RESIDENTS around Haig Park Circle bought in thinking a restrictive covenant would keep nearby land as a car park, but now a developer wants a 60-unit block on the site.
Subiaco-based Kingsway Pty Ltd bought the 2233sqm site from the East Perth Redevelopment Authority for a song, paying just $205,000 precisely because the covenant restricted its development potential to a car park.
Land in the area with no restrictive covenant is worth around ten times what Kingsway paid ($92/sqm).
Locals are crying foul over Kingsway’s bid to develop the land, with 350 signing opposition petitions. Paul Gabb wrote to Perth city council saying when he’d bought his property he was told the biggest building that would ever go up was a two-storey carpark, not a six-level unit block.
“Its scale, bulk, mass and proposed change of use leaves this a very unsuitable development for that location,” he says.
“Whatever lipstick or brows are smeared or wrapped around this proposal, it remains a pig! Sorry, I just cannot find kind words for this one.”
Kingsway has engaged law firm Lavan Legal for advice on how to remove the covenant.
Lavan says it can ask the PCC for a scheme amendment, appeal to the supreme court or—the easiest option—get the Metropolitan Redevelopment Authority (which EPRA merged into) to agree to remove it.
Perth’s development assessment panel knocked back the project on planning grounds but even that could pave the way for a removal of the covenant if Kingsway appeals to the powerful state administrative tribunal.
Lavan’s advice states “an alternative strategy” would be “to engineer a review right in the SAT,” and then pull in the MRA to attend mediation and “agree on an appropriate solution”.
Perth lord mayor Lisa Scaffidi says the council hasn’t yet formally considered the issue.
MRA boss Kieran Kinsella said his board voted last month to keep the covenant, but is looking to handball responsibility to the Perth council.
by DAVID BELL
Perth Voice Interactive 
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