Decision on Shelly Bay and next steps
On 11 November 2020 the Council voted to adopt the key commercial terms (KCTs) for the proposed sale and lease of Council-owned land at Shelly Bay, and the stakeholder engagement approach to develop options for Shelly Bay Road. You can read the Council paper and minutes from the meeting on the Council website.
Prior to the Council meeting we held a Question and Answer Drop-In Session for Councillors on Monday 9 November. This was open to the public to observe and key stakeholders were invited. On 10 November officers provided Councillors with answers to the common questions that arose, which you can read below.
Shelly Bay Councillor Question and Answers (314KB PDF)
Council officers are now in the process of:
- drafting a development agreement which will be finalised over the next three-six months.
- developing an engagement approach with key stakeholders on the the roading options for Shelly Bay Road. We envisage the results will be presented to the Council in 2022, after we complete engagement with stakeholders and the community on the options available.
Update – 5 November 2020
The Council report outlining the key commercial terms (KCTs) for the proposed sale and lease of Council-owned land at Shelly Bay, along with the stakeholder engagement approaches for possible upgrades to Shelly Bay Road, has been published on the Council website. The report will be debated by the Council on Wednesday 11 November.
On 27 September 2017, the Council agreed to enter into an agreement to sell and lease land with Shelly Bay Limited as part of a planned development by The Wellington Company in partnership with Port Nicholson Block Settlement Trust (PNBST). The Council agreed (in principle) to sell (0.3h) and lease (0.6h), a total of 0.9 hectares of land.
The paper published today (5 November 2020) outlines the KCTs which officers have negotiated with the developer.
Update – 20 October 2020
The Council meeting to consider and vote on the key commercial terms for the proposed development of Shelly Bay, and a public engagement approach for possible upgrades to Shelly Bay Road has been confirmed for Wednesday 11 November 2020.
The Council papers will be available on this website from Friday 6 November 2020.
Council officers also sought independent legal advice on whether there may be any risk of a real or perceived conflict of interest which may disqualify Councillors from voting on the issues above. This was to provide assurance to the public and ensure the process is transparent and robust.
The legal advice - which has been provided to Councillors - shows there are no real or perceived issues which would affect their ability to vote at the meeting.
You can read the legal advice provided to the Elected Members below.
Update - 21 September 2020
Below we have published the monitoring report on the status of the Shed 8 building and foundations in Shelly Bay. This report has also been provided to a member of the public who requested them under the Local Government Official Information and Meetings Act (LGOIMA).
In 2014, the Council engaged the environmental and engineering consultants, Tonkin and Taylor to assess the building and seawall annually as part of ongoing asset maintenance.
In early 2015, the Council carried out remedial work on the foundations and piles supporting the building, based on the engineering assessments. This included installing temporary steel props to support the building’s piles and replacing timber rails with plywood boards to protect the foundations from erosion due to the waves.
In the most recent memo dated 27 July 2020 (based on an inspection on 22 June 2020), Tonkin and Taylor advised the Council that their staff were not prepared to continue doing regular engineering assessments until further remedial work is completed.
Given that Council could no longer monitor the building’s safety, we contacted the three tenants in Shed 8 to explain why we needed to close the building. We have been working with the tenants on timeframes to move and help them identify possible alternative locations.
Update – 7 August 2020
On Wednesday 4 August Council officers provided the Mayor and Councillors with a progress update on the proposed Shelly Bay development at a workshop. This involved:
- a recap of the Council’s approach since September 2017
- confirming the areas of the key commercial terms that will form the basis of any commercial agreement for the sale and lease of Council land
- the shared responsibilities including costs, for the Council based on whether or not the development proceeds. Note: these costs are outlined in the committee paper considered by Council in September 2017
- discussion on approaches to engagement with stakeholders and the public on Shelly Bay Road between Shelly Bay and Miramar Ave.
In line with the undertaking made by the previous Chief Executive, recommendations will be brought for consideration to Councillors in October 2020 that will include the key commercial terms and approaches to engagement on the road.
Below is a copy of the presentation and updated list of Frequently Asked Questions
Update – 28 February 2020
In 2017 the Council agreed, in principle, to sell and lease portions of Council land at Shelly Bay, following preparation of a commercial agreement.
In line with the Council’s resolution of September 2017 and Chief Executive Kevin Lavery’s statement of 11 July 2019, Council officers are now undertaking the work necessary to be able to report back to the Council for consideration and decision. This will include the proposed key commercial terms.
We recently received a letter from Craig Stevens Barrister (acting on behalf of Peter Jackson) a copy of which you can find below.
Our lawyer has responded to this letter today, a copy of which you can find here.
For completeness we have also updated the frequently asked questions document which you can access below.
Previous Chief Executive updates