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Ordinary Council Meeting – Agenda 16 February 2009<br />

10.2.2 LEASE OF LOT 6 - KARRATHA AIRPORT - WHEELER NOMINEES<br />

File No: PB/1/10<br />

Attachment(s) Nil<br />

Responsible Officer: Troy Davis<br />

Executive Manager Technical Services<br />

Author Name: Chris Fox<br />

Airport Manager<br />

Disclosure <strong>of</strong> Interest: Nil<br />

REPORT PURPOSE<br />

The purpose <strong>of</strong> this report is to advise Council <strong>of</strong> a change to a previously negotiated lease<br />

arrangement for part <strong>of</strong> Lot 6 (Freight Building West) being part <strong>of</strong> Karratha Reserve<br />

30948.<br />

Background<br />

Elkins Nominees previously held the contract for the Australian Air Express freight<br />

operations at Karratha Airport, a contract that commenced on 3 March 2007. The contract<br />

was previously held by Golden Eagle Airlines and when this arrangement ceased, Council<br />

approved the entering into a lease with Elkins Nominees for the partial lease <strong>of</strong> the freight<br />

building at Lot 6, Karratha Airport.<br />

Issues<br />

For various reasons, a lease between the <strong>Shire</strong> <strong>of</strong> <strong>Roebourne</strong> and Elkins Nominees has<br />

not been followed through to completion. The lease arrangements were part <strong>of</strong> Council<br />

Resolution 14190 at the Council Meeting on 20 August 2007 :<br />

Recommendation :<br />

That Council propose to enter into the following lease arrangements in accordance<br />

with s3.58(3) <strong>of</strong> the Local Government Act 1995;<br />

(a) Sanlea Pty Ltd to be <strong>of</strong>fered a new lease for ‘Freight Building East’, being part <strong>of</strong><br />

Karratha reserve 30948 and part <strong>of</strong> Lot 6 ‘Freight Building West’, specifically the<br />

cool-room, subject to surrendering their current lease for Lot 6 <strong>of</strong> part <strong>of</strong> Karratha<br />

Reserve 30948. The total lease area being approx. 104sqm.<br />

The lease will be <strong>of</strong>fered on a 3+3+3 year term and based on commercial valuation.<br />

(b) DBY3 Contractors to be <strong>of</strong>fered a new lease for part <strong>of</strong> Lot 6 ‘Freight Building<br />

West’, being part <strong>of</strong> Karratha Reserve 30948. Total lease area being approx. 100sqm.<br />

The lease will be <strong>of</strong>fered on a 3+3+3 year term and based on commercial valuation.<br />

(c) Elkins Nominees Pty Ltd to be <strong>of</strong>fered a lease for part <strong>of</strong> Lot 6 ‘Freight Building<br />

West’, being part <strong>of</strong> Karratha Reserve 30948. The total lease area being approx.<br />

500sqm.<br />

The lease will be <strong>of</strong>fered on a 3+3+3 year term and based on commercial valuation.<br />

<strong>Page</strong> 78

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