Geraldton Olive Street housing project moves to next stage as community raises questions with ‘mini mansions’

Former mayor Shane Van Styn returned to council chambers on Tuesday night to question councillors on whether building a cluster of “mini-mansions” on the beach was an appropriate use of ratepayers money. Mr Van Styn’s questions were some of the public grilling thrown at councillors, with questions going unanswered at the meeting and taken on notice instead. The questioning failed to sway council, as they voted nine votes to one to advance the $6 million Olive Street housing project to the next stage of calling for tenders. The ex-mayor, former councillor Michael Reymond, and resident Ruth Highman all spoke during public question time to discuss the precinct and concerns held within the community. The proposal would see the city construct seven four-bedroom houses in Mahomets Flats, each costing about $770,000, with the intention to rent them out before selling them after a 13-year-period. The homes would be used to lure and retain key workers, like doctors, nurses, teachers and police officers. The State Government recently invested $1.6m into the project, which has an estimated total price tag of $5.99m. Mr Van Styn asked council for more clarity on the proposal with concrete figures, describing the housing project as “mini-mansions”. He also wanted to know what key projects would be shelved should the city take on the Olive Street proposal. Mr Reymond asked whether the State Government injection would need to be returned if the properties were sold and why the government did not buy the land from the city instead. He too queried which projects would be put on hold, and called for the business case for the project to be made public. Ms Highman also questioned why the council was taking the responsibility of providing housing, and why they did not push for the State Government to purchase the land and handle the project themselves. None of the questions were addressed directly at the meeting, but were taken on notice for the next meeting. Mayor Jerry Clune moved the motion, reaffirming his stance the investment from the city would pay off. “If we were investing money in a bank in Sydney, there would be no boohoo,” he said. “We’re investing in our place and putting skin in the game, and we’re doing it because it will give us a good return.” Mr Clune said the project would provide a revenue stream outside of rates — something the community had been calling for. City development services director Ryan Hall said part B of the motion, which was to authorise tenders to be called, would help determine the annual rate of return. Estimates told to The Geraldton Guardian earlier this year indicated the project would see a 3.5 per cent return on investment per year, but the council agenda indicated an annual return of five to eight per cent. Mr Hall confirmed there was no requirement to repay the State Government for the investment. It was also heard the results of the tender would come back to council, for it to be voted on before any construction takes place. Cr Victor Tanti supported the motion to endorse the rent-then-sell model, saying it had short and long-term benefits, and deserved to be supported. Cr Steve Cooper said he understood the position of the public and their concerns, but the city was in a unique position to assist with housing. Cr Simon Keemink said he had originally approved of the idea, but having heard from the public at the meeting wanted to hold off from moving forward to have the questions answered. Cr Michael Librizzi, who backed the motion, said figures would be worked out going forward, with no commitment to a funding amount at this stage.