Community facility fees in Yanchep and Two Rocks blocks could increase


The extra $1.13 million cost for the $7.96 million Yanchep Surf Life Saving Club could lead to high rates per lot. Picture: Martin Kennealey d477267
The extra $1.13 million cost for the $7.96 million Yanchep Surf Life Saving Club could lead to high rates per lot. Picture: Martin Kennealey d477267

FEES to fund community facilities placed on blocks sold in Yanchep and Two Rocks could increase by between $700 and almost $3000 per lot.

While considering the annual review of the Yanchep Two Rocks Developer Contribution Plan this month, the Wanneroo council agreed to increase the listed cost of facilities and to a proposed increase of rates per lot.

Reasons given in the May 1 report to the council include the higher cost of completing the Yanchep Surf Life Saving Club and lower estimates of the number of lots to be developed within the timeframe of the 10-year plan.

It said lawyers representing the landowners developing estates in both suburbs had argued that they should not bear the extra $1.13 million cost for the $7.96 million surf club when the City retendered the project after the original builder became insolvent.

“It is administration’s view that due diligence and proper process was followed through the original tender process,” the report said.

“The additional costs are reasonable project costs that should therefore be apportioned between the City and the DCP.”

The report said the projected number of lots created had decreased significantly in both actual numbers and landowner estimates.

For example, during the 2016 review, the projection was that 510 lots would be created in 2017-18 but the landowners’ 2018 estimate was 138 lots and the actual number created so far this financial year was 130.

The report said given the trend, the total of 9225 lots was unlikely to be realised within the next seven years.

“The cost of the facilities would need to be shared over a number of lots and the DCP contribution rate would need to significantly increase,” it said.

It estimated the fee could more than double from $2780 to $5764 per lot, and recommended extending the operating period of the plan instead to end in 2030 rather than 2024.

The report said that would avoid an immediate and significant increase in the contribution rate.

“Landowners have been strongly opposed to significant cost increases in the past due to the potential impact on housing affordability,” it said.

Extending the plan to 2030 would still result in a contribution rate increase and changing the district planning scheme, which could take 18 months, according to the report.

In the interim, it recommended increasing the rate to $3485 per lot.

The plan helped fund development of the surf club and Yanchep playing fields, including acquisition of the latter’s $6.4 million, 12.8ha site from developer Yanchep Beach Joint Venture in 2019-20.

It will also contribute to development of the Capricorn coastal node facilities, and the total cost of the three projects is expected to be about $27.87 million.

The council noted the review and agreed to advise the WA Planning Commission of the changes to the scheme.

It also agreed to notify landowners and invite their submissions within 28 days.

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