manage and maintains the asset/s at their cost. At the end of the
lease, the Council either:
•      renegotiates the lease; or
•      take ownership of the asset/s; or
•      the asset/s is demolished and the land handed back to Council in the original condition prior
       to the lease.
This ground/lands lease structure is not uncommon to Council and is a ‘hands off’ tenant/landlord
approach and resource efficient as Council does not manage or own the asset. For example,
ground/land leases are in place for Eco Cottages at Jarrah Street, Cooroy and the Flexible
Learning Centre at Girraween Court, Sunshine Beach.
If an agreement to lease Council owned land to a community housing provider is sought in the
future, the leasing of community land could also comply with the contracting provisions of Section
236 of the Local Government Regulation 2012 with the exceptions to standard tendering
requirements provided for in the Regulation as described in section 9 of this report. This essentially
allows Council to deal directly with a community organisation.
The ground/lands lease is likely to be what is recommended for Council owned land as it allows
Council to contribute to achieving social/affordable housing outcomes for little risk other than the
use of its land. This information is provided to Council for information only at this stage and is still
subject to further investigation and would be subject to a future report to Council.
Previous Council Consideration
Council on 16 December 2021 (item 8 of the General committee agenda on 13 December 2021)
resolved to investigate opportunities at 30 Toulambi Street for social housing and an undertaking
of $50,000 for budget review for this purpose. This report is the result of that undertaking.
Finance
Council on 16 December 2021 (item 8 of the General committee agenda on 13 December 2021)
made an undertaking for budget review of $50,000 for investigation of social housing on Council
owned land at 30 Toulambi Street.
Risks & Opportunities
This investigation for social housing at 30 Toulambi Street directly aligns with the following Council
Policies or strategies:
•    Council’s Housing Needs Assessment – progress unmet housing need;
•    Noosa Social Strategy –affordable community housing, crisis housing; and
•    Noosa Shire Local Economic Plan - provides social/affordable housing opportunities for
     works in the priority sectors.
There is currently no unconstrained land remaining in Council ownership in the Shire, any
consideration of land for social/affordable housing outcomes will present challenges and
considerations that will need to be weighed up in terms of managing the risks and constraints
against the opportunities for greater community outcomes.
The weighing up of the opportunity for social housing on this site which is considered to benefit the
wider community not just a few, against the risks of the negative impacts on liveability of the
proximity of flying fox roost has resulted in officers recommending that Council not proceed with
further investigations on this block for housing. However, that Council remain committed to
investigating further Council land and partner with Coast2Bay in exploring these and other
opportunities.




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