Council pays $6.3m for land, plans to move depot and sell major town block for housing

Kiama Council will pay more than $6 million for a parcel of land in the centre of town next to its current works depot.

As part of the $6.3 million acquisition of the Shoalhaven Street site, known locally as the old Big River or Cukuna property, council plans to move its depot operations to a purpose-built facility at its Minnamurra waste depot.

Mayor Cameron McDonald said the current works facility, which council had owned for nearly a century, had served as a hub for outdoor operations since the 1960s.

“However, after decades of incremental upgrades, the facility has reached its limits in terms of safety, functionality, and community value,” he said.

Council aims to rezone the Belvedere Street site for residential development in a bid to address the local housing shortage.

“This strategic move aligns with our broader goals of fostering responsible growth and addressing pressing community needs,” Cr McDonald said.

“We’re very excited to reimagine this site for residential use.

“It’s a suburban site that’s increasingly ill-suited to industrial operations, but is the ideal location to add much-needed housing.

“This is a big investment, but it’s also a big opportunity for our community.

“Our current depot site is outdated and no longer fit for purpose. By relocating to a custom-built facility at Minnamurra, we’re prioritising the safety of our hardworking staff, while also freeing up a valuable site here in the heart of Kiama for future development.”

However, the United Services Union (USU) has raised concerns over the financial viability of the decision.

The union’s Stuart Geddes said the current depot was built on a former gas works site and queried the cost of remediating the site to make it safe for residential purposes.

“While we are not opposed to the development of a new depot for staff at the current Minnamurra waste site, the concern we have is the council does not appear to have presented any costings regarding remediating the former depot site safe for residential construction,” he said.

“The council hasn’t presented the cost of doing any of this and there is no way of even telling if this decision will make commercial sense let alone leave enough money to fund a new facility at Minnamurra.

“We have had this council crying poor for the last two to three years and selling off assets at a whim, so it is concerning that they have also announced they are spending $6.3 million to purchase land adjacent to the old depot to develop.”

Mr Geddes said there had been no consultation with staff before the decision was announced.

“For us it appears that the council should be providing further detail and if the costings and consultation haven’t taken place the decision may have jumped the gun,” he said.

Kiama Council CEO Jane Stroud said there were still “lots of processes to be worked through”, which included rezoning, masterplanning, design, environmental reports, safety inspections and workforce matters.

“All that said, this is a strong strategic decision, and our workforce has welcomed the news and looks forward to the opportunities this move will open up,” she said.

Cr McDonald said the purchase would be paid over three years, “ensuring fiscal responsibility while enabling a smooth transition for council operations”.