A BUTLER resident has received approval to start a pedal boat hire business on a local lake.
Earlier this year Robert Pitchford submitted the only expression of interest to the City of Wanneroo for a recreational boating activities on the Kingsbridge Boulevard lakes.
During a deputation before the April 5 council meeting, Mr Pitchford said the recommended $15,000 bond would affect the success of the business.
He said he thought the City would be looking for a bond amounting to three months’ rent, which had not been confirmed but was anticipated to be about $750 a month.
Despite having a $20 million public liability policy, he said the higher bond was linked to the replacement cost of aerators in the lake if damaged.
“The estimated cost of these aerators seems to be excessive,” he said.
Mr Pitchford asked for a rent-free period to establish the business.
“We will be bringing new interest in the community,” he said.
“This proposal is somewhat unique as there are no known similar businesses – demand for such businesses is unquantified.
“Some of the costs will put a great strain on our fledgling business.”
When the council considered the recommendation to approve in principle the commercial lease, councillor Glynis Parker moved an amendment to reduce the bond and provide a three-month rent-free period.
The changes were carried unanimously, as was the overall motion agreeing to lease Mr Pitchford 8200sq m on the lake and 35sq m on the limestone terrace.
The City will make a formal request to the Department of Lands to amend the management order to permit leasing and licensing operations, and publish a local public notice of the intention to enter the lease.
If any submissions are made, staff will prepare a further report for the council, and if none are received, the chief executive can approve the lease under delegated authority.
Mr Pitchford first approached the City with the idea to have 10 pedalos on the artificial lake in May 2015.