The City of Casey has signed a 12-month exclusivity period agreement with developer Consolidated Properties Group in relation to the redevelopment of project, Casey Main Street.CASEY has taken the first step in the redevelopment of Narre Warren’s civic precinct by signing an agreement with developer Consolidated Properties Group P/L (CPG).
City of Casey Chief Executive Officer Mike Tyler said the major redevelopment project, known as the Casey Main Street project, comprised more than 25,000 square metres of retail floor space, a multi-purpose community arts complex with seating for 1000 people, a new library and new administrative and governance facilities to cater for council staff.
Mr Tyler said the agreement was for a 12-month exclusivity period, enabling CPG to negotiate with prospective tenants and to further develop concept designs for the project.
“If it proceeds, the development will take the city’s civic and community heart to a new level,” he said.
Mr Tyler said that under the agreement, council would lease part of the precinct site to CPG for 50 years, and the monetary benefit of the long-term lease value would be put towards the cost of the new civic facilities.
“Council’s contribution is limited to $52 million, which financial analysis shows can be accommodated in council’s future budgets,” he said.
Mr Tyler said there were a number of conditions in the agreement that allowed either party to terminate it.
“The developer can terminate the agreement if the necessary planning approvals are not forthcoming or if key tenants cannot be signed up by CPG. Council can terminate the agreement if the costs associated with the Stevensons Road closed landfill impact so significantly that council is simply not able to afford its contribution to the project,” he said.
“While the redevelopment of the civic precinct is another exciting major project for the city, there is still much work to be undertaken by council and CPG over the next 12 months before there can be any certainty that the project will proceed.”
