Nedlands councillors’ concern was that the proposed $200,000 drainage grant could leave the City paying to address long-standing flooding while the development still benefited from a public car park—and without the car-park contribution identified in the existing arrangement. The figures were not directly comparable: the grant included GST, while the car-park contribution was quoted excluding GST.
What funding was being debated?
At a City of Nedlands briefing reported on 11 April 2024, the proposed Tawarri Hot Springs developers were appealing a development-approval condition requiring them to fund a new car park. In mediation connected to a State Administrative Tribunal matter, they offered instead to contribute $200,000, inclusive of GST, toward existing drainage problems along the foreshore and roadway.
The car-parking contribution under the arrangement was reported as $268,960, excluding GST. Because one amount includes GST and the other does not, the figures should not be treated as a like-for-like comparison. The core issue was also about purpose: the car-park contribution was associated with parking, while the proposed grant was earmarked for drainage.
Why did councillor Fergus Bennett object?
Bennett’s concern was that accepting drainage funding might create an expectation that the City would carry out the work. He warned that the $200,000 could be consumed almost entirely by the drainage problem, while the public car park used by Tawarri would remain and the expected car-park contribution would not be received. PerthNow quoted him saying, “By accepting that money, there is an expectation that something will be done.”
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In other words, the concern was not simply that the drainage grant was smaller than the parking figure. It was that the City might take on practical responsibility for remediation while the development continued to benefit from public parking. The April 2024 report said the car park would remain in use regardless of whether the City accepted the drainage money.
What did council decide?
PerthNow reported that on 23 April 2024, council unanimously accepted taking the developers’ $200,000 grant toward drainage works rather than the car-park contribution. City staff had recommended endorsing the deal, with resolution ultimately for the tribunal. This records council’s acceptance of the grant; it does not establish that the drainage works were completed or that the tribunal made a final determination.
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The City’s meeting agendas and minutes page provides access to council records, including the 23 April 2024 meeting.
How does the decision fit the City’s earlier drainage position?
Minutes from the City’s 22 August 2023 meeting record a 5–4 vote to adopt Option 6 as the preferred long-term stormwater treatment for the Tawarri car park. That option involved no modification or additional drainage infrastructure and no capital cost to the City. Council also asked the CEO to work with the developer during development to mitigate existing flooding and develop a holistic solution. The City’s published council minutes record that earlier resolution.
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What wider financial stakes were reported?
PerthNow’s 11 April 2024 report said City staff estimated that refusing the lease could cost ratepayers $1,167,200 to remediate the car park and drainage problems and remove the derelict facility. The report also attributed to City staff an estimated net benefit of more than $16 million to the area if the lease were approved. Both figures were estimates reported at the time, not actual spending or realised benefits.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.What was reported about the project later?
In an update published 21 May 2025, PerthNow described Tawarri Hot Springs as a proposed luxury day spa and wellness centre planned for a 5,508-square-metre Dalkeith riverfront site. It reported that the developer was seeking four more years to begin construction, citing increased construction costs. The project estimate was reported to have risen from $25 million to nearly $45 million.
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The same report gave the developer’s forecast of 142,000 patrons annually, including 14 per cent from overseas. Those are projections, not attendance figures. The reported material does not establish whether the requested extension was granted or whether construction subsequently began.
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