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ALAND erects 2nd crane on site for Archibald project Minister outlines Budget commitments for Coast How Council uses biodiversity to stop economic growth Focus on town centres
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WYONG
New Hinterland attraction for Coast Page 4 – Edgar Adams’ Editorial One more year of Council under Administration
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CON T EN TS
In this issue 4 Edgar Adams’ Editorial
14 Make-over for Kibble Park Gosford
One more year of Council under
15 Bouddi Foundation for the Arts
Administration
Business news 5 New Hinterland attraction for Coast 6 Erina Fair stake hits the block
Awards $80,000 to Young Artists – Seeking corporate sponsors 16 Three ideas to improve business decisions
7 ALAND erects 2nd crane on site for Archibald project
17 How passion and vision has tuned
7 Construction boom in Gosford heralds population boom
18 An overview of the Central Coast
8 North takes home major national award
20 Gosford lawyers lease in Fountain
8 The criminalisation of wage theft 9 How Council uses biodiversity to stop economic growth 10 Four Coast manufacturers in HMA 2023 10 Central Coast Supply Chain Form November event
Wyong around commercial property market – 2023
21 East Gosford investment property sold at auction 22 Funny business
Central Coast Business Review
4 Edgar Adams’ Editorial
Central Coast Business Review is a Registered Trade Mark of Adams Business Publications Pty Ltd P.O. Box 3259, Erina, NSW 2250 Phone: (02) 4367 0733 Fax: (02) 4367 0744 Email: info@ccbusinessreview.com.au Typesetting by Graphic by Design ph (02) 4365 6777 Print & Distribution by Bromley Direct ph 0412 439 773 © Adams Business Publications 1994. All rights reserved. Reproductions in any part prohibited. While every effort has been made to ensure all information in this magazine is accurate, no responsibility will be accepted by the publisher, Adams Business Publications. The producer accepts no responsibility for illustrations or photographs supplied by organisations or individuals and/or typographical errors.
12 Minister outlines Budget commitments for Coast
11 Manufacturing news
13 New owner for Tuggerah Lakes Batteries
CONTACT
Listen to Edgar Adams on Coast FM each Monday 9:45am Also follow us on Linkedin
Regular features One more year of Council under
13 NAB gives Gosford the flick
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Plaza Erina
11 Central Coast Industry Festival 2024 “Connect to Grow”
13 Brett Robson joins APP Finance Brokers
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Administration 13 Business briefs 14 Central Coast Council news 17 Town Centre Focus – 18 Property news 22 Funny business
Phone 02 4367 0733 Email info@ccbusinessreview.com.au Web www.ccbusinessreview.com.au
CENTRAL COAST BUSINESS REVIEW OCTOBER 2023
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EDITORIAL
Edgar Adams discusses local issues
One more year of Council under Administration THE 2024 LOCAL Government elections will be held next year on the 14th September bringing to a close three years during which Central Coast Council has been under Administration. It goes without saying that the few short years in which the amalgamated Council was run by those fifteen elected councillors headed up by Mayor Jane Smith was a disaster beyond belief. Of course it was a disaster waiting to happen, with fifteen councillors from five disparate areas called Wards and most with no financial or organisational capability whatsoever, along with most having their own personal and political agendas. Central Coast Council is the second largest council in NSW after Blacktown Council. With an annual income of over $700 million and over 2,000 employees it is a seriously large organisation and there is no legal requirement for councillors to have one ounce of financial or governance knowledge whatsoever. Conversely directors of registered clubs are expected to have corporate governance qualifications and this applies to the small registered club. It is heartening that Administrator Rik Heart is running a series of training sessions for would-be councillors. However, there is nothing to stop any of the dismissed councillors from running again. Whether the Labor Party or Liberal Party will run candidates with any financial or governance competency remains to be seen.
Meanwhile, Central Coast Council continues to go down a path that is jeopardising the future prosperity of our region. Council is using biodiversity laws and regulations to stop almost all forms of development (see page 9) on appropriately zoned land. And that is not all. They continue to frustrate developers who wish to develop residential and industrial land that requires water and sewage infrastructure in the Wadalba and Warnervale areas. This has been the case with land at Mountain Road, Warnervale where Western Australian company, Beerfarm which operates a highly successful craft brewery and adjoining farm and the owners wish to replicate it on land they purchased some three years ago. Fortunately, Beerfarm owners have not given up on the Central Coast and are now working with Glenworth Valley Outdoor Adventures at Calga to locate their operation on their property (see Page 5). This business will bring more visitors to the Central Coast and create jobs which are desperately needed for our region. As we have reported before may times, over 3,000 homes could be built across the Coast, mostly in the Wadalba and Warnervale. At Somersby, one of the oldest zoned industrial areas on the Central Coast, so
called threatened species of plants and the odd pygmy possum has been used to add hugely to the cost of developing land with developers having to buy Biodiversity Credits. Now that Administrator Hart has got council’s finances under control it is time for him and his senior staff to start thinking about growing the regional economy. While most other councils around Australia have Economic Development Departments this Council has no economic growth policy to start with. It is a disgrace and sends the message that this council is not open for business. By not attracting new business and in turn not creating a pipeline of new jobs young people coming out of school have no future. It is time that the State Government stepped in and took Central Coast Council’s planning powers away from them. Premier Minns and Planning Minister Scully are making all sorts of noises about this issue. The time has come for action. Edgar Adams Editor
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New Hinterland attraction for Coast A UNIQUE BOUTIQUE BREWERY AND farm attraction will be established at Calga in a joint venture between Glenworth Valley Wilderness Adventures owners and founders of the highly successful Beerfarm brewery operation in Metricup, Western Australia. The new Beerfarm attraction is a brewery and 280-seat capacity restaurant costing an estimated $6m. It will be established on 10 hectares of farmland at the Glenworth Valley property, near the intersection of Cooks Road and Peats Ridge Road. Beerfarm is a farm style boutique brewery concept. A herd of Black Angus cattle will graze the surrounding land - the spent grain from the brewing process will be used to feed the cattle which, in turn, will be used in a ‘paddock to plate’ style beef offering for patrons. Fresh beer will be brewed using pure Glenworth Valley spring water, whilst the nutrient rich wastewater will be returned to the land to irrigate the surrounding paddocks. The operation will use circular farming methods to minimise the footprint on the environment, whilst recycling and upcycling waste products in an environmentally sustainable manner. The brewery will become a unique community asset which will seek to collaborate in a friendly fashion with local suppliers, neighbours and patrons, whilst creating important jobs for young people on the Central Coast. Together, the brewery, restaurant and farm will become a rural, tourist attraction and create synergies with Glenworth
Beerfarm operation at Metricup, Western Australia Valley Wilderness Adventures’ operation as well as other nearby hinterland attractions. Patrons will be able to experience brewery tours, beer tastings and a rustic food offering in a family friendly environment. Beerfarm was established in 2015 and due to its success, it planned to establish an operation on the East Coast around Sydney. Initially a site at Mountain Road, Warnervale was chosen for the project and in 2021, Beerfarm was awarded a $900,000 grant from the NSW Government’s Regional Job Creation Fund to assist with the project. However, the project experienced delays due to a lack of infrastructure in the Warnervale Employment Zone area and a shortage of resourcing within the Central Coast Council. The Beerfarm Directors decided to search for an alternate site to
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Beerfarm Director, Craig Thomason maintain the momentum of the project. A new site was located at Glenworth Valley and agreement was reached to migrate the $900,000 grant to the new site. A Development Application has now been lodged with the Central Coast Council for the new site, and there has been a groundswell of support from the local community. Beerfarm Director, Craig Thomason said that the feedback from Council has been CONTINUED ON PAGE 6
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BUSINESS NEWS
Erina Fair stake hits the block
New Hinterland attraction for Coast CONTINUED FROM PAGE 5
Erina Fair showing undeveloped area along Terrigal Drive (right) Photo courtesy Chosen Photography SOUTH KOREA’S NATIONAL Pension Service has placed its 50 per cent interest in Erina Fair shopping centre on the market through agents CBRE. Along with SKNPS Erina Fair is co-owned by Lend Lease’s Australian Prime Property Fund having acquired its interest around ten years ago from GPT Group when the centre was worth about $800 million. Erina Fair is one of the largest regional shopping centres in Australia being rated #21 out of ninety-one Big Gun shopping centres with a Gross Lettable Area is 114,993 sqm by Shopping Centre News in 2022. The land holding with frontages on Terrigal Drive and Karalta Road covers a total of 48 hectares including a 1.64 Ha lot on the intersection of Terrigal Drive, The Entrance Road and Penrose Avenue. SCN’s Big Guns review of shopping centres nationally revealed that in 2022
Erina Fair saw 10.83 million shoppers go through its doors with an average customer spend per visit of $69.99. Built in 1987 Erina Fair has undergone a number of expansions over the years however there remains a considerable area of undeveloped land surrounding the site facing Terrigal Drive that would suit a residential development Over the past year Erina Fair has undergone a refresh following the exit of the Target department store in mid-2022 that has seen a change in the retail mix with a new suite of retailers that include H&M, rebel CX, City Beach, EMF Fitness Centre, JD Sports, Glue Store, Dangerfield and Peter Jackson men’s wear. Additionally Erina Fair saw Harris Farm Markets in ‘The Corner’ Precinct add substantially to their footprint following the repurposing of an adjacent restaurant.
very positive so far. We are hopeful that an early approval will be forthcoming to compensate for the previous delays. Commenting on plans for Beerfarm at Calga, Mr Thomason said “We are stoked to be building the brewery in partnership with our friends at Glenworth Valley – there are great synergies between the two groups. The support for the project from the local community has been immense. We are excited to build a project which the people of the Central Coast can be proud of.” Owned by the Lawler Family since 1972 Glenworth Valley comprises over 1,200 hectares of pristine natural forest adjoining Popran National Park. Glenworth Valley Horse Riding opened in 1969 and quickly became a popular destination known for its riding trails and unspoilt wilderness. In 2017 they opened a new $5million Valley Events Centre attracting corporate events, weddings and other events. Managing Director, Barton Lawler took over the management of the business about thirty years ago subsequently developing the business into the largest outdoor adventure centre in Australia specialising in horse riding, quad biking, kayaking, abseiling and camping. Now known as Glenworth Valley Outdoor Adventures it is one of the Central Coast’s leading attraction and the recipient of multiple industry awards, most recently being voted “The Best Country Wedding Venue in Australia”. Commenting on their arrangement with Beerfarm, Mr Lawler said, “Beerfarm’s vision and values align perfectly with ours. They are leaders, innovators and are highly successful in their industry. The project will further add to our destinations’ offering and customer experience.”
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BUSINESS NEWS
ALAND erects 2nd crane on site for Archibald project LATE SEPTEMBER SAW ALAND erect the second crane on their Archibald project on the corner of Donnison and Mann Streets in Gosford. Two of the world’s most technologically advanced cranes now dominate the Gosford skyline as work continues on ALAND’s $375 million Archibald by ALAND project. The cranes, specially imported from Italy, will remain on-site for the next fourteen months as the two Archibald towers take shape. The mixed-use development is set to transform Gosford, with 323 residential apartments and penthouses, a 130-room hotel and multiple food and beverage outlets, including a SkyBar and Lounge on Level 28. ALAND CEO George Tadrosse, said. “Buyer interest in the development has been extraordinary, with two-thirds of the apartments sold since designs for the project were unveiled to the public earlier this year. The arrival of the cranes is creating even more interest in Archibald. Mr Tadrosse says the cranes, were made In Italy by crane manufacturer Raimondi in Legnano (near Milan). “There are only a couple of others in Australia,” he said. “These cranes feature advanced technology and are next level when it comes to maneuverability, safety, and energy efficiency. They are just another example of how ALAND is leading the way in the building and development industry,” he said. The cranes have a lifting capacity of up to 10 tonnes with a freestanding height up to 150 metres. They also use hydraulic luffing
Construction boom in Gosford heralds population boom While the rest of the Central Coast languishes Gosford is undergoing a construction boom with 18 cranes operating on sites within a kilometre radius of the CBD. The number of cranes in an area is an indication of the state of the construction industry’s workload in each location and the economic benefits they bring. Food businesses in Gosford are reporting strong sales from the large number of workers on these sites. Additionally, these projects will see over 1,400 new residential units and more than 3,000 people living in Gosford.
The erection of ALAND’s second crane on their Archibald site in Gosford brings to 16 the number of cranes in Gosford. (raising and lowering the jib) rather than a traditional electric winch and cable system. Hydraulic luffing offers faster erection and dismantle times, a faster working speed, and almost 50% more energy efficiency. “Not only is the energy efficiency better for the environment, but it also helps to keep our energy bills down and we can pass those savings on to the customer through lower apartment prices,” he said. Mr Tadrosse says the Italian cranes have a number of advantages over conventional cranes, such as their maneuverability, but are also much safer than a traditional cable system which can snap, allowing the jib to come crashing down.
Crane locations and number John Whiteway Drive – Rumbalara Residences Cnr. Erina St and Henry Parry Drive – Vue Mer Cnr Mann and Donnison Sts – Archibald Gosford Waterfront – Central Coast Quarter Henry Parry Drive – Sapphire Shortland Street Hargraves Street Kendall Street Fielder Street Kendall Street Moore Street – Vista Donnison St West – Castillo 68 Hills Street Ormond Street Pacific Highway West Gosford – Gosford RSL Club TOTAL CRANES
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BUSINESS NEWS
North takes home major national award TUGGERAH BASED CONSTRUCTION company, North Construction & Building has been named Large Commercial Construction Business of the Year – Annual Turnover over $50m at Master Builders Australia’s 2023 National Business Excellence Awards last month. The National Business Excellence Awards celebrates outstanding achievements in financial management, business operations, customer service, innovation, business improvement and resilience initiatives, and corporate social responsibility within the building and construction industry. According to Master Builders Australia, “The awards validate and celebrate the businesses which are leading the way in best practice, and which have genuinely instilled this objective into their long-term business strategy. The awards also aim to inspire all businesses in the building and construction industry, large and small, to make excellence in best practice the foundation of their mission and brand. “With historical roots on the Central Coast and expansion over the years more broadly throughout regional NSW and, most recently, Southeast Queensland, this is a major achievement for the 100% employee-owned builder. “Receiving this coveted award was an awesome and proud moment for our business,” said Matthew Cook, North Managing Director. “I want to give a massive thanks to the entire North team for their collective and relentless pursuit of continual improvement. “This result is a culmination of the long-held recognition and focus within the business that personal and professional growth in our staff is what grows our business. Beyond such a focus of training and developing our workforce, this growth also enables us to maintain an amazingly strong, posi-
The criminalisation of wage theft
By Warwick Ryan, Partner, Hicksons Lawyers
North Managing Director, Matthew Cook with Awards Sponsor tive culture and one which fundamentally underpins Building With Trust. “Thank you also to our trade contractors, consultants, partners and clients who support us in the journey. “North Construction & Building was founded in 1987 and has grown to become a trusted regional construction company with an award-winning reputation for excellence. North has always been and continues to be 100% employee owned, a business that genuinely cares and where relationships matter, they are known for a different approach.
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ONCE AGAIN, THE workplace laws in Australia look set to go through some significant changes. This will impact local businesses, their managers and employees. Workplace Relations Minister Tony Burke has recently introduced to Parliament the Closing Loopholes Bill. This Bill further modifies the Fair Work Act, following the changes last year with the Better Pay Secure Jobs amendments. In the Bill, ‘wage theft’ refers to the intentional underpayment of employees. Should the proposed changes become law, occurrences of wage theft will be met with increased penalties, including greater fines and, depending on the severity of the offence, jail time. The amendment will make it a criminal offence for an employer to intentionally underpay their employees’ wages and certain entitlements. The issue of wage theft made headlines back in 2020 when 7-Eleven was forced to pay employees $173 million in unpaid wages. This followed a report by the Fair Work Ombudsman in 2016, which found that some franchisees had, “deliberately falsified records to disguise the underpayment of wages” and 7-Eleven had not identified or remedied the breaches.”. As was the case with 7-Eleven, penalties under the proposed Closing Loopholes Bill will only apply where the underpayment has been a deliberate choice on the part of the employer. The Minister has said “The objective here is not to send people to jail. The objective is to make sure that people are paid properly.”. So, the Minister has made clear that the focus of the new law will be on the intention of the employer. Part of the proposed amendments include new powers for the Fair Work Commission. In the event of a suspected deliberate underpayment, the Commission will be entitled to commence an investigation into the matter. Should an accused business appear to have engaged in wage theft, the Commission will have discretion as to whether or not criminal charges will be pursued, depending on how cooperative the accused business has been. CONTINUED ON PAGE 16
BUSINESS NEWS
How Council uses biodiversity to stop economic growth IT IS WELL known that the Central Coast is not generating enough jobs to support the growing population and this has been the case for over forty years. Businesses in Sydney and elsewhere eye the region as an ideal location to operate from thereby creating employment opportunities. To create a better lifestyle for the people of the region business and investors need to be encouraged to locate their operations here thereby growing the regional economy. However, in recent years it has become patently obvious that Central Coast Council has an opposing policy to that of growing the economy. There are numerous examples of how this is achieved and Council uses all the levers, one of which is biodiversity. Under the NSW Biodiversity Conservation Act anyone wishing to develop vacant land is required to have a Biodiversity Development Assessment Report (BDAR) prepared by a recognised flora and fauna Ecologists. On the Central Coast this expensive report that will also take over twelve months to complete and cost from $25,000 for a small lot to over $100,000 for larger lots will identify all endangered and so-called endangered species of flora and fauna. The developer is then faced with the cost of developing around the plants identified or buy Biodiversity Offset Credits for each plant that can run into the 100s of thousands of dollars.
Aerial map of Somersby showing Pile Road extension crossing Wildlife Corridor While many of these endangered plants are cultivated by Wildlife nurseries for as low as $3.50 each , Credits are valued at $723 per Credit, Central Coast Council uses the Act and Regulations to insist on nonremoval of the plants or insist on the developer buying Offset Credits. This process and the time involved adds to the cost of development and in many cases developers walk away or end up in the Land and Environment Court. Central Coast Council is using the Biodiversity and Conservation Act as a tool to stop all development where they can. However, where it suits them Central Coast Council simply ignores these environmental issues as can be seen below.
Somersby Industrial subdivision – Piles Road extension Currently the owner of an six hectare lot on Wisemans Ferry Road (see photo) who has plans to subdivide the site into 16 industrial lots has found that he has major biodiversity issues that is likely to see the development put on ice for years, unless they can be resolved. While 16 industrial lots would generate substantial employment for the region, two so-called threatened species of plants plus a Pygmy Possum is putting the whole project in jeopardy, also this property has a Wildlife Corridor that runs along the edge of the property which is being preserved by CONTINUED ON PAGE 14
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BUSINESS NEWS
Four Coast manufacturers in HMA 2023 Four Central Coast manufacturers have been announced as Finalists in the 2023 Hunter Manufacturers Awards with the winners being announced at a gala black tie event at NEX Newcastle on 20th October 2023. Janus Electric Berkley Vale based and locally owned Janus Electric has elecbrakes, winner of the the 2022 HMA Excellence in Manufacturing Capability category. developed a revoElecbrakes Founder – Craig De Leon (right) accepting the award lutionary exchangeable battery system for heavy vehicles. The awards inspire and encourage GEM Switchboards vibrant and enduring manufacturing and the event shines a light on the region’s Formerly Gosford Electrical Manufacturing, based leaders and innovators making a mark in at West Gosford, GEM Switchboards designs and their fields. manufactures electrical switchboards HMA chair Jacqui Daley says it is imporelecbrakes tant to recognise the growth of manufacAlready the winner of the 2022 Hunter turing in the region and to celebrate innoManufacturing Awards for Excellence in vations and commitment as companies Manufacturing Capability Lisarow based make a global push. elecbrakes manufactures electric brake con“Hunter companies are transforming tratrollers for trailers. ditional manufacturing processes,” Ms Daley Engineer-turned-entrepreneur Craig De says. “Many are now increasing the levels of Leon revolutionised towing in Australasia design for technologically complex, innovawhen he conceived a “brake-through” for tive, reliable, affordable, and available prodcaravan and camper trailer owners wanting ucts, which are better, more sustainable, to hire out their equipment. and solve a variety of society’s problems. It Hydrogen at home enables them to compete globally.” Category: Outstanding Start-up HMA represents all businesses actively Hydrogen at home is a specialist research, engaged in the manufacturing secdevelopment and commercialisation comtor, including their allies, in the Upper pany focused on hydrogen applications Hunter, Lower Hunter, Central Coast, Lake These four Central Coast companies join Macquarie, Newcastle, Port Stephens, and 29 other Finalists from across the Hunter Mid-North Coast regions. and North Coast regions.
“ NEED TYRES? WE’VE GOT THE COAST COVERED”
Central Coast Supply Chain Forum November event Following on from their successful August event, the first since the covid pandemic, the Central Coast Supply Chain Forum a collaboration with Rarekind and Central Coast Industry Connect will be presenting its next event on 9th November 2023. This event will be held at the the cutting-edge 4id Solutions facility in North Wyong. 4id Solutions specialises in smart labels, tags, and wristbands powered by contactless technology, with RFID leading the charge in revolutionising supply chain and logistics. The event will provide an opportunity to mix with local manufacturing and distribution experts and tap into their collective sector knowledge. The event will conclude with an exclusive tour of the 4id manufacturing facility. These forums connect like-minded people in associated industries, sharing and resolving common supply chain challenges confronting their businesses, finding practical solutions through group collective experience, and exposing these Challenges to Government and industry Associations for Support. For further information reach out to Steve Rose, at Rarekind, srose@rarekind.com.au.
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Central Coast Industry Festival 2024 – “Connect to Grow” FOLLOWING THE RESOUNDING success of the 2022 Central Coast Industry Festival, Central Coast Industry Connect (CCIC) has announced that it will be holding a second Industry Festival on 6th and 7th March 2024, proudly supported by major sponsor, Investment NSW. As a not-for-profit member-based organisation, Central Coast Industry Connect helps local manufacturers and industry to unlock growth opportunities through relationship-building and collaboration. The Central Coast Industry Festival and Expo is a CCIC initiative designed to assist businesses to showcase their capabilities and products, establish valuable networks and find new customers and suppliers. Executive Director of CCIC, Frank Sammut said, “The theme of the 2024 Central Coast Industry Festival and Expo is “Connect to Grow”. In 2022, we were able to assist 50 of our region’s leading manufacturing and related businesses to connect and grow their networks, leading to exciting collaborations and new business opportunities. We look forward to delivering similar value for manufacturers on the Central Coast in 2024.” Feedback from exhibitors at the 2022 event was that it exceeded expectations and delivered genuine benefits to the participating businesses. As Managing Director of Open Shutters, Gail Cottrill said at the time, “It’s been fantastic to connect with the other industry partners that are here. There’s an amazing buzz. It’s been an exciting time for industry on the Central Coast.” Ian Hemphill, Managing Director of Herbie’s Spices, said, “Many people came by and said, ‘I know your brand. I’ve been using Herbies Spices for years. I had no idea you were on the Central Coast’. The Expo was a
2022 Central Coast Industry Festival Expo valuable networking opportunity.” Herbie’s Spices has been confirmed as a returning exhibitor in 2024. For innovative local manufacturer SpotGo, the Expo attracted overseas interest with Managing Director, Brendan Small receiving an enquiry about a potential export opportunity for his premium cleaning products from a visitor to his stand. CCIC will be inviting local manufacturers, industry suppliers, visitors from Sydney and the Hunter, other regional industry associations and clusters and CCIC members to the event. “Visitors to the Festival will have the opportunity to hear from world-class manufacturers about their latest innovations and the new technologies they are adopting,” said Mr Sammut. “We will be showcasing innovative circular economy
initiatives and holding a series of industry relevant guest speaker sessions. The event will feature many activities of great interest and value to both industry visitors and the wider Central Coast community.” Central Coast manufacturers from all sectors and relevant suppliers, service organisations and Government Departments are invited to express their interest in exhibiting at the 2024 Central Coast Industry Festival and Expo which will be held at Mingara Recreation Club, Tumbi Umbi. To learn more about the Festival and Expo to or express interest in being an exhibitor, contact Festival Co-ordinator Amy Scurr-Smith at admin@centralcoastindustryconnect.com. auCentral Coast Industry Connect is proud to acknowledge Central Coast Business Review as the exclusive Media Sponsor for the 2024 Central Coast Industry Festival.
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BUSINESS NEWS
Minister outlines Budget commitments for Coast Minister for the Central Coast and Member for Wyong the Hon David Harris MP along with Member for Gosford Liesl Tesch AM, MP and Member for The Entrance David Meehan addressed members of the Gosford Erina Business Chamber at its monthly members meeting in late September. Minister Harris outlined the major wins from the Budget for the Central Coast He confirmed funding for election commitments and major projects handed down by Treasurer Daniel Mookhey setting out a long-term plan to repair the budget, rebuild essential services and taking pressure off NSW families and businesses. Minister Harris said, “The Minns Labor Government will deliver its commitments to the Central Coast community. By managing our finances responsibly and by redirecting wasteful spending, we can rebuild our essential services and reinvest in our frontline workers and ensure we are providing support when people on the Central Coast need it the most.
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“Health and education are huge employers on the Coast and they will get the pay rises they need and deserve to care for and educate our growing community. “The big-ticket items we promised – the Gosford bypass and Pacific Highway upgrades will be delivered as well as the Gosford waterfront and more social housing. Smaller Minister for the Central Coast and Member for Wyong the Hon. David Harris MP grants will be delivaddressing membesr of the Gosford Erina Business Chamber along with Member ered to community for The Entrance David Meehan MP and Member for Gosford Lisel Tesch AM, MP organisations right Transport and Roads across the Coast Community, providing a • $23 million to continue the upgrade and major boost to essential services in our comexpansion of Tuggerah Station, including munity,” he said. two new lifts and a footbridge. Central Coast specific commitments • $12 million to start planning and design across major areas includes: for Stage 4 of the Pacific Highway Gosford Health Bypass from Manns Road and Narara • $ 9.275 million as part of the $200 million Creek Road to Parson Road Lisarow under Wyong Hospital Redevelopment Regional Roads Fund ($40m in total) • $3.338 million as part of the $6.4 million • $9.377 million to deliver the Woy Woy Wyong Hospital Cancer Day Unit expansion commuter car park (NSW and Australian Education Government funded) • $ 4.9 million to provide new and upgraded • $7.9 million to finalise planning and start facilities to deliver Animal Studies courses of pre-construction activities to improve at Wyong TAFE traffic flow and safety on the Tumbi Road • $ 50,000 for Porters Creek Public School intersection of the Central Coast Highway upgrade
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BUSINESS BRIEFS
($29.5m in total, NSW and Australian Government funded) • $7.057 million for planning and $16 million for the Wyong Town Centre as part of the $420 million upgrade of the Pacific Highway through Wyong (NSW and Australian Government funded) Housing, Environment and Planning • $11.107 million to upgrade social housing in The Entrance ($3.093m), Gosford ($2.946m), Wyong ($1.841m), Terrigal ($1.826m), Swansea ($1.401m) • $8.5 million for the Gosford Waterfront Revitalisation Plan • $1.3 million for Halekulani Oval amenities renewal Regions and local commitments • $11 million for the Centre for Australian Horticultural Market Access as part of the Regional Growth: Economic Activation Fund • $7.3 million for the Warnervale Town Centre Water and Sewer • $6.854 million for the Mardi Water Treatment Plant Upgrade • $5 million for Peat Island Cultural Tourism Precinct Activation New owner for Tuggerah Lakes Batteries David and Michelle Cleverly have bought Tuggerah Lakes Batteries, well known for the tag line “you ring – we bring” over more than thirty years. Mr Cleverly has operated his own business Digicrew Australia, a video production company for pastMar23 eighteen years. 3H the 180x100 Final V2.pdf 1
Mrs Cleverly had been working with Tuggerah Lakes Batteries for the past 20 years. Founded by Brian Lilley in 1995 Tuggerah Lakes Batteries became well known for the mobile battery fitting service across the Central Coast.
NAB gives Gosford the flick
Brett Robson joins AAP Finance Brokers
NAB Gosford Branch
Brett Robson One of the Central Coast’s best known bankers, Brett Robson, has joined AAP Finance Broker’s team based at Erina. Mr Robson has almost 40 years banking experience having started his career with the ANZ Bank and remained with the bank in various management positions until recently. From Sydney he was appointed Manager of the Gosford Branch in 1999, subsequently being appointed Home and Investment Lending Manager and then Business Banking Manager for the Central Coast region. 28/3/2023 4:05 pm
The National Australia Bank closed the doors of its Gosford Branch at the end of August ending a an association with the city that goes back almost one hundred years. Full service bank branches that continue in Gosford CBD are ANZ, Commonwealth, Westpac/St George. The closure of the Gosford branch was one of more than thirty announced by NAB earlier this year. NAB’s executive of retail banking, Krissie Jones, said at the time that only 3 per cent of customers solely relied on its branch network for banking in 2022. Full service NAB branches remaining on the Central Coast are at: Bay Village Bateau Bay, Fountain Plaza – Erina, Lake Haven Shopping Centre, Westfield Tuggerah and Deepwater Plaza Woy Woy.
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CEN T R AL COA S T COUNCIL NE WS
Make-over for Kibble Park Gosford AT ITS SEPTEMBER 26th meeting Central Coast Council adopted the Kibble Park Place Plan and Concept Plan following extensive community consultation over the past year. In 2017 the NSW Government Architect completed a Urban Design Framework for the revitalisation of Gosford CBD as the Capital of the Central Coast. This Framework identified Kibble Park as the civic heart of Gosford and Council is now moving ahead to transform this space into the centrepiece of the CBD ensuring it is functional, accessible, vibrant and inclusive to the whole community. The present Gosford Library will be demolished opening the Park up and creating a ‘green heart’. There will be a focus on ensuring safety and comfort through creative lighting, accessible paths, adaptable furniture, and new amenities. Kibble Park will become a place for artists and performers with a dedicated events space with appropriate services and facilities that will allow for both day and night time activities. Outdoor dining will be encouraged by providing ample and varied seating opportunities around the edges. Around the park edge, the Mortimer Lane and William Street zone will be reconfigured to allow for improved pedestrian safety. William Street Mall will be decluttered with the removal of the kiosks which have proved to be a haven for undesirables. The project is scheduled to be completed in early 2025. New Gosford Regional Library Demolition has commenced on the site that will see the new Gosford Regional Library built and is scheduled to open early in 2025. It has been designed to meet the growing needs of the Central Coast community, and has the capacity to adapt as demand changes. The new building will comprise 4,000sqm and include: • Meeting and information spaces, • Eight multipurpose meeting rooms, • Local history spaces, • Two office suites, • Reception/customer service area, • Flexible open plan, • Large theatre style lecture room with seating capacity for 300 people, • Administration office, • Incubator spaces, • Exhibition spaces, • Digital technology; wi-fi, hearing loops, video conferencing, RFID CENTRAL COAST BUSINESS REVIEW OCTOBER 2023
Kibble Park
How Council uses biodiversity to stop economic growth CONTINUED FROM PAGE 9
the developer in its natural state, and also protecting a significant Aboriginal rock carving. At the same time Council is carrying out works to link Pile Road to Wisemans Ferry Road, which is nearing completion, this link cuts across the Wildlife Corridor, however Council bulldozers have had no trouble clearing all the land including the threatened species, have they completed a BDAR? While the property owner is looking at having to buy Biodiversity Offsets identified in the BDAR report that will cost over Five hundred thousand dollars, Central Coast Council’s Works Department thumbs their nose at environmental issues. Somersby Industrial Park was zoned industrial over 50 years ago and comprises an area of 300 hectares. Although only partially developed due to environmental and heritage constraints imposed on the area following the introduction of environmental legislation in the 1990s, and the Somersby Plan Of Management in 2006 , Somersby Industrial Park is a major contributor to the Central Coast economy and employment. To the lay person ‘Industrial’ zone land means land that is exclusively used for industrial purposes and includes manufacturing, processing, fabricating, warehousing etc. The owner of an industrial zoned lot would
expect to be able to build a factory or warehouse with surrounding concrete hard stand areas across the entire site. Enter Gosford Council and now Central Coast Council and Somersby Industrial Park is expected to be a quasi national park. A land owner may own an industrial lot and pay rates and taxes thereon however the reality is that he is also expected to maintain and nurture the flora and fauna that happens to on or around it. Somersby Industrial Park is part of over 19,068 ha of similar Fauna & Flora community within the Gosford LGA mapped by Bell (2009) on the plateau, which is primarily natural landscape , Professional Reports from Property Research Companies are stating that with the expense and pressure in the Sydney area, companies want to expand to the Central Coast, primarily Somersby due to the excellent road system that now exists with the opening of the NorthConnex in November 2020, that services the Sydney CBD, plus access to the suburbs of Sydney and with direct access to Melbourne. The expansion of these companies brings expertise, construction / development and more importantly Employment to the coast, with life style that attracts owners of these companies.
NEWS
Bouddi Foundation for the Arts Awards $80,000 to Young Artists – Seeking corporate sponsors FOR THE BOUDDI Foundation for the Arts, 2023 is a year of unprecedented achievement. The Foundation’s grant program experienced a record level of interest and participation. Seventy-three applications were received from young people seeking a career in the arts, most hailing from the Central Coast. Foundation Chairman John Bell AO, OBE said, “this marks a significant surge in grant interest, indicating the escalating enthusiasm for the arts among the younger generation.” The Foundation conducted a record number of interviews and auditions. Fifty applicants were invited for interviews or auditions, nearly double any previous year. Experienced industry professionals evaluated applicants within their respective fields of expertise across ten Arts categories in interviews and auditions held on 9th & 10th September. Mr Bell said, “the Foundation extends its heartfelt gratitude to all applicants for participating and applauds them for exceptional performances and presentations. “The Foundation is honoured to announce grants to 45 successful applicants, setting another record. This year’s total amount awarded is close to $80,000.” “This record amount reinforces the Foundation’s dedication to supporting the arts and young talent. The sum includes new grants in memory of much-loved members of our local community,” he said. Mr Bell emphasised that In this time of financial stress and uncertainty it is more
Bouddi Foundation for the Arts Class of 2022. Marcia Hines AO and John Bell AO, OBE (centre of photo) important than ever that we, as a community, get behind our aspiring artists and help them to achieve their goals for the benefit of us all. The Foundation is entirely dependent on the generosity of our donors and supporters. Awards will be presented at the Foundation’s 29th October Awards Day at
Wagstaffe Hall. The Foundation eagerly anticipates another year of fostering young talent and championing the arts. For more information about the Bouddi Foundation for the Arts, its grant programme, and opportunities to donate to its work, please visit the Foundation’s website www.bouddiarts.org.au
WHY BUSINESS OWNERS ON THE CENTRAL COAST CHOOSE CCBR TO GROW THEIR BUSINESS
It’s simple. ✓ They can reach over 20,000 business readers every month. ✓ Most widely read and trusted business publication on the Central Coast. ✓ The repetition of your ad every month means readers will get to know you and remember you. ✓ Independent surveys show 94% of readers will use the CCBR for reference when looking for suppliers. ✓ The quality of the publication and the content means readers retain the CCBR for future reference.
Call Edgar Adams now on 0404 472 571 or Email: edgaradams@ccbusinessreview.com.au
CENTRAL COAST BUSINESS REVIEW OCTOBER 2023
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BUSINESS TIPS
Three ideas to improve your business decisions
By Troy Marchant, Director, Adviceco Chartered Accountants
CLOUD ACCOUNTING OFFERS a major shift in how numbers can help business owners run a better business, and Australia and New Zealand are leading the way. But in 2022, Business Australia released the results of a survey where they concluded that the number one issue for small business owners was understanding and interpreting their numbers. It’s important to read that carefully. They did not say the number one issue was having the numbers, but understanding and interpreting them. This goes hand in hand with my own observations of small business over almost three decades that there are three common areas where business owners struggle: 1. There is next to no planning done in many SMEs. 2. There is next to no accountability in many SMEs — things just don’t get done. So what’s the answer? I believe there are three things to consider: 1. Move to a cloud accounting solution Firstly, I strongly advocate that if you have not done so already, you should migrate your accounting system onto the cloud using XERO, MYOB or QUICKBOOKS Talk with your accountant or bookkeeper about the best solution for you. They work with hundreds of clients and should be across all of the available systems and be able to give you an impartial recommendation. In practical terms, what this means is that your data will be ‘in the cloud’, rather than on your server, and, combined with the power of bank feeds, you and your financial team can access one source of truth at any time without the need for you to exchange a physical data file. 2. Reconcile your data at least weekly Having live data feeds is not enough, although it does get you halfway there. It is important to log on to your system regularly to code and reconcile all of your transactions. If you are not comCENTRAL COAST BUSINESS REVIEW OCTOBER 2023
fortable doing this yourself, have your accountant or bookkeeper do it for you. I recommend at least weekly but some businesses do this daily. This is important because the closer to real time you have numbers that accurately reflect your business’s performance, the better management information you have — and the better management decisions you can make. Let me give you an example. Let’s imagine you need to purchase a new piece of machinery for your business. The item costs $10,000. You take a quick look at your business bank account and see that there is $25,000 in the bank, so you go ahead and buy the item. There are all sorts of things wrong with this knee-jerk decision: • You might be better off leasing the machinery or acquiring it via hire purchase, rather than paying cash. • I f the bank is not reconciled, it’s possible that there are payments that have already made but that have not cleared the bank — and when they are presented at the bank, you might now not have sufficient funds to honour the payments. •H ave you taken account of any upcoming tax liabilities that need to be paid? •D o you need to pay a major supplier to ensure delivery of materials and now you can’t do that? • When are the wages due? Is this going to give you a short-term cash crunch? All of these issues (and more) could be avoided by having your bookkeeper or accountant review your cloud accounting file, make sure everything is reconciled, take a look at what’s coming up and giving you an informed decision as to whether or not you could or should buy the machinery out of working capital. 3. Work with your accountant on an ongoing basis to stay on top of your numbers. The days of the once-a-year trip to the accountant should be long gone. Real time advice is so important, that if you don’t do it, but your competitor is, then you are falling behind in the race. The cloud is here to stay. If you want to get ahead, embrace the technology so that you have real time data to make real time decisions that will give your business the edge. At Adviceco we hold monthly workshops on topics like these – if you would like to attend, as always, you will find me and get a reply on troy.m@adviceco.com.au
The criminalisation of wage theft CONTINUED FROM PAGE 8
Considering the potential consequences of a guilty finding, it would likely be in the interests of a business to be as cooperative as appropriate. For breaches, the proposed changes will see a maximum penalty of 10 years in jail, a fine of up to $1.565 million for an individual, $7.825 million for a body corporate, or three times the amount that was underpaid if the underpayment was more than the maximum fine. Businesses are rightly concerned about the potential consequences of accidental underpayments. This is a particular concern where there may have been possible underpayments in the past, which may expose business owners and managers under these future proposed changes. Reviewing and understanding previous payrolls, along with business policies and procedures, is a critical first step to mitigate this business risk. Taking this approach should assist the business to establish that any possible underpayment was, in fact, unintentional, protecting organisations and managers if issues arise in the future. In addition, to assist small businesses to ensure that they will not face criminal charges, the Government has said it will develop a Voluntary Small Business Wage Compliance Code as a way of providing certainty for those who inadvertently commit wage underpayments. Where it is established that a small business has adhered to the code, they will be exempt from prosecution. The steps to address wage theft are just one part of a larger revision of Australia’s workplace relations laws. So – there will be more to come. We will continue to closely monitor these developments, and keep you informed about what is on the horizon and the steps you can take to protect your business.
FOCUS ON W YONG
How passion and vision has turned Wyong around IN RECENT YEARS Wyong Town Centre has come to life as its performing arts centre, the Arthouse, attracts visitors to the town and with Central Coast Council consolidating its administration office with over 200 employees supporting the daytime economy. Wyong’s night time economy is thriving according to the businesses surveyed by CCBR recently. Paolo Tisi who bought Osteria a Mano Italian restaurant eight years ago commented that over time his clientele had changed substantially in recent years with patrons prepared to pay for quality food and wine. “Fridays and Saturdays are always booked out and the rest of the week is okay,” he said. Going back to the early 1900s Wyong was once a strong farming, dairy and timber area with a thriving town centre servicing an extensive hinterland. It was also a railway town being a rail head for distribution of local produce and of course was a stopping off point for the thousands of motorists heading north from Sydney on the Pacific Highway. Over the years Wyong went downhill and the final nail was the opening of Westfield Tuggerah shopping centre in 1995 sucking the life out of the town. However, Wyong was fortunate in that it had a small number of business leaders who refused to give up. They were people who were prepared to invest in the town. It is worth noting that these people never gave up on their vision for the town. Not long after the opening of Westfield Gwen and Mario Conte who had a bakery in Wyong Plaza shopping centre decided to move out and establish Legends Bakery opposite the Railway Station. It was a substantial investment and a big risk however it paid off and Legends Bakery certainly became a legend. It proved that vision, passion and a good business model would work. Another was the late Lou Pulbrook who owned a South American travel agency above an archaic mercers shop in the town at 66 Pacific Highway. He invested thousands in restoring the property and setting up an upmarket restaurant. That was around 2007 and it worked for a number of years but subsequent owners failed. Until Paolo Tisi bought it and renamed it Osteria A Mano. Although not in the centre of town, the Old Wyong Milk Factory on the edge of the Wyong River, established in 1906, has been refurbished and saved by David Hannan whose family has links with Wyong that go back more than a hundred years. It is now a well-known tourist destination with a unique offering drawing in thousands of visitors each year.
The Art House Wyong – Photo courtesy Central Coast Council In more recent years builder Matthew Lusted, whose family came to Wyong in the 1950s and set up a building business, acquired the old art deco former Rural Bank building and has bought it back to its former condition. In place of the street level banking chamber is Motel Mezza restaurant that is attracting a new up market clientele. Seven years ago Mr Lusted acquired a largely untenanted arcade in in Alison Road refurbishing the property and encouraging new business owners to get established often giving them rent holidays. This has been highly successful with six new businesses servicing a growing daytime trade. Wyong’s many heritage buildings from this past era that still survive to this day are now seen to be an asset in terms of creating opportunities for businesses who see the benefits of highlighting the town’s history and creating a unique atmosphere that is attracting a new demographic with money in their pockets looking for good food and entertainment. Former Wyong Council Mayor Doug Eaton for many years had a vision for Wyong to have its own performing arts centre. Under his watch prior to the amalgamation of council he pursued this vision and the Art House Wyong with seating for 500 was opened in May 2016 at a cost of $12.7 million. It has proved to be an enormous success bringing in national and international groups attract-
ing large number of people into the town on a weekly basis. About six years ago well known actor and entertainer Marnie McQueen and her partner Frank Arangio acquired the historic Royal Hotel in Wyong and refurbished it. With regular weekly music hall shows and other entertainment the Royal has become a popular destination adding to Wyong’s nightlife. As success breeds success more businesses are now looking at establishing in Wyong, particularly cafes and galleries. Meanwhile, the headquarters of Central Coast Council is now located in Wyong an asset that attracts people needing to do business with council as well as supporting a large number of employees. Commenting on Wyong’s future Wyong Business Chamber President Matthew Lusted said, “we are advocating that Council actively address the housing and business/retail space shortages around our key Bus and Rail public transport infrastructure and that we grow our town centre here in Wyong out and up! This will mean re-casting the planning controls within and surrounding the Wyong CBD and to encourage Council to be seen as a progressive herald, to the inevitable population increases (as planned by successive state governments) which are coming to the Northern Growth Corridor of which Wyong is the centre.” CENTRAL COAST BUSINESS REVIEW OCTOBER 2023
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An overview of the Central Coast commercial property market – 2023
By Ty Blanch Principal, LJ Hooker Commercial Central Coast THE PAST 12 months has seen some interesting anomalies and a few records within the commercial property market on the Central Coast. Industrial property In Somersby, Tuggerah, Charmhaven, Warnervale, and to a lesser degree in many of the other industrially zoned locations where industrial land is still available, the prices have hit all-time highs. Average industrial land prices have stepped up over the past two decades from around $50 per square metre to an average high now of around $500 per square metre. In Morisset there are land sales being recorded as high as $700 per square metre.
The new Warner Business Park at Jilliby is about to see the first land release settled with development soon to commence and there are reportedly 65% of the land owners in this new estate seeking a new beginning for their business as owner occupiers. Building costs have increased significantly over the past three years. In conjunction with higher levels of demand for tradespeople, days in Council required for a development application to be approved, and the increasing interest rates which put additional pressure on developers withholding costs, it is no surprise that there are huge increases in the capital growth for factories and warehouses. We’re seeing prices now reach around $4000 to $5000 for finished quality industrial buildings in different parts of the Central Coast. Whilst the market has been exceptionally quick to respond to new release product in this part of the business property pie, inflation and the increasing costs of living are re-allocating funds away from business decisions to rush into new purchases just at the moment.
Anthony Scarcella Focus Marketing Area Specialist Gosford, Erina & Kincumber
Suite 401/1 Bryant Drive, TUGGERAH NSW 2259 CENTRAL COAST BUSINESS REVIEW OCTOBER 2023
People are more inclined to stay in their unit or larger premises until the increases with interest rates stabilise for a period of time. This is also true because business people have families homes and costs associated with living too, and they’re juggling both the business expenditure and revenue and the home expenditure and revenue ledgers at any given point in time. We are seeing still strong leasing markets, an improvement in quality based on new product to market, and this is lifting average rental rates slowly across the board. On the Central Coast there are still 40 and 50 year old factories available for lease as well as the new and improved designs with extra height and functionality. As a result leasing rates are showing signs of increasing from an average of approximately $80 to $100 per square metre net per annum, to approximately $120 to approximately $170/m2 per annum net for the newer and smaller areas. Ultimately the rate of capital growth of industrial land on the Central Coast has accelerated far beyond that of the rental rates which support any new development. This will create an interesting situation with
Begin with the No. 1 TOP OFFICE INTERNATIONALLY NUMBER OF SALES 2021 – 2022
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87 Mann Street, GOSFORD NSW 2250
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banks required to get valuations for funding based on the yield and the capitalised income which stems from the rent. There is no doubt in my mind that the leasing market across the Central Coast will have to change and rents will have to grow to provide a return for any new construction. As an example an industrial property owner wishing to get a 5% return on a building that cost in the order of $5000 per square metre, would need to achieve a rental of around $250/m2 per annum net. This is a long way from where we are at the moment, and so lower returns are being accepted by investors in some cases until the market improves. Yields for good quality industrial investments with long leases and quality tenants can still be found between 5.5% to 6.5% per annum net. End is still particularly strong for quality freehold industrial properties, and there is a comfortable entry point for industrial ownership between $400,000 and $500,000 + GST. Office Space There have been several larger office buildings constructed on the Central Coast over the past six years, each of them in varying economic and geographic environments. From Erina to Gosford and through to Tuggerah in the north, much of the office space available, but not all of it, has now been absorbed. The COVID-19 pandemic created an obvious shift in the workplace for staff in commercial offices worldwide. The disease created an immediate danger for people who work in close proximity with one another, at the suggestion of having office workers stay at home prevented transmission. As a result with a mandated by government or as instructed by cautious employers, the lion’s share of people who work in office buildings had the alternative to work from home. Whilst we have moved back to a different vantage point with perspective on the disease, many employees still prefer to work from home and will do so if their employer allows it. On the Central Coast as with many other economic hubs along the East Coast of Australia and around the world, most officers now have vacant space that was not empty before the pandemic. The result has seen subletting of office space increase and the general demand for new office buildings decrease. This is affected rents and my letting up periods for commercial offices longer. It has affected risk
and the appetite of investors to purchase these assets. As the Central Coast office market for sale and lease has improved over the past 18 months it can also be true to say that many businesses have decided to stay put rather than lease less space or more space as required. Currently yields for good quality office investments are sitting between approximately 5.5% to 6% net, with rents averaging from approximately $250 per square metre per annum net up to around $350.00 per square metre per annum net.
sales. Rents can still be between $1000 and $4000 a square metre per annum net depending on the location and the size of the shop, with medical uses often exceeding these very high rental levels depending on the use. Yields for retail investments are still relatively sharp at around the 6% mark, however certain classes of investments (including service stations and childcare which is often grouped with retail property) have been pinched at approximately 4.5% to 5.5% per annum net.
The Retail Market Many economists concentrate on inflation as the key indicator of activity in any economy. Business property is inextricably linked to economic activity. It is no doubt then when businesses monitor the regulatory interest rates in an environment they also suffer from uncertainty and this promotes hesitation with all segments of the commercial property market. Fewer decisions lead to fewer new buildings to satisfy future demand. Lower demand patterns tend to result in fewer transactions with both leasing and sale of business property. Retail trade covers the entire spectrum of goods and services that households need for the most basic through to the most luxurious of requirements. Across this spectrum, retail property is used to house businesses as such for needs and wants. As the requirement for the good or service becomes more ‘a desire’ than ‘a need’, the disposable income of the consumers is reallocated to such things as rent, food, petrol, and energy. On the Central Coast they have been many retail premises leased and sold within the past two years also on the back of the pandemic and the effects it had on circulation and spending, but also importantly as a result of a changing disposable income within households. We’re still seeing rents for retail property in strip shop format sitting around the $300 to $400 a square metre per annum net range, with shops still available in some locations for between $3000 to $4000 per square metre + GST. The larger retail outlets on the Central Coast are typically managed by listed companies or larger private companies, and to lease space in a Supercentre, at Erina Fair or within a Westfield Shopping Town is the only way that you can secure Tanya for a space to run a business as these properties are not strata titled for individual shop
Conclusion In summary it is fair to say that the Central Coast has grown significantly and that as the population has reached over 350,000 people we have become more like a small city than a regional town. Business property across the Central Coast is growing in value and there are various drivers that will continue to see these classes of assets become worth more constantly and continually into the future. We are certainly experiencing a slight reduction in the number of property transactions across the region as the result of increasing inflation and the counteractive interest rates which are being applied to control the inflation. As interest rates have increased yields have become slightly higher and we predict that is long as interest rates stay high the demand for investment properties will be affected. Interest rates have also applied pressure on all of the people who live on the Central Coast in different ways. Mortgages become more expensive which reduces the amount of additional income that can be saved for a business property or indeed to start up a new business which will need somewhere to operate from. On the Central Coast, leasing transactions and opportunities are still favourable for businesses looking to secure tenure for their business operations, without the need to tie up large amounts of capital in property purchases. The ‘fear of missing out’ has perhaps dwindled as new developments have been slowed in getting out of the ground with changing funding requirements and ‘off-plan sales’, but I would caution people looking at buying commercial property that this slight blip on the radar will not be there for very long and that we can expect prices to continue to rise over the next decade.
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Gosford lawyers lease in Fountain Plaza Erina
Power tool importer leases in Platinum Erina
Long established Gosford lawyers, Brazel Moore Lawyers will relocate into the former Westpac Regional Banking branch in Fountain Plaza, Erina after signing a 5 year lease with two 5 year options. Rent for the 351 sqm office space is
$147,420 per annum with CPI increases plus Outgoings and GST. Brazel Moore is one of the longest established law firms in Gosford since 1981. Nicole Barr from Co0mmercialhq negotiated the lease.
Mariners leases additional space Central Coast Mariners have leased Suite GO2/1 a 242 sqm open plan office space in the Mariners Centre of Excellence Building in Bryant Drive, Tuggerah. Terms of lease are 5 years with 2 x 5 year options at a rental of $104,000 per annum plus Outgoing and GST. Robert Bose from LJ Hooker Commercial Central Coast negotiated the lease.
Tobacconist leases at Ettalong Beach A tobacconist has leased a 120sqm retail space at 11-13 Broken Bay Road, Ettalong Beach Terms of lease are 5 years with 5 year option at a rental of $50,000 per annum plus Outgoings and GST. Ben Purdue from LJ Hooker Commercial Terrigal negotiated the lease.
CENTRAL COAST BUSINESS REVIEW OCTOBER 2023
Power tool importer, Positec Australia, has leased suites 3.20, 3.21 & 3.23 in the West Wing, Platinum Building, Erina with a total area of 390 sqm including a full fitout. The fitout comprises boardroom, executive offices, open office area and reception. Positec markets the Worx range of hand tools and machinery. Terms of lease are 2 years with no option at a rental of $132,600 plus Outgoing and GST, rent increases greater of CPI of 3% with one month rent free. The previous occupier was Sue Mann Nursing and Community Care. Nicole Barr from Co0mmercialhq negotiated the lease.
PROPERT Y NEWS
East Gosford investment property sold at auction
The unit comprises mezzanine and 3 car space The sale was negotiated by Brett Hunter from DiJones Commercial Platinum Erina office suite sold
Offered for the first time since it was built in the 1970s the East Gosford newsagency and post office sold at auction in late September for $2,230,000 (GST not applicable) after four registered bidders fought to get ownership. Located in the centre of the East Gosford shopping strip the property at 63-55 Victoria Street has rear lane access and comprises 280sqm retail Victorian investor buys Kanwal retail property
space, 80sqm back office and storage and 60sqm garage and amenities. The property is currently leased on a 5 year term expiring 31 January 2024 at a rental of $107,800 plus Outgoings per annum plus GST with the tenant not renewing at the termination of the lease. Karen Aubrey from LJ Hooker Commercial Central Coast said that there were four registered bidders all of whom were keen to buy. John Meares from DiJones Commercial negotiated the sale. Investor buys in East Gosford
An investor from Melbourne has purchased Shop 9 in the Kanwal shopping complex at 258 Wallarah Road, Kanwal paying $970,000 (GST not applicable). The 124sqm takeaway shop has been operating as a food outlet since 1989. The property was sold with a 5 year lease with 2 x 5 year options at a current rent of $58,813 per annum. Agent Mark Davies negotiated the sale. Owner Occupier buys Tuggerah industrial unit An owner occupier has purchased Unit 8 in an industrial complex of 12 units at 3 Fleet Close, Tuggerah Business Park. Price paid for the 198 sqm unit was $550,000 (GST not applicable).
A local investor has paid $1,650,000 (GST not applicable) for a commercial property at 61 Webb Street, East Gosford. A commercial tenancy is in place with a 5 year lease that commenced March 2020 plus 5 year option at a rental of $72,577 per annum plus outgoings with CPI rises and GST. Additionally a residential tenancy attracts an ongoing rental of $14,560 per annum. Agent Brad Rogers negotiated the sale. Owner Occupier buys unit at The Sawmill An owner occupier has paid $965,000 plus GST for a 224sqm warehouse unit in The Sawmill Erina complex.
An owner occupier has bought Suite 3.11 in the East Wing at Platinum Erina. Price paid for the 119 sqm suite with balcony and full fit-out was $900,000 (GST not applicable) Nicole Barr from Commercialhq negotiated the sale. Sydney investor buys Gosford retail unit on 5.41% return A Sydney investor has paid $600,000 (GST not applicable) for Shop 8, 131 Henry Parry Drive, West Gosford. The property 145sqm space is leased to the developers of the Vue Mer residential development in Gosford and is used as a Display Suite. The sale was negotiated by Ben Purdue from LJ Hooker Commercial Terrigal who said the price reflected a net return of 5.41% per annum. Off-market sale for Tuggerah industrial property A long term tenant of a freehold property at 115 Gavenlock Road, Tuggerah has acquired the property in an off-market sale for $1.9 million (GST not applicable). The property comprises a 1,400 sqm 40 year old warehouse on a 2,694 sqm lot with large concrete hardstand area. Brett Dowling and Ty Blanch from LJ Hooker Commercial Central Coast negotiated the sale. Owner occupier buys Somersby unit An owner occupier has purchased Unit 9 at 54 Gindurra Road, Somersby through their SMSF paying $630,000 (GST not applicable) at auction. The 187 sqm warehouse unit comprises 43 sqm mezzanine office space plus amenities. Karen Aubrey from LJ Hooker Commercial Central Coast said, “ The unit is part of a 12 unit complex built about eighteen years ago. CENTRAL COAST BUSINESS REVIEW OCTOBER 2023
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FUNNY BUSINESS
THREE MEN ARE talking in a Soviet gulag. One of them asks the two others: “So what did you do?” The first one answers: “Well, I arrived late at the factory, and so they accused me of slowing down the Revolution and the victory of the Proletariat.” The second one answers: “Well, I arrived early at the factory, and so they accused me of wanting to be favoured and promoted over my fellow workers.” Then they turn to the one who asked the question: “How about you, then?” “Well, I arrived at the factory right on time, and so they accused me of having a watch from the West.” A politician visited a remote little rural village and asked the inhabitants what the government could do for them. “We have two big needs,” said the village headman. “First, we have a hospital but no doctor.” The politician whipped out his mobile phone, spoke for a while and then said: “I have sorted it out. A doctor will arrive here tomorrow. What is your other need?” “We have no mobile reception at all in our village.” A man buys a parrot and brings him home. But the parrot starts insulting him and gets really nasty, so the man picks up the parrot and tosses him into the freezer to teach him a lesson. He hears the bird squawking for a few minutes, but all of a sudden the parrot is quiet. The man opens the freezer door, the parrot walks out, looks up at him and says, “I apologize for offending you, and I humbly ask your forgiveness.”
The man says, “Well, thank you. I forgive you.” The parrot then says, “If you don’t mind my asking, what did the chicken do?” An elderly gent was invited to his old friends’ home for dinner one evening. He was impressed by the way his buddy preceded every request to his wife with endearing terms-Honey, My Love, Darling, Sweetheart, Pumpkin, etc. The couple had been married almost 70 years, and clearly they were still very much in love. While the wife was in the kitchen, the man leaned over and said to his host, “I think it’s wonderful that, after all these years, you still call your wife those loving pet names.” The old man hung his head. “I have to tell you the truth,” he said, “I forgot her name about 10 years ago.” Two sociologists are sitting by the pool. One turns to the other and asks, “Have you read Marx?” The other replies, “Yes, it’s these damn wicker chairs.” During a recent password audit by a company, it was found that an employee was using the following password: MickeyMinniePlutoHueyLouieDeweyDon aldGoofyCanberra” When asked why they had such a long password, they rolled their eyes and said: “Hello! It has to be at least 8 characters and include at least one capital.” “Doc, you gotta check my leg. Something’s wrong. Just put your ear up to
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my thigh and you’ll hear it!” exclaimed the patient. The doctor cautiously placed his ear to the man’s thigh only to hear, “Gimme 20 bucks, I really need 20 bucks.” “I’ve never seen or heard anything like this before, how long has this been going on?” the doctor asked. “That’s nothing Doc, put your ear to my knee.” The doctor put his ear to the man’s knee and heard it say “Man, I really need 10 bucks, just lend me 10 bucks!!” “Sir, I really don’t know what to tell you, I’ve never seen anything like this.” The doctor was dumbfounded. “Wait Doc, that’s not it. There’s more, just put your ear up to my ankle,” the man urged him. The doctor did as the man said and was blown away to hear his ankle plead, “Please, I just need 5 bucks. Lend me 5 bucks please if you can.” I have no idea what to tell you, the doctor said. “There’s nothing about it in my books,” he said as he frantically searched all his medical reference books. “I can make a well-educated guess though. Based on life and all my previous experience I can tell you that your leg appears to be broke in three places.” The world’s leading expert on European wasps walks into a record shop. He asks the assistant “Do you have ‘European Vespidae Acoustics Volume 2? I believe it was released this week.” “Certainly,” replies the assistant. “Would you like to listen before you buy it?” “That would be wonderful,” says the
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expert, and puts on a pair of headphones. He listens for a few moments and says to the assistant, “I’m terribly sorry, but I am the world’s leading expert on European wasps and this is not accurate at all. I don’t recognise any of those sounds. Are you sure this is the correct record?” The assistant checks the turntable and replies that it is indeed European Vespidae Acoustics Volume 2. The assistant apologises and lifts the needle onto the next track. Again the expert listens for a few moments and then says to the assistant, “This is outrageous false advertising! I am the world’s leading expert on European wasps and no European wasp has ever made a sound like the ones on this record!” The manager of the shop overhears the commotion and walks over. “What seems to be the problem, sir?” “This is an outrage! I am the world’s leading expert on European wasps. Nobody knows more about them than I do. There is no way in hell that the sounds on that record were made by European wasps!” The manager glances down and notices the problem instantly. “I’m terribly sorry, sir. It appears we’ve been playing you the bee side.”
Why haven’t aliens visited our solar system yet? They checked the reviews... but we only had one star. A woman walked up to a little old man rocking in a chair on his porch. “Sir, I couldn’t help but notice how happy you look this morning,” she said. “Tell me, what’s your secret for a long, happy life?” “I smoke three packs of cigarettes a day,” he replied. “I also drink a case of whiskey every week, eat fatty foods, and never exercise.” “That’s amazing!” she exclaimed. “How old are you?” “Twenty-six.” An accountant dies and goes to Heaven. He reaches the pearly gates and is amazed to see a happy crowd all waving banners and chanting his name. After a few minutes St. Peter comes running across and says, “I’m sorry I wasn’t here to greet you personally. God is looking forward to meeting such a remarkable man as yourself.” The accountant is perplexed. “I’ve tried to lead a good life, but I am overwhelmed by your welcome,” he tells St. Peter.
“It’s the least we can do for someone as special as you are. Imagine, living to the age of 123 and still looking so young,” says St. Peter. The man looks even more dumbfounded and replies, “123 years old? I don’t know what you mean. I’m only 40.” St. Peter replies, “But that can’t be right we’ve seen your time sheets!” Two neighbours were talking about work, when one said, “Say, why did the foreman fire you?” The other neighbour replied, “Well, you know how a foreman is always standing around and watching others do the work. My foreman got jealous. People started thinking I was the foreman.”
Quote of the month “The pessimist sees difficulty in every opportunity. The optimist sees opportunity in every difficulty.”
Winston Churchill
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