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Discussion Starter · #1 · (Edited)
I think this development is worthy of it's own thread now :)

Summary as at 21 July 2018:
  • Consortium for an NBL license has been formed, led by Justin Hickey and David Bartlett
  • Propose to buy and redevelop the Derwent Entertainment Centre
  • Glenorchy City Council has in principle agreed to negotiating sale of the DEC to the consortium
  • Consortium has plans to develop the area with a hotel and other hospitality type businesses
  • Name and branding for the NBL bid has been released - 'Southern Huskies'.









Some existing discussion here: https://www.skyscrapercity.com/showpost.php?p=150236795&postcount=1262 (Mods - is it worthwhile/possible to move these posts?)

Basketball team info:
Website: https://wethesouth.com.au/
Facebook: https://www.facebook.com/southernhuskiesbasketball/
Facebook: https://www.facebook.com/southernhuskiesfans/ (fan page but appears to have some insider info)
 

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A 140 room, four star hotel is a reasonable proposition for the redeveloped DEC. it would be nice if this could be combined with some private funds to finish off the GASP to MONA boardwalk and even the unrealised third stage of GASP.

I imagine the unspoken part of this plan is a substantial medium density residential component. If the light rail goes ahead, thus could be a great urban renewal catalyst, and a shrewd land purchase before values are improved, as well.
 

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Discussion Starter · #3 ·
A 140 room, four star hotel is a reasonable proposition for the redeveloped DEC. it would be nice if this could be combined with some private funds to finish off the GASP to MONA boardwalk and even the unrealised third stage of GASP.
It really would tie all that together well, wouldn't it? I'm also thinking of Wilkinsons Point and the movement to get a ferry network operating...

I imagine the unspoken part of this plan is a substantial medium density residential component. If the light rail goes ahead, thus could be a great urban renewal catalyst, and a shrewd land purchase before values are improved, as well.
Not too sure about that ... doesn't seem like the best spot for residential. It sounds like they want it to be a social/community hub more than private residential. It's also not really near the rail line (well, compared to other locations - nothing in the northern suburbs is really *that* far from the rail line)
 

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Not too sure about that ... doesn't seem like the best spot for residential. It sounds like they want it to be a social/community hub more than private residential. It's also not really near the rail line (well, compared to other locations - nothing in the northern suburbs is really *that* far from the rail line)
I’m fairly sure I saw a reference to residential development in one of the many Mercury articles about the proposal. Looks like the precinct is about a ten minute walk from the train line itself, but who knows where stations would be situated, so that might not mean much.
 

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The sale received second stage council approval last night, following the public comment period. Despite a petition against the sale, the vote in favour of divesting the DEC was unanimous.

Pending an acceptable offer being made (which they must have, from the unsolicited bid they received) the sale at this point is virtually guaranteed.

Edit: It’s worth noting that no other offers were made during the nominal EOI period which ran alongside the public notification period. I don’t think they appointed an agent or advertised it or anything. Presumably this will still need to happen in the next and final stage of the sale process.

That said, I don’t think it would be a terribly attractive asset as-is to many purchasers, like as a stand-alone entertainment centre. If council wanted to make the most they could from the sale they’d go and rezone the land now (or rather change the SAP) to make clear the development potential (if any) of the car park areas adjoining the DEC.
 

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To illustrate that point I went and had a look at the scheme. The current SAP covering the DEC and its car park sets an absolute height limit of eight metres for the area, and prohibits the construction of new buildings as extensions to the DEC (any structure must be freestanding). Good luck to Hydraplay and their plans for a 140 room hotel with that in place.

Maybe they will buy the land and bet they can get a rezoning application through. But the council would be better off to rezone it first themselves, and capture the improved value of the land as a higher sale price (and potentially competitive interest from other bidders).
 

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Discussion Starter · #7 ·
This has become less of a redevelopment and more of a building sale, but if anyone wants the current situation....


https://www.abc.net.au/news/2019-06-18/purchase-of-the-dec-to-get-tasmanian-nbl-team/11222566

Tasmanian NBL team one step closer as deal underway to buy Derwent Entertainment Centre
By Chris Rowbottom
Updated 23 minutes ago

The multi-millionaire owner of the National Basketball League is set to enter into an exclusive negotiation period with the Glenorchy City Council to buy the Derwent Entertainment Centre.

The ABC understands Larry Kestelman, who has owned the National Basketball League since 2014, wishes to purchase the Derwent Entertainment Centre (DEC) and Wilkinson's Point area for development, and base a Tasmanian NBL team out of a refurbished stadium.

Kestleman, who co-founded internet provider Dodo, is one of Australia's richest people, worth approximately $800 million.

A formal announcement from the Glenorchy City Council is expected in the coming days.

The sale of the DEC to the National Basketball League would all but confirm a Tasmanian team entering the national competition, but it's unclear as to who will own the licence for a team and when a side could take to the court.

Kestelman has met several times with the Glenorchy City Council and the State Government in the past few months, sparking speculation a Tasmanian team could be co-owned and operated by the Government and the league.

Last year, the Southern Huskies basketball consortium led by tech entrepreneur Justin Hickey and business partner Mike Sutton expressed interest in joining the league, and made an unsolicited bid to buy the sport and entertainment precinct.

But a falling out over the valuation of the centre with the council saw the Huskies withdraw their interest in purchasing the stadium.

The Huskies have since joined the New Zealand NBL where they hold a five-year licence agreement.

In April, the council voted unanimously to combine the nine-hectare Wilkinson's Point parcel of land with the Derwent Entertainment Centre in a bid to maximise the site's appeal to prospective buyers.

The NBL is looking to rapidly expand its competition and brand.

A licence has already been granted for a South-East Melbourne team, while the Illawarra Hawks and the New Zealand Breakers have landed high-profile American prodigies LaMelo Ball and RJ Barrett for the upcoming season.
 

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That is very interesting news! The DEC/WP would make a good sports and hospitality precinct, with a mid-range hotel and medium density resi to fill out the site.
 

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Will make the long awaited state basketball centre more likely if this becomes a basketball focused site. Looking forward to seeing this site developed.
Would love to see an indoor multipurpose velodrome built on the site like what was done here https://www.stadiumsouth.co.nz
I'm probably dreaming but they did it with a population of only 50,000.
 

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Discussion Starter · #10 ·
https://www.themercury.com.au/reale...t/news-story/74de398bdf149eefc2252f4e385a2907

NBL boss has grand visions for his $200 million redevelopment of Wilkinsons Point
After winning the rights to deal exclusively with the Glenorchy City Council, Larry Kestelman reveals components of his huge proposal to help make the area a destination mecca.

ADAM SMITH, Mercury
Subscriber only

33 minutes ago

PROPERTY magnate Larry Kestelman plans to turn Wilkinsons Point into a Southbank-style precinct that will drive seven-days-a-week traffic in the area.

The NBL owner, who will spend the next four months negotiating with the Glenorchy City Council about his proposed $150-$200 million redevelopment, believes his vision will become a destination mecca for locals and tourists.

Speaking exclusively to the Mercury, Mr Kestelman said he will be funding the redevelopment himself, with his request for government assistance solely for the purpose of upgrading the Derwent Entertainment Centre and running a Tasmanian NBL team.

“Considering you have Mona across the ditch, you have a beautiful area that walks around to that, I think that you need the two to get linked and I think we can definitely turn it into a destination and a precinct,” he said.

“I see it having a component of sport and community, entertainment, food and beverage, and we see an opportunity to create some really great public space around the end [of Wilkinsons Point].

“If you have a look at places like the riverbanks of Melbourne, the riverbanks of Brisbane, I think there’s really an opportunity to do something a little special there that will drive seven-days-a-week type activation in the area.”

A hotel will also form part of the development, while Mr Kestelman will explore avenues for a ferry stop for passengers coming from the city.

Glenorchy Mayor Kristie Johnston said while there was interest from other parties regarding the 9ha parcel of land — which when combined with the DEC totals 16ha — they didn’t have the scope to deliver what Mr Kestelman could.

“Mr Kestelman’s calibre is of a nature that he can actually achieve the kind of things he says he wants to do on that site,” Ms Johnston said on triple MMM.

Ball now in state’s court
A TASMANIAN “global standard” team will be back on the NBL court by 2021-22 if the State Government will assist a refurbishment of the Derwent Entertainment Centre.

Following the Glenorchy City Council’s decision on Monday night to deal directly with league boss Larry Kestelman on the sale of the DEC and Wilkinsons Point, Mr Kestelman will now turn his attention to negotiations with Premier Will Hodgman.

Mr Kestelman has told the Mercury he requires funding to bring the dated venue up to world-class standard, as well as an ongoing yearly commitment for the 10th licence.

The successful property entrepreneur will fund a proposed $150-$200 million redevelopment on Wilkinsons Point himself.

If he can strike a deal with the Government, it will end a 25-year hiatus for the state at the elite basketball level following the demise of the Devils in 1996.

“We’re aggressive human beings and we’re certainly going to try to make it happen as quickly as we can, but it’ll be either that season [2020-21] or the one after,” Mr Kestelman said.

“This development definitely cannot happen and the team cannot come to a place like Tasmania without Government support. We’ve had very, very positive initial conversations with the Government. We will need their help both with the DEC and the team itself.

“The team we envisage putting into Tasmania needs to be of a global standard, not just good enough to play in Australia.”

He said two factors needed to be finalised — commercial dealings with Glenorchy City Council and a support package from the State Government.

A figure of between $10 and $20 million is believed to be required to upgrade the DEC, which would include increasing seating capacity to 5000 and building a multipurpose facility with five or six courts.

Mr Kestelman, who will return to Hobart next week to continue talks with the Government, is confident that if funding is secured it would take 12 months to complete the process.

“The Tasmanian Government is very supportive of our state securing a licence to participate in the NBL,” Mr Hodgman said.

“While the divestment of the Derwent Entertainment Centre is a matter for the Glenorchy City Council, we will carefully consider any proposal that is put forward to the Government that is in the best interests of basketball in Tasmania and the wider Tasmanian community.”
 

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A render would be nice...

This doesn’t smell right to me, but we’ll see what comes of it. I wonder how anyone can negotiate a property sale which is contingent on $$$ in grants from another level of government? Can GCC factor that nice little perk in to the land’s sale price?

The site is clearly great for medium density resi plus budget hotel, and a ferry stop is certainly worth thinking about if enough residents and visitors can be brought in to support it. I’d rather see new GCC development be geared towards the viability of the rail corridor, though.

Besides, I don’t really want this guy scooping up government help when MONA’s much more exciting vision goes wanting, which is also more generous to the public with its theatre and library. Let’s see that one start first.
 

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Today's "news"...


NBL boss turns to Mona architects to help deliver vision for Southbank-style precinct
ADAM SMITH, Mercury
August 6, 2019 6:00am
Subscriber only
NBL owner Larry Kestelman has engaged the architect who brought Mona to life to help create his potential Wilkinsons Point precinct masterpiece.

Mr Kestelman, who is in exclusive negotiations with the Glenorchy City Council to purchase Wilkinsons Point and the Derwent Entertainment Centre, is back in Tasmania as the fixture for next month’s pre-season Blitz is released.

Striking a deal with the GCC for the DEC and surrounding land — and obtaining Government support to refurbish the building — will almost certainly pave the way for the state to obtain the NBL’s 10th licence.

Mr Kestelman has already revealed his vision of turning Wilkinsons Point into a Melbourne or Brisbane Southbank-style heartland and Nonda Katsalidis, who collaborated with David Walsh to create Mona, will be involved in the huge project.

“What we need to understand is what can we build as a precinct around the DEC so one question is the DEC itself, but also what else can be done as a precinct that makes it commercially viable and makes sure that it’s a vibrant, alive product,” Mr Kestelman said.

“So that’s what we’re doing now, we’ve engaged architects, the same architects that have done Mona, and they are currently doing an assessment of Wilkinsons Point and what that should that look like.

“That’ll be the process that we’re going to go through with council to … make sure that we’re all on the same page and they’re comfortable with what we have envisioned for it and the community is supportive of the vision.”

Mr Kestelman has also met with numerous corporate heavy hitters in the past few weeks to establish what role local business could have in Tasmania’s potential NBL team.

He said talks with all parties are progressing well.

“We are doing work with the business community, meeting business leaders to understand what do they want out of a team and can that can be sustainable, because without corporate support it won’t happen.

“I think they are definitely keen, they’re just waiting now to see what the proposals will look like and what can we deliver for them.”
 

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Good PR move to get Fender Katsalidis on board, though it also sets expectations fairly high. This project just can’t be that big in that location.
 

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^^ Agree. Maybe there's a secret side agreement with the TRC to hand over some of the excess land at Elwick for rcomplementary redevelopment like medium density housing, commerical or retail...would make a lot sense for both parties. Bit like what the Royal Hobart Show Society did with the Bunnings development.
 

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https://www.wilkinsonspoint.com.au/



No renders, just a Pinterest inspo board of a website. Looks alright, but with no resi component, I wonder if and how it’ll all be funded and built. Also, the hotel component (unspecified in scale, but reasonably high end) is all there is to anchor the evening activities times other than ‘game day.’
 

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Discussion Starter · #16 ·
Thanks Tasmanian. I had a bit of a read through the site. I notice the commercial side of things has a bit of a sport/activity related theme - but across a wide spectrum - like a sports bar and brewery, indoor rock climbing, and a kids play/activity centre. Also indoor skiing and indoor skydiving, which is a bit out of left field!

Great to see using the site as a park-and-ride area has been mentioned too - seems obvious that big events will have an evening/weekend focus, so this will keep the area busy the rest of the time. Wilkinsons Point makes an obvious ferry terminal too - either for special events, or as part of a public transport system.
 

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On balance I don’t really like this. Or at least, I think the public benefit is really meagre vs the amount of taxpayer funds being sought to refurbish the DEC.
 
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