Derwent Entertainment Centre hotel and upgrades worth $90m part of purchase pitch


Updated

July 10, 2018 15:50:27

A consortium bidding to buy the Derwent Entertainment Centre (DEC) wants to spend up to $90 million transforming the site into a world-class sports and entertainment precinct.

The Glenorchy City Council has voted to sell the centre after receiving an unsolicited offer from Melbourne-based company and Hobart Chargers sponsor, HydraPlay.

HydraPlay spokesman, former Tasmanian premier David Bartlett, told ABC Radio Hobart the group is prepared to spend up to $4 million to immediately upgrade the centre.

This would be to bring the centre in line with standards for the National Basketball League, ahead of a Tasmanian bid to join the competition.

However, the consortium’s plans do not end there — they also want to build a number of public facilities including a marina, and bring at least a dozen more international and national music acts to the centre.

“The consortium has a vision to invest some $80–90 million on the site over the next three to five years,” Mr Bartlett said.

“That would provide a hotel which, of course, a site adjacent and facing MONA is a great bonus to the Tasmanian tourism industry, cafes, restaurants, outdoor entertainment areas.

“Indeed the grand vision over the five to 10 years, and this would obviously involve working further with council, would be to have a marina and a range of other public facilities out there that draw the public to it.

“The consortium is absolutely committed to retaining the access for community use.”

The centre costs Glenorchy Council over $1 million a year in operational and depreciation losses, a heavy price to pay given their current financial woes.

Mr Bartlett described the council’s decision to sell off the centre as sensible.

“I live in Kingborough, every time me and my mates who live in Kingborough buy a ticket to go see the Foo Fighters, the ratepayers of Glenorchy are subsidising that ticket to the tune of $1 million a year,” he said.

Glenorchy Mayor Kristie Johnston said the council would now seek public submissions.

“For the next 21 days we’re inviting the public and anyone who would like to express an interest in purchasing the DEC to contact us,” she said.

“We’re having a valuation done and that’s a commercially in-confidence matter.”

She said the sale land would not include the foreshore.

“It’s only the title including the DEC and its immediate surrounds,” she said.

Topics:

local-government,

glenorchy-7010

First posted

July 10, 2018 11:54:27



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