Meeting papers

SERVICES & ORGANISATION COMMITTEE MEETING                                                 8 JULY 2025


7.1         NEW TENANCY APPROVAL FOR OFFICE AT THE PEREGIAN DIGITAL
            HUB


Author             Director Digital Hub and Innovation, Chris Boden
                   Peregian Digital Hub | Strategy and Environment
Index              46.01 - Leases | 102.01 - Digital Hub
Attachments        1.    ATTACHMENT 1 - Leasing Overview and
                        Recommendation
                   2.    ATTACHMENT 2 - Lease Proposal (Lease Area C)


EXECUTIVE SUMMARY
Council has secured a prospective tenant for the Lease Area C office space at the Peregian Digital
Hub. The tenancy became available in May, when the previous tenant opted not to exercise a lease
extension. Re-letting this tenancy bolsters and stabilises the Hub’s revenues. The proposed tenant,
Cova AI Pty Ltd (Cova), is a new, local technology startup, initially employing 3 staff and planning to
build and sell their AI software platform to a wide variety of business clients in the insurance sector.
Council’s Property Management Service provider, Colliers International (Sunshine Coast) Pty Ltd
(Colliers), has run a market process (tender) and evaluated Cova as a strong fit with the Hub’s
industry development objectives and culture. Cova have offered terms of a one-year lease. This
report recommends accepting the terms.

RECOMMENDATION
That Council note the report by the Director Digital Hub and Innovation and

A. Award the commercial lease of the Lease Area C premises at the Peregian Digital Hub of 75m2
to Cova AI Pty Ltd. for a one (1) year term, as outlined in the Lease Proposal at Confidential
Attachment 2;

B. Authorise the CEO or delegate to execute a subsequent two (2) year lease extension, subject to
the lessee complying with the terms of the lease.


REPORT
The purpose of this report is to seek Council approval to enter into a new lease for commercial office
space at the Peregian Digital Hub.

Sourcing and evaluation of prospective tenants for Lease Area C has been undertaken by Colliers,
Council’s contracted provider of Property Management Services to manage a tender process on
behalf of Council, in accordance with the Local Government Regulation 2012 and guided by the
Sound Contracting Principles set out in the Local Government Act 2009. The leasing opportunity
was advertised via Colliers, and Council’s Current Tender public webpage.

Colliers has worked collaboratively with the Digital Hub Director to ensure that Council’s strategic
objective of bringing together the optimal mix of technology company tenants in the Hub is achieved.

Colliers received multiple tenancy applications for Lease Area C but only one applicant meets the
tenancy mix criteria for Peregian Digital Hub. Colliers has recommended that applicant, Cova AI Pty
Ltd as the prospective tenant for Lease Area C at the Digital Hub, guided by criteria that evaluate
both their ability to meet the commercial obligations of the tenancy and their fit with the objectives



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