On the second anniversary of leasing the St Kilda Marina to the Australian Marina Development Corporation (AMDC), we look at some of the questions that have been brewing since 2022.
We ask why contamination remediation costs have skyrocketed from $750K to over $5M?
We ask why progress has stalled and is not meeting timelines?
We ask why Council has remained ‘quiet’ about this project since September 2022?
We ask questions about AMDC and why they have no up-to-date website and information?
Much more than meets the eye
The St Kilda Marina is a massive project in many ways. It’s got a project value estimated at $160M, it covers a vast footprint from the St Kilda Beacon, Marine Parade frontage, the service station, adjoining car parks and the foreshore back to the beacon –spanning 8Ha (80,000m2).
Just the first stages of the proposed project promise to deliver impressive features surrounding a much modernised and more open marina, including:
- a new dry store building with capacity for 300 boats and ancillary facilities
- new wet berths re-oriented to the peninsula side
- a base-level of public berthing infrastructure
- a new Australian Volunteer Coast Guard facility
- comprehensive refurbishment of the RIVA building
- Marine Parade works to create a retail or food and beverage strip
- peninsula works including landscaping and Beacon restoration
- Bay Trail and car parking upgrades.
Council says project info is on their website for all to see
Council disputes our assertion that there has been no information circulated to the public since 2022.
Mayor Heather Cunsolo said “This is incorrect. The tenant achieved landlord approval in late 2022 at a public council meeting, and has since developed the drawings to a stage where they were able to make a planning submission. The project update regarding the planning submission and its current status can be viewed on the project web-page.
“As the new tenant, Australian Marina Development Corporation (AMDC) is responsible for the redevelopment of this complex site and we are working constructively with AMDC to progress the redevelopment.”
But where are the media releases and public emails to interested parties?
Where is the announcement that contamination costs have risen by more than 600%?
What the Mayor says may be true, but people who signed up to receive updates about the project have not received any correspondence since 30 September 2022. That’s a long while between drinks.
Troubling questions are emerging, unanswered
Since Council commenced the project in 2018, there have been persistent concerns about site contamination. As a working marina with refuelling facilities and maintenance workshops, there was bound to be contamination.
In September 2020, Council wrote to a member of the Marina Project Community Panel (that provided advice about the project) stating:
“In terms of the sharing of costs of remediation, it was agreed that Council, as Landlord, would pay 75% and tenant would pay 25% of the costs with Council’s contribution capped at $750,000.”
Yet by July 2022 the anticipated cost of remediation has risen dramatically, with a published report to Council stating:
“AMDC has proposed a broad methodology that uses alternative construction techniques to minimise contaminated soil disturbance and off-site disposal. The outcome of this is a cost in the order of $8M. Council’s commitment in line with the lease requirement of a contribution of 75% of costs is approximately $6M.”
But alarmingly, the Council report also said remediation could have a worst-case scenario of up to $16M.
In response to our recent questions the Mayor said:
“Contamination at the site has been discovered to be more extensive than previously thought. We are working through what that means to the project’s timeline and Council funding contributions.”
Ouch. The current draft budget has a placeholder line item of over $5M. (Vol 2, p94)
Slower start than proposed?
In July 2022, the report to Council included these early project timings:
“Stage 1a including the peninsula works, dry stack, Riva building refurbishment, carpark, Bay Trail Civic Heart – to be delivered in 12 to 24 months.
“Stage 1b including the new wet berths Marine Parade works, peninsula work and Marine Parade retail – to be delivered in 24 to 48 months.”
Clearly this timeline has turned out to be ambitious.
Nevertheless, the Mayor confirmed some progress:
“AMDC continues to maintain marina operations including:
> storing boats and enabling boating activity in the bay
> dredging
> ensuring sub-tenants continue to provide services (hospitability, service station and boat fuelling, convenience store, boat maintenance/repairs and Coast Guard).
“AMDC has also refreshed elements of the site, including notable upgrades to Riva to re-activate the hospitality and entertainment offer.”
Who is behind ADMC?
If you do a Google search for Australian Marina Development Corporation (AMDC), remarkably you will not find anything.
You’ll have more luck on LinkedIn, leading to the rock’n’roll connection, namely Christo Van Egmond* who is a Director of both AMDC and TEG Van Egmond (the dynamic entertainment company founded by his recently deceased father Gary Van Egmond who achieved prominence bringing Dire Straits, Jesus Christ Superstar, Riverdance & AC/DC to perform in Australia).
Meanwhile the St Kilda Marina website remains a shrine to the previous operators. The most recent Latest News item is from August 2020 paying homage to the Spooner family – the previous lessees.
TWiSK confirmed that the current website is being operated by the new operators.
Links to key information
Council project page
AMDC Landlord Approval Extract document (detailed plans)
FYI TWiSK questions and Council’s response in full
*TWiSK has contacted Christo Van Egmond for comment and we will happily publish a response.
