Council agrees to negotiate on sale of Bega Valley Regional Learning Centre

A formal offer of purchase was received for the BVRLC in Cabarita Place, Merimbula.

Owned by Bega Valley Shire Council, the offer comes six months after it was placed on the market with Sails Real Estate.

On Wednesday, June 7 councillors resolved to delegate authority to the CEO, Anthony McMahon and the mayor, Russell Fitzpatrick to negotiate a sale of Lot 210 DP 1181811 at 14 Cabarita Place, Merimbula, for a minimum value as determined in the closed session of the council meeting.

READ MORE:

Cr Fitzpatrick said basically councillors had agreed to sell the building subject to an agreed minimum figure and that figure would need to include GST.

Councillors agreed all other fees to finalise the matter would be paid by council from the proceeds of the sale.

Part of the motion agreed was that the remaining proceeds of sale be placed in an internally restricted property development and reinvestment reserve.

But Cr Fitzpatrick pointed out that internally restricted funds could be used to help balance the books at the end of the year, if needed, and so there was no guarantee they would remain available for any other use.

He said an agreement was imminent and once signed would not need to come back to council.

The BVRLC was purchased in 2015 with a loan of $1.45 million over 10 years.

Cr Fitzpatrick said the BVRLC generated an income of $160,000 but the repayments on the loan were $165,000 a year.

Our journalists work hard to provide local, up-to-date news to the community. This is how you can access our trusted content:

Sign up for our breaking news alerts and free weekly newsletter for the best in local news