Tasmanian Business Reporter September 2018
Welcome to the September edition of the Tasmanian Business Reporter. After a crazy week in Federal politics, this month you'll read about the Tasmanian Chamber of Commerce's request to new Prime Minister Scott Morrison for action on more than $133 million of promises made to Braddon in July's by-election. You'll also find details of Tasmania's construction boom, which is predicted to continue for the foreseeable future, the launch of I-PREP, a University of Tasmania program set to align businesses with talented international students and a powerful column from TCCI Chair Susan Parr reinforcing the Chamber's call for local council amalgamation.
Welcome to the September edition of the Tasmanian Business Reporter.
After a crazy week in Federal politics, this month you'll read about the Tasmanian Chamber of Commerce's request to new Prime Minister Scott Morrison for action on more than $133 million of promises made to Braddon in July's by-election.
You'll also find details of Tasmania's construction boom, which is predicted to continue for the foreseeable future, the launch of I-PREP, a University of Tasmania program set to align businesses with talented international students and a powerful column from TCCI Chair Susan Parr reinforcing the Chamber's call for local council amalgamation.
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SEPTEMBER <strong>2018</strong><br />
T A S M A N I A’ S L E A D I N G B U S I N E S S P U B L I C A T I O N . C I R C U L A T I O N 12,000 M O N T H LY<br />
SHOW US<br />
THE<br />
MONEY<br />
An artist’s impression of the Devonport City<br />
Living Project which has been promised $10 million.<br />
Chambers call for action<br />
on by-election promises<br />
By TOM O’MEARA<br />
ONE of the first items to come<br />
across new Prime Minister Scott<br />
Morrison’s desk will be a letter<br />
from the <strong>Tasmanian</strong> Chamber of<br />
Commerce and Industry requesting<br />
action on more than $133 million<br />
of promises for Braddon.<br />
The staggering list of 27 commitments<br />
(see page 2) were<br />
made during the Super Saturday<br />
by-election campaign and start<br />
from the $30 million for assisting<br />
construction of the Cradle Mountain<br />
cableway project down to<br />
$20,000 for upgrades of the Irishtown<br />
Community Centre.<br />
The TCCI and three North West<br />
Chambers are putting pressure on<br />
Mr Morrison and his new ministers<br />
to release the timing of the<br />
infrastructure and community developments<br />
on the massive list.<br />
TCCI CEO Michael Bailey<br />
said with the support of Burnie,<br />
Devonport and Cradle Coast<br />
Chambers, the heat would be on<br />
the Government from now until<br />
the Federal election.<br />
Prime Minister Scott Morrison<br />
And while successful Labor<br />
candidate for Braddon, Justine<br />
Keay, doesn’t have to answer for<br />
the Opposition’s commitments<br />
she is working very hard for her<br />
electorate.<br />
In question time on August 16,<br />
in the House of Representatives,<br />
Ms Keay asked the Prime Minister<br />
and the appropriate Ministers,<br />
for a timeline<br />
around when<br />
each of the 27<br />
commitments<br />
would be<br />
honoured and<br />
if not, why<br />
not?<br />
The questions<br />
are unanswered<br />
at<br />
this stage but<br />
it is now on<br />
the agenda<br />
which is significant.<br />
Mr Bailey<br />
said the<br />
days of fake<br />
promises<br />
and commitments<br />
were now of the past and<br />
the Chamber movement would be<br />
holding government to account.<br />
“These commitments are in<br />
stone regardless of the individual<br />
changes in prime minister and<br />
ministers,” Mr Bailey told the <strong>Tasmanian</strong><br />
<strong>Business</strong> <strong>Reporter</strong>.<br />
Continued page 2<br />
How<br />
TCCI<br />
MEMBERSHIP<br />
benefits your business<br />
The <strong>Tasmanian</strong> Chamber of Commerce<br />
and Industry is an independent<br />
membership organisation that<br />
positively leads and supports the<br />
<strong>Tasmanian</strong> business community.<br />
TCCI provides valuable support to its members<br />
through advocacy and a range of programs<br />
and services including:<br />
> Customised membership to achieve<br />
your business objectives<br />
> Workplace relations advice<br />
> Workplace health and safety<br />
> Networking and promotion<br />
> Training and workforce development<br />
> Events<br />
<strong>Tasmanian</strong> Chamber<br />
of Commerce and Industry<br />
Hobart | Launceston<br />
Ph: 1300 559 122 www.tcci.com.au<br />
JOIN TODAY!
2 <strong>Tasmanian</strong> <strong>Business</strong> <strong>Reporter</strong> - SEPTEMBER <strong>2018</strong><br />
NEWS<br />
High hopes for pilot school<br />
THE odds have shortened<br />
for Launceston to become<br />
home to hundreds<br />
of pilot trainees after Qantas<br />
announced its $20<br />
million Pilot Academy<br />
would be built across two<br />
locations.<br />
Nine regional cities<br />
across Australia – Alice<br />
Springs, Bendigo, Busselton,<br />
Dubbo, Launceston,<br />
Mackay, Tamworth,<br />
Toowoomba and Wagga<br />
Wagga – have been shortlisted,<br />
with a decision imminent.<br />
Plans for the Qantas<br />
Group Pilot Academy<br />
were announced in February<br />
this year and it’s<br />
expected the first site will<br />
be operational during<br />
2019 with the second site<br />
expected to be operational<br />
in 2020.<br />
Qantas Group CEO<br />
Alan Joyce said that initial<br />
scoping had shown<br />
that two locations would<br />
be needed to reach the<br />
academy’s potential.<br />
“We’re aiming to train<br />
up to 100 pilots in year<br />
one but we expect this to<br />
grow to as many as 500 a<br />
year and that can only be<br />
achieved if we have more<br />
than one location,” Mr<br />
Joyce said.<br />
Launceston Airport is in the running as one<br />
of the locations for the planned Qantas Pilot<br />
Academy.<br />
“Adding up to 250<br />
students plus instructors<br />
and support staff to any<br />
of these places needs<br />
the right infrastructure at<br />
airports, but also in the<br />
towns themselves.<br />
“The academy represents<br />
a commercial opportunity<br />
for Qantas, but<br />
it’s also important for the<br />
future of Australian aviation.<br />
“We expect that pilots<br />
completing their training<br />
with the academy could<br />
fly for other airlines, the<br />
defence force or services<br />
like the Royal Flying<br />
Doctors.”<br />
The academy is part of<br />
the Qantas Group’s plans<br />
to build a long-term talent<br />
pipeline for its airlines<br />
and the broader industry<br />
to meet the increasing<br />
need for skilled aviators.<br />
Boeing’s latest estimates<br />
show that 790,000<br />
more pilots will be required<br />
globally over the<br />
next 20 years, around one<br />
third of them in Asia Pacific.<br />
e dition<br />
T A S M A N I A’ S L E A D I N G B U S I N E S S P U B L I C A T I O N . C I R C U L A T I O N 1 2 , 0 0 0 M O N T H LY<br />
<strong>Tasmanian</strong> <strong>Business</strong> <strong>Reporter</strong> can now be delivered directly to your inbox. With our 30,000-strong monthly print<br />
readership, our new up-to-date digital distribution will keep <strong>Tasmanian</strong>s abreast of the all latest in local business<br />
news. From this month we will distribute electronic editions of the <strong>Tasmanian</strong> <strong>Business</strong> <strong>Reporter</strong> as we go to print.<br />
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T A S M A N I A’ S L E A D I N G B U S I N E S S P U B L I C A T I O N . C I R C U L A T I O N 12,000 M O N T H LY<br />
Tasmania’s business newspaper is published monthly by the<br />
<strong>Tasmanian</strong> Chamber of Commerce and Industry. It is distributed<br />
to businesses in Tasmania as well as key decision-makers.<br />
Circulation: 12,000<br />
Chambers call for<br />
action on pledges<br />
From page 1<br />
“We will also be reminding<br />
Opposition<br />
Leader Bill Shorten of<br />
his very generous and<br />
creative commitments<br />
for Braddon if his party<br />
wins the up-coming<br />
Federal election.”<br />
Mr Bailey said the<br />
TCCI, the NW Chambers<br />
and the national<br />
body, the Australian<br />
Chamber of Commerce<br />
and Industry have played<br />
a role to bring business<br />
back to the agenda.<br />
“Local issues are<br />
where the power sits<br />
at elections and we are<br />
playing a major a role for<br />
our members, listening<br />
to their issues and opportunities<br />
that governments<br />
overlook, or are simply<br />
unaware of.<br />
“The forums we have<br />
held before the by-election<br />
were terrific because<br />
we heard the questions<br />
that our members and<br />
the community wanted,<br />
not just froth from candidates<br />
and their leaders.<br />
“We recently had a<br />
constructive brief of the<br />
Braddon by-election and<br />
I can guarantee that the<br />
chamber will be very active<br />
through the Federal<br />
election campaign.<br />
“Already ACCI has<br />
agreed to adopt our approach<br />
throughout the<br />
nation.<br />
“But the big win for<br />
Tasmania is we will introduce<br />
the <strong>Tasmanian</strong><br />
issues which were lost in<br />
the last Federal election<br />
and left Tasmania without<br />
a government seat.<br />
“We need to bring<br />
business to the forum<br />
and will do this city by<br />
city, town by town and<br />
region by region,” Mr<br />
Bailey said.<br />
o<br />
o<br />
o<br />
o<br />
o<br />
o<br />
o<br />
o<br />
o<br />
o<br />
o<br />
o<br />
o<br />
o<br />
o<br />
o<br />
o<br />
o<br />
o<br />
o<br />
o<br />
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Commitments<br />
Federal Government promises during the July by-election in<br />
Braddon<br />
$30 million towards construction of the Cradle<br />
Mountain cableway project<br />
$60 million for work on the Bass Highway between<br />
Wynyard and Marrawah<br />
$10 million toward work on the Murchison Highway<br />
$20,000 for upgrades to the Irishtown<br />
Community Centre<br />
$95,000 for new indoor training centre at Ulverstone<br />
District Cricket Club<br />
$200,000 for upgrades and safety measures to<br />
Wynyard BMX Park club.<br />
$60,000 for new electronic scoreboard at West Park<br />
before the start of the <strong>2018</strong>-19 cricket season<br />
$65,000 to Coastal Motocross Club before the<br />
National championships on <strong>September</strong> 30<br />
$300,000 to Devonport Gymnastics Club new facilities<br />
$500,000 for synthetic turf field, lighting and<br />
construction of junior areas at Montello Soccer grounds<br />
$3.4 million for flood barriers and walls at Latrobe township<br />
$50,000 for the consultation of location of two<br />
artificial reefs and fish aggregation devices in NW<br />
$700,000 to improve phone coverage in the<br />
West Coast Council region<br />
$750,000 to establish an advanced training centre in Burnie<br />
$2.4 million to UTAS Centre in Burnie for research<br />
to prevent health issues in the area<br />
$600,000 for new psychology service for Burnie<br />
$200,000 for additional complex mental health in<br />
far NW and King Is<br />
$4 million to Brave Foundation for a trial to reduce<br />
welfare dependency among young parents<br />
$3.9 million for job ready package for collaboration<br />
between business and TAFE up skill 600 NW <strong>Tasmanian</strong>s<br />
$1 million toward upgrade facilities at Meercroft, Devonport<br />
$2.5 million to Central Coast Council for Ulverstone<br />
Cultural Precinct<br />
$55,000 Ulverstone Rotary Club for storage and meeting place<br />
$301,320 for King Is childcare and early learning centre<br />
$10 million to Devonport City Council Living City project.<br />
$2.4 million for Devonport Mental Health Nursing service<br />
$1.6 million for mental health issues in Devonport<br />
and surrounding areas<br />
$25,000 to Ridgley Cricket and Football Clubs<br />
Managing Editor: Tom O’Meara<br />
0418 135 822<br />
Editor: Becher Townshend<br />
0418 370 661<br />
Advertising and Special Projects<br />
Gil Sellars 0448 901 371<br />
gil@thetrustedmediaco.com<br />
Editorial & Advertising<br />
TBReditorial@fontpr.com.au<br />
www.tasmanianbusinessreporter.com.au<br />
Publisher:<br />
<strong>Tasmanian</strong> Chamber of Commerce and Industry<br />
309 Liverpool St, Hobart, TAS 7000<br />
Ph: 6236 3600 Fax: 6231 1278 admin@tcci.com.au<br />
The Old Post Office, 68-72 Cameron St,<br />
Launceston TAS 7250<br />
Ph: 6331 1144 laun@tcci.com.au<br />
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Printer: Mercury<br />
Level 1, 2 Salamanca Square, Hobart, 7000
<strong>Tasmanian</strong> <strong>Business</strong> <strong>Reporter</strong> - SEPTEMBER <strong>2018</strong> 3<br />
Building<br />
activity<br />
through<br />
the roof<br />
TASMANIAN building<br />
approvals and construction<br />
activity are through<br />
the roof with statistics<br />
indicating the boom<br />
will continue for the<br />
foreseeable future.<br />
There are $1.8 billion<br />
worth of commercial<br />
projects under construction<br />
across the state and<br />
a further $2.8 billion are<br />
in the planning stages,<br />
Building and Construction<br />
Minister Guy Barnett<br />
said.<br />
Mr Barnett said employment<br />
in the building<br />
and construction<br />
sector was at its highest<br />
ever level, with an average<br />
of 23,200 employed<br />
in the industry.<br />
The Government has<br />
set a target to increase<br />
the number of people<br />
employed in the building<br />
and construction<br />
sector by 25 per cent<br />
over the next five years<br />
and also boost the number<br />
of apprentices by 40<br />
per cent by 2025.<br />
“The latest ABS figures<br />
show that Tasmania<br />
has recorded the<br />
highest growth rate in<br />
the nation in respect<br />
to new residential construction,<br />
with a 22 per<br />
cent increase in the value<br />
of new residential<br />
work done in the 2017-<br />
18 financial year, compared<br />
to the previous<br />
year,” Mr Barnett said.<br />
Cranes are a welcme addition to the Hobart skyline.<br />
<strong>Business</strong> open to international students<br />
BUSINESS has responded<br />
to the opportunity to<br />
open their doors to talented<br />
and enthusiastic<br />
international UTAS and<br />
TasTAFE students.<br />
The formal launch<br />
of I-PREP at the IMAS<br />
Waterfront Building,<br />
Battery Point, recently<br />
welcomed the first 19<br />
participating employers<br />
who are being encouraged<br />
to offer international<br />
students internships.<br />
Close to 100 people attended<br />
the launch by Department<br />
of State Growth<br />
Secretary Kim Evans<br />
representing Treasurer<br />
Peter Gutwein.<br />
Mr Evans said the <strong>Tasmanian</strong><br />
Government financially<br />
supported the<br />
project because of the<br />
range of opportunities<br />
it presented - giving international<br />
students the<br />
opportunity to engage in<br />
and make a valuable contribution<br />
to <strong>Tasmanian</strong><br />
workplaces.<br />
“For business to grow,<br />
they must be willing to<br />
“Not only is this the<br />
highest growth rate in<br />
innovate and explore<br />
new ideas and ways of<br />
thinking,” Mr Evans<br />
said.<br />
“I-Prep helps <strong>Tasmanian</strong><br />
businesses open<br />
their doors to talented<br />
and enthusiastic international<br />
students, unlocking<br />
benefits for both the<br />
students and their businesses.<br />
It connects business<br />
with people that<br />
bring with them fresh<br />
ideas and enthusiasm.<br />
“And of course, it<br />
gives students, both<br />
the country, but it is also<br />
five times higher than<br />
UTAS and TasTAFE, a<br />
real world job experience<br />
and new skills.<br />
“We know from our<br />
Population Growth<br />
Strategy that for many<br />
international students<br />
there is a desire to remain<br />
in Tasmania following<br />
their graduation.<br />
“International education<br />
now contributes<br />
$376 million to the<br />
state’s economy, Tasmania’s<br />
fourth largest export<br />
earner.<br />
“Tasmania now hosts<br />
Writers<br />
head to<br />
Tamar<br />
TASMANIA on the Global<br />
Page is the theme for<br />
the biennial Tamar Valley<br />
Writers Festival, which returns<br />
this month.<br />
Since the inaugural festival<br />
in 2014, the Tamar<br />
Valley Writers Festival has<br />
grown to become one of<br />
Australia’s largest regional<br />
writers festivals - boosting<br />
tourism in the region.<br />
The Tamar Valley Writers<br />
Festival runs from<br />
Friday, 14 to Sunday, 16<br />
<strong>September</strong>, and further information<br />
is available at<br />
www.tamarvalleywritersfestival.com.au.<br />
the national growth rate<br />
of 4.4 per cent.”<br />
Housing finance<br />
commitments in Tasmania<br />
grew for the seventh<br />
month in a row, the<br />
total number of building<br />
approvals was 27<br />
per cent higher in June<br />
<strong>2018</strong> compared to the<br />
previous year, while<br />
dwelling commencements<br />
were nearly 10<br />
times the national average.<br />
“These results are<br />
fantastic, not just for<br />
the building and construction<br />
industry, but<br />
the entire <strong>Tasmanian</strong><br />
economy,” he said.<br />
“We have introduced<br />
our nation-leading and<br />
industry supported<br />
building reforms, which<br />
make it faster, fairer,<br />
simpler and cheaper to<br />
build in Tasmania.<br />
The independent<br />
Building Confidence<br />
report by Professor Peter<br />
Shergold and Bronwyn<br />
Weir, released earlier<br />
this year, shows that<br />
Tasmania is well ahead<br />
of the rest of Australia<br />
in ensuring the level of<br />
regulatory oversight for<br />
building work matches<br />
the risk to public health<br />
and safety.”<br />
The Housing Industry<br />
Association also<br />
has a positive outlook<br />
for Tasmania’s home<br />
building industry, forecasting<br />
a 4.8 per cent<br />
increase in new home<br />
starts during <strong>2018</strong>-19.<br />
about 5400 intentional<br />
students through University<br />
and TasTAFE.”<br />
The 19 inaugural<br />
business are Stornoway,<br />
Marinova, Crowe<br />
Horwath, Anglicare<br />
Tasmania, Australian<br />
Computer Society, Eastside<br />
Lutheran College,<br />
Houston’s Farm, Community<br />
Transport Services<br />
Tasmania, Hobart<br />
City Council, Enterprize,<br />
Cricket Tasmania, Glenorchy<br />
City Council,<br />
Oak Possability, Migrant<br />
Resource Centre,<br />
Masonic Care Tasmania,<br />
Honey&Fox, Leishman<br />
and Associates, Metro<br />
and Calvary Hospitals.<br />
The university’s new<br />
Industry Engagement<br />
Co-ordinator Penny<br />
Stringer is excited about<br />
the potential of the initiative<br />
and is aiming to<br />
enrol 100 internship positions<br />
by the end of the<br />
year.<br />
For more information<br />
email Leap.Connect@<br />
utas.edu.au<br />
NEWS<br />
Mac<br />
Point<br />
reveals<br />
first<br />
move<br />
CONSTRUCTION<br />
will soon begin on Mac<br />
Point’s first significant<br />
new development – a<br />
mixed use interim build<br />
incorporating innovative<br />
office space, a restaurant,<br />
an Aboriginal space,<br />
and cultural and creative<br />
community uses.<br />
Core Collective Architects<br />
has submitted a<br />
development application<br />
for the Long.House project<br />
on the corner of Davey<br />
and Evans Sts.<br />
If approved, the<br />
$700,000 project will<br />
stand for five years while<br />
planning continues for<br />
the permanent builds under<br />
the bold $2 billion<br />
Mona vision or 30-year<br />
reset master plan - which<br />
takes in sections of the<br />
working port, Cenotaph<br />
and Regatta Grounds.<br />
Architect Ryan Strating<br />
said the Long.House<br />
project was a unique<br />
“pop-up” mixed use creative<br />
Hobart hub exploring<br />
inter-cultural and<br />
inter-disciplinary co-creation.<br />
The central focus of<br />
the Long.House will be a<br />
community cooking and<br />
pop-up restaurant space<br />
by renowned chef Luke<br />
Burgess.<br />
The Long.House will<br />
include office space for<br />
start-ups, creative and architectural<br />
businesses, as<br />
well as businesses with a<br />
specific innovation and<br />
sustainability focus.<br />
The Long.House will<br />
also include a cultural<br />
and performance space.<br />
The project originated<br />
from a Registration of Interest<br />
process the Macquaire<br />
Point Development<br />
Corporation conducted<br />
during October 2017.
4 <strong>Tasmanian</strong> <strong>Business</strong> <strong>Reporter</strong> - SEPTEMBER <strong>2018</strong><br />
THOUGHT LEADERSHIP<br />
Over-representation<br />
breeding self-interest<br />
Susan<br />
Parr<br />
TCCI Chair<br />
TASMANIA is growing like<br />
Topsy who is outgrowing her<br />
clothes, shoes and bed.<br />
Like Topsy, Tasmania now<br />
is outgrowing our governance<br />
systems and our capacity to<br />
manage and plan across a<br />
range of current and future<br />
challenges.<br />
Tasmania’s population is<br />
just over 500,000. We have<br />
29 councils with 263 elected<br />
members. The oft repeated<br />
motherhood statement that<br />
“local government is the tier<br />
of government closest to the<br />
people” and therefore is the<br />
“most representative” is too<br />
readily accepted.<br />
Having so many elected<br />
members for such a small<br />
state raises the question of<br />
“who is representing whom or<br />
what?”<br />
It is clear that with such a<br />
concentration of representation,<br />
self-interest, personal<br />
preferences and philosophies<br />
assume an importance that is<br />
disproportionate to the total<br />
community interest.<br />
I believe that it has encouraged<br />
<strong>Tasmanian</strong>s to think<br />
that, if as an individual, I do<br />
not like or approve of a proposal,<br />
then I can expect it to<br />
be stopped or significantly<br />
modified.<br />
Because a candidate for<br />
election only needs a very few<br />
votes to succeed, the whole<br />
community perspective is not<br />
rigorously considered.<br />
There is no incentive to<br />
consider how neighbouring<br />
municipalities might be impacted,<br />
so the whole state<br />
continues to have absurd differences<br />
in service provision.<br />
The recent deplorable results<br />
of local government<br />
performance in governance,<br />
financial planning and the<br />
provision of services is a<br />
By TOM O’MEARA<br />
THREE local authorities would<br />
replace the state’s 29 councils in a<br />
bold new plan floated by the <strong>Tasmanian</strong><br />
Chamber of Commerce<br />
and Industry.<br />
With the <strong>Tasmanian</strong> economy<br />
at its strongest in recent history,<br />
the state’s peak business organisation<br />
has called on the State Government<br />
and Labor Opposition to<br />
reform local government once and<br />
for all.<br />
TCCI CEO Michael Bailey<br />
said the chamber’s vision would<br />
improve efficiency and provide<br />
greater transparency.<br />
The TCCI has been a strong advocate<br />
to restore State Parliament<br />
to 35 seats, and now it wants to review<br />
what it says is an antiquated<br />
and inefficient local government<br />
sector.<br />
Mr Bailey said the system was<br />
not based on modern best practice.<br />
“The days have gone when every<br />
town in Tasmania needed a local<br />
council and it is time to ensure<br />
there is more transparency in the<br />
sector,” he said.<br />
“In Victoria rate capping is now<br />
a way of life, with consumers and<br />
business able to compare their<br />
council performance with others<br />
through the “Know Your Council”<br />
website.<br />
“Not only are consumers and<br />
business able to compare rates in<br />
their municipality with those paid<br />
T A S M A N I A’ S L E A D I N G B U S I N E S S P U B L I C A T I O N . C I R C U L A T I O N 12,000 M O N T H LY<br />
Call for council cull<br />
in neighbouring council areas,<br />
but they are also able to compare<br />
the services offered and make informed<br />
decisions about what their<br />
local government area delivers.<br />
“There is no way to do that in<br />
Tasmania.”<br />
Tasmania has 29 councils, and<br />
263 councillors, for a population<br />
of just over 500,000 people, ranging<br />
in size from under 1000 people<br />
on Flinders Island to more<br />
than 67,000 people in Launceston.<br />
“We have 4000 local government<br />
employees, 23,000 State<br />
Government employees and<br />
just under 3500 Commonwealth<br />
Government employees, which<br />
equates to one employee for every<br />
Continued page 2<br />
How<br />
TCCI<br />
MEMBERSHIP<br />
benefits your business<br />
The <strong>Tasmanian</strong> Chamber of Commerce<br />
and Industry is an independent<br />
membership organisation that<br />
positively leads and supports the<br />
<strong>Tasmanian</strong> business community.<br />
TCCI provides valuable support to its members<br />
through advocacy and a range of programs<br />
and services including:<br />
> Customised membership to achieve<br />
your business objectives<br />
> Workplace relations advice<br />
> Workplace health and safety<br />
> Networking and promotion<br />
> Training and workforce development<br />
> Events<br />
<strong>Tasmanian</strong> Chamber<br />
of Commerce and Industry<br />
Hobart | Launceston<br />
Ph: 1300 559 122 www.tcci.com.au<br />
AUGUST <strong>2018</strong><br />
AXE THEM<br />
O\<br />
TCCI floats<br />
radical reform<br />
29 to 3<br />
JOIN TODAY!<br />
Last month’s <strong>Tasmanian</strong> <strong>Business</strong> <strong>Reporter</strong>’s coverage<br />
of the TCCI campaign launch.<br />
warning that we cannot continue<br />
as we have. The system<br />
is broken and threatens the future.<br />
Tasmania has a unique<br />
opportunity to create a more<br />
capable, better skilled and<br />
informed local government<br />
system to serve the 500,000<br />
people who live here and to<br />
ensure that services provided<br />
by local government meet the<br />
current and future needs of all<br />
<strong>Tasmanian</strong>s.<br />
It is time to bite the bullet.<br />
www.tcci.com.au<br />
A fair price for<br />
your business<br />
Dean<br />
Demeyer<br />
<strong>Business</strong> Broker<br />
WHEN it’s time to sell<br />
your business who should<br />
advise you on the eventual<br />
asking price – an accountant<br />
or a business broker?<br />
Some accountants specialise<br />
and have appropriate<br />
qualifications in<br />
valuing businesses.<br />
There are other professionals<br />
however who are<br />
better at providing you<br />
with the market value.<br />
Professional business<br />
brokers deal every day<br />
with buying and selling<br />
businesses. They have<br />
access to databases of<br />
sales, current market<br />
multiples for all industries,<br />
and knowledge of<br />
lender’s idiosyncrasies -<br />
all necessary to evaluate<br />
what a buyer may offer<br />
for your business in the<br />
current market. Knowing<br />
how buyers are thinking is<br />
useful.<br />
For example, an accountant<br />
will generally evaluate<br />
your business on the basis<br />
of its value on paper. This<br />
process relies on historical<br />
financial data and<br />
commonly used return on<br />
investment multipliers.<br />
Let’s say the net profit<br />
is $100,000 and the ROI is<br />
33 per cent. The accountant<br />
will say the business is<br />
worth $300,000.<br />
A broker will use a<br />
similar process but also<br />
take into account current<br />
market trends, the bank’s<br />
appetite for lending to that<br />
industry, the number of<br />
buyers enquiring about that<br />
industry to obtain a more<br />
realistic price. So the 33<br />
per cent ROI may actually<br />
to be closer to 40 per cent<br />
altering the listing price to<br />
$250,000.<br />
Dean Demeyer is<br />
a chartered accountant<br />
and licensed business<br />
broker<br />
Supporting<br />
those making<br />
a better<br />
community.<br />
Just one reason why our<br />
members voted us number one<br />
for customer satisfaction<br />
in Australia, two years in a row! *<br />
Mitch McPherson<br />
Founder, SPEAK UP! Stay ChatTY<br />
We’re your number one health insurer. Talk to us today!<br />
1300 651 988 stlukes.com.au<br />
for Customer Satisfaction*<br />
two years in a row!<br />
* #1 Roy Morgan Customer Satisfaction Awards: Private Health Insurer of the Year – 2016 & 2017. St.LukesHealth ABN 81 009 479 618 180376
T A S M A N I A’ S L E A D I N G B U S I N E S S P U B L I C A T I O N . C I R C U L A T I O N 12,000 M O N T H LY<br />
<strong>Tasmanian</strong> <strong>Business</strong> <strong>Reporter</strong> - SEPTEMBER <strong>2018</strong> 5<br />
THOUGHT LEADERSHIP<br />
www.tcci.com.au<br />
Never give up on WH&S Out-of-hours<br />
Craig<br />
Hortle<br />
Workplace Health & Safety<br />
ONCE a workplace<br />
health and safety system<br />
has been consulted on<br />
with workers and agreed<br />
on by management, the<br />
next step in the process is<br />
to implement it.<br />
The process can be difficult<br />
at times due to work<br />
schedules, apathy in the<br />
workplace for WHS, lack<br />
of management support<br />
and entrenched workplace<br />
culture.<br />
How are you able to<br />
address these issues and<br />
others when implementing<br />
a WHS system?<br />
The first and most important<br />
step is to ensure<br />
that management is supportive<br />
of the process.<br />
This is not merely a tacit<br />
support of WHS policy<br />
and procedure but being<br />
actively involved.<br />
This can be achieved<br />
by:<br />
• being involved in<br />
safety meetings;<br />
• implementing well<br />
thought out safety initiatives;<br />
• make WHS a topic<br />
of conversation in the<br />
workplace;<br />
• practicing what you<br />
require from workers;<br />
and<br />
• actively auditing the<br />
system.<br />
Work schedules can<br />
be an issue if there are<br />
varied starting times in a<br />
workplace, different sites<br />
for work activities and<br />
different types of work<br />
carried out.<br />
These situations can<br />
be overcome with some<br />
suggestions including:<br />
• varying information<br />
session times for employees<br />
to attend;<br />
China leads increase in export value<br />
THE value of Australia’s<br />
exports of goods and services<br />
rose 14.8 per cent<br />
to $386.7 billion in 2017,<br />
based on the DFAT publication<br />
‘Composition of<br />
Trade Australia 2017’.<br />
China was Australia’s<br />
largest export destination<br />
(valued at $116.0 billion)<br />
and import source (valued<br />
at $67.4 billion).<br />
Australia’s top five<br />
goods and services exports<br />
were:<br />
- iron ore and concentrates<br />
($63.1 billion)<br />
- coal ($57.1 billion)<br />
-education-related<br />
travel services – which<br />
includes foreign student<br />
expenditure on tuition<br />
fees and living expenses<br />
Sally<br />
Chandler<br />
Tradestart Adviser<br />
BUSINESS<br />
HOBART’S BEST RANGE OF<br />
QUALITY ERGONOMIC FURNITURE<br />
FOR THE HOME AND OFFICE<br />
We specialise in high quality ergonomic chairs,<br />
alternative seating and electronic sit/stand desks.<br />
Flair Office Furniture has been providing quality, affordable office<br />
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specialising in all types of products, so why not visit us today to<br />
see our fantastic range?<br />
• ensuring consistency<br />
of message across all<br />
work activities (office,<br />
production, workshop or<br />
field work); and<br />
• if a work site is significantly<br />
different in<br />
make-up than other sites<br />
there may be a need to<br />
tailor specific information<br />
for that site.<br />
Worker apathy and entrenched<br />
culture may be<br />
the two single most difficult<br />
problems to overcome.<br />
There is no silver<br />
(30% share and 21.2%<br />
growth in 2017), Japan<br />
(12.2% share and 22.8%<br />
growth in 2017), South<br />
Korea (6% share and<br />
14.4% growth in 2017),<br />
USA (5.4% share and<br />
1.8% growth in 2017),<br />
India (5.2% share and<br />
32.6% growth in 2017),<br />
and Hong Kong (3.9%<br />
share and 17% growth in<br />
2017).<br />
Other countries in order<br />
of share of total were<br />
Phone 6234 1127<br />
p: 6212 2210<br />
e: elise@elisearcher.com<br />
260 Argyle Street,<br />
m: PO North Box 426, Hobart Moonah, 7009<br />
www.elisearcher.com<br />
www.flairofficefurniture.com.au<br />
in Australia – ($30.3 billion)<br />
- natural gas ($25.6 billion)<br />
and,<br />
- personal travel (excluding<br />
education) services<br />
– which includes<br />
short-term visitors’ expenditure<br />
in Australia<br />
mainly for recreational<br />
purposes – ($21.3 billion).<br />
Australia’s top export<br />
markets for goods<br />
Alcoholic<br />
and services were China<br />
2<br />
ADVERTISEMENT<br />
Elise<br />
Archer<br />
YOUR QUICK GUIDE TO SERVICES AND PRODUCTS FOR YOUR BUSINESS<br />
Your local Liberal<br />
Member for Denison<br />
62 Main Rd, Moonah<br />
Please contact me:<br />
NZ (3.6%), Singapore<br />
(3.1%), UK (3%) and Taiwan<br />
(2.7%).<br />
Interestingly, export<br />
sales to the UK retracted<br />
25.4% compared to the<br />
2016 year.<br />
BUSINESS<br />
Authorised by Elise Archer, 62 Main Rd, Moonah, 7009<br />
WH&S needs to be a topic of conversation in the workplace.<br />
Australia’s merchandise<br />
trade with China<br />
saw iron ore as the number<br />
one export followed<br />
by coal, wool and other<br />
animal hair, copper ores<br />
and concentrates, edible<br />
products and preparations<br />
(not separately recorded),<br />
barley, crude minerals<br />
(not separately recorded),<br />
gold, aluminium ores and<br />
concentrates, and copper.<br />
beverages<br />
came in 12th with 62.9%<br />
growth in 2017, and beef<br />
WANTED<br />
<strong>Business</strong><br />
movers and<br />
shakers<br />
• Promotions<br />
• Appointments<br />
• Awards<br />
• Celebrating<br />
success<br />
Share the news<br />
with the<br />
<strong>Tasmanian</strong><br />
business<br />
community<br />
Send your news<br />
snippets, with a<br />
high quality photo,<br />
to TBReditorial@<br />
fontpr.com.au<br />
To see your business here, call Kerri on 0419 750 267 or email kerri@thetrustedmediaco.com<br />
bullet or one solution that<br />
will solve these issues.<br />
Some suggestions are:<br />
• be consistent with the<br />
message that you trying<br />
to get across;<br />
• don’t reward bad<br />
safety behaviour;<br />
• provide adequate<br />
training in WHS principles<br />
and your system that<br />
you are implementing;<br />
• listen to concerns or<br />
problems that the system<br />
has caused and implement<br />
change when possible<br />
to address these problems;<br />
and<br />
• do not give up.<br />
Even though change in<br />
a workplace can be difficult<br />
it is not impossible<br />
and can be achieved.<br />
For information on<br />
how to achieve this<br />
please contact Craig<br />
Hortle or Janelle<br />
Whitehouse at the<br />
TCCI on 1300 559 122<br />
or safety@TCCI.com.<br />
au<br />
13th with 24.2% growth.<br />
Merchandise exports<br />
to Japan saw coal as the<br />
number one export in<br />
2017 followed by iron<br />
ores and concentrates,<br />
beef, copper ores and<br />
concentrates, and aluminium.<br />
The full document can<br />
be accessed on the DFAT<br />
website at https://dfat.<br />
gov.au/about-us/publications/Pages/composition-of-trade.aspx<br />
For international trade<br />
and investment assistance<br />
contact Trade-<br />
Start Adviser, Sally<br />
Chandler, at sally.<br />
chandler@tcci.com.au<br />
or 1300 559 122.<br />
Your Partner<br />
in Print.<br />
www.footandplaysted.com.au<br />
Now incorporating<br />
THE CRAFT LIVES ON.<br />
conduct<br />
also counts<br />
Abbey<br />
George<br />
Workplace Relations<br />
THE past month has been an interesting one<br />
with several decisions being made by the Fair<br />
Work Commission that may impact workplace<br />
relations in the future.<br />
In particular, out-of-hours conduct was found<br />
to be a valid reason for dismissal in the case of<br />
Oliver Bridgewater v Healthscope Operations<br />
Pty Ltd T/A Prince of Wales Private Hospital.*<br />
In this case the applicant was dismissed for<br />
serious misconduct after being found to have<br />
breached the employer’s sexual harassment<br />
policy by sending a highly offensive and unwelcome<br />
message of a sexual nature to a colleague.<br />
This was despite the message being sent out<br />
of work hours and not on work property.<br />
From 1 August <strong>2018</strong>, employees that are covered<br />
by Modern Awards will have access to five<br />
days unpaid family and domestic violence leave<br />
where an employee is:<br />
• experiencing domestic violence; and<br />
• needs to do something to deal with the impact<br />
of domestic violence; and<br />
• it is impractical for the employee to undertake<br />
that outside their ordinary hours of work.<br />
This leave is available “in full” at the beginning<br />
of each 12 month period of employment,<br />
applies to all employees (including casuals) but<br />
does not accrue from year to year.<br />
This amendment in turn places obligations<br />
on employers regarding the storage and access<br />
to relevant information regarding the taking of<br />
family and domestic violence leave.<br />
Finally, another case to note is the termination<br />
of an employee from Cricket Australia following<br />
tweets being made about abortion. This<br />
matter is listed with the Fair Work Commission<br />
and has also resulted in proposed new social<br />
media guidelines for public servants produced<br />
by the <strong>Tasmanian</strong> State Service Management<br />
Office.<br />
*(U<strong>2018</strong>/2872) http://classic.austlii.edu.au/au/cases/<br />
cth/FWC/<strong>2018</strong>/3921.html<br />
You can contact TCCI by the Helpline on<br />
1300 765 123 or the TCCI on 1300 59 122<br />
or workplacerelations@tcci.com.au where<br />
we can assist with your questions about<br />
employment matters generally as well as<br />
assisting with drafting any policies or procedures<br />
required within your business.
WP - Advert Mar17.indd 1<br />
4/04/2017 1:15:43 PM<br />
6 <strong>Tasmanian</strong> <strong>Business</strong> <strong>Reporter</strong> - SEPTEMBER <strong>2018</strong><br />
THOUGHT LEADERSHIP<br />
www.tcci.com.au<br />
$200m to future-proof ports<br />
WORK will start on a major<br />
expansion of Tasmania’s port<br />
infrastructure later this year,<br />
after TasPorts outlined a $200<br />
million Port Master Plan.<br />
TasPorts Chairman Stephen<br />
Bradford said the developments<br />
would help the company<br />
meet customer demand,<br />
attract new business and provide<br />
the best value for customers.<br />
“The plans guide port infrastructure<br />
investment over the<br />
next 15 years and are expected<br />
to help inject hundreds of<br />
millions of dollars into Tasmania’s<br />
economy over the<br />
longer term,” Mr Bradford<br />
said.<br />
TasPorts CEO Paul Weedon<br />
said the Port Master Plan was<br />
a major long-term investment<br />
to ensure that Tasmania’s<br />
maritime trade system had the<br />
capacity to grow for the benefit<br />
of the entire state.<br />
“With more than 99 per<br />
Uni College offers flexible degree delivery<br />
LEARNING never ends<br />
and the most important<br />
thing for me is that people<br />
can enter and exit<br />
education at different<br />
points on their life journey<br />
– especially for those<br />
employed in industry positions<br />
and interested in<br />
up-skilling and gaining<br />
formal qualifications relevant<br />
to their industry.<br />
Flexible course delivery<br />
of Associate Degrees<br />
SOLUTIONS<br />
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your print specialist for over 90 years<br />
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cent of the state’s freight coming<br />
and going by sea, ports<br />
are one of our most important<br />
infrastructure assets and it is<br />
vital we plan for the future to<br />
meet growing demand,” Mr<br />
Weedon said.<br />
Projects include:<br />
BELL BAY - A $10 million<br />
investment to improve berthing<br />
capacity at Bell Bay No.6<br />
berth, enabling forestry and<br />
mining exports from multiple<br />
berths, upgrade of fuel pipelines<br />
and increased capacity<br />
for fuel storage. A new transport<br />
and wash-down system<br />
will also assist forestry exports.<br />
BURNIE - About $80<br />
million will be invested at<br />
Burnie, including the proposed<br />
international container<br />
terminal. Work will also include<br />
a project to dredge the<br />
berth to provide for Toll’s<br />
larger Bass Strait vessels and<br />
improved cruise facilities to<br />
LeeWhiteley<br />
University College<br />
Chief Executive<br />
www.woolstonprinting.com.au<br />
enable more ship visits and<br />
tourism growth.<br />
DEVONPORT - A $50-<br />
$60 million development<br />
will extend berthing facilities<br />
for passengers, cargo and<br />
freight. Infrastructure will accommodate<br />
the new Spirit of<br />
Tasmania vessels arriving in<br />
2021, allowing an additional<br />
160,000 passengers annually<br />
to enter Devonport.<br />
HOBART - TasPorts will<br />
invest $50-$60 million to develop<br />
a new Antarctic logistics<br />
precinct to support the<br />
<strong>Tasmanian</strong> Antarctic Gateway<br />
Strategy and attract further<br />
international programs<br />
and provide a permanent base<br />
for RSV Nuyina, Australia’s<br />
latest ice breaker research<br />
vessel, which will arrive mid-<br />
2020. Plans include a reorganised<br />
cruise precinct at<br />
Macquarie Wharf with more<br />
berths for cruise vessels, allowing<br />
services to grow.<br />
makes it easier for employers<br />
to support their<br />
staff during their study.<br />
Full Off-Set,<br />
Digital and<br />
Wide Format<br />
Capabilities<br />
Binding and<br />
Finishing<br />
Variable Data<br />
and Mailing<br />
sales@paperstat.com.au<br />
Warehousing<br />
and Distribution<br />
Online Ordering<br />
and Inventory<br />
Management<br />
TasPorts<br />
CEO Paul<br />
Weedon,<br />
left,<br />
Transport<br />
Minister<br />
Jeremy<br />
Rockliff and<br />
TasPorts<br />
Chairman<br />
Stephen<br />
Bradford at<br />
Devonport .<br />
The two-year course<br />
offers online content and<br />
optional face-to-face tutorials<br />
and on-site industry<br />
workshops. Students are<br />
also able to base their assessments<br />
on their workplace.<br />
As these qualifications<br />
have been developed in<br />
consultation with <strong>Tasmanian</strong><br />
industry groups to<br />
ensure they are relevant<br />
and career orientated, employers<br />
can be confident<br />
that they will be relevant<br />
for their employees.<br />
HOBART’S BEST RANGE OF<br />
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We specialise in high quality ergonomic chairs,<br />
alternative seating and electronic sit/stand desks.<br />
Flair Office Furniture has been providing quality, affordable office<br />
furniture to homes and offices throughout the Hobart region<br />
for nearly 15 years. We’re a locally-based, family-run business<br />
specialising in all types of products, so why not visit us today to<br />
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Coastal shipping<br />
in the news again<br />
SOMETIMES I lament for<br />
those that ship or transport<br />
their goods. It is frustrating<br />
for me and I do this for a<br />
living.<br />
For the humble trader it<br />
must seem like every time<br />
you blink there is some<br />
new surcharge or complexity<br />
that seems designed to<br />
make your life difficult. I<br />
feel your pain – sorry for<br />
the next paragraph.<br />
Exporters of airfreight<br />
should be aware of the 100<br />
per cent piece screening<br />
protocol that is coming<br />
into effect in March 2019<br />
- exporters should expect<br />
delays and additional costs<br />
in the process of lodging<br />
goods for export per international<br />
flights (general<br />
and perishable).<br />
There is a process to<br />
avoid this by becoming a<br />
“known consignor” and<br />
if this is of interest to you<br />
then I strongly suggest you<br />
explore this process now as<br />
it is not simple from Tasmania<br />
– please feel free to<br />
contact me to guide you.<br />
Coastal shipping is<br />
raising its head again in<br />
Brett<br />
Charlton<br />
Agility Logistics<br />
the press and the Government<br />
with another attempt<br />
to smooth some of the<br />
processes for international<br />
vessels to carry domestic<br />
loads around the coast.<br />
The <strong>Tasmanian</strong> Logistics<br />
Committee has spent<br />
a considerable amount<br />
of time considering the<br />
ramifications for Tasmania<br />
should international ships<br />
be allowed to carry domestic<br />
cargo. Our collective<br />
position is that Tasmania<br />
should be considered separately<br />
to the “other island”<br />
as we have an established<br />
first-class coastal operation<br />
already in place.<br />
Some will say that the<br />
introduction of international<br />
ships carrying<br />
domestic cargoes will add<br />
to competition, but we are<br />
Phone 6234 1127<br />
260 Argyle Street,<br />
North Hobart<br />
of the opinion that with<br />
the investment of the three<br />
services across Bass Strait,<br />
any erosion of volume<br />
on these carriers could<br />
potentially see us suffer in<br />
the long run (consider if an<br />
international carrier secures<br />
enough volume to erode<br />
our current service and then<br />
due to international pressure<br />
pulls out.<br />
The <strong>Tasmanian</strong> Logistics<br />
Committee has met the Infrastructure<br />
and Transport<br />
Minister Michael McCormack<br />
in August to voice<br />
our position on this.<br />
I welcome any comment<br />
or communication on<br />
my articles – please feel<br />
free to contact me on<br />
bcharlton@agility.com or<br />
on phone 0421174680.<br />
The structure of these<br />
courses is unique in that<br />
they include industry onsite<br />
workshops.<br />
Everyone has a different<br />
approach to learning;<br />
some people take a more<br />
applied pathway.<br />
Therefore, by providing<br />
on-site workshops<br />
with local partners, we<br />
have found that our students<br />
benefit from being<br />
able to apply their knowledge<br />
in a real-world setting.<br />
Earlier this year, students<br />
studying Quality<br />
Management as part of<br />
their Associate Degrees<br />
visited Bell Bay Aluminium.<br />
These students gained<br />
insight about how manufacturing<br />
works in an<br />
organisation that has a<br />
culture focused on quality<br />
and continuous improvement<br />
and test their<br />
learnings about quality<br />
management during this<br />
on-site workshop.<br />
By providing these<br />
hands-on and work integrated<br />
learning opportunities,<br />
we are ensuring<br />
that our graduates are<br />
work-ready and meet the<br />
needs of industry.<br />
Applications for all<br />
Associate Degrees are<br />
now open, with Term 1<br />
commencing in February<br />
2019.<br />
For more<br />
information about<br />
University College<br />
Associate Degrees, visit<br />
utas.edu.au/college<br />
or call 1300 363 864.
<strong>Tasmanian</strong> <strong>Business</strong> <strong>Reporter</strong> - SEPTEMBER <strong>2018</strong> 7<br />
NEWS<br />
Tick for aqua feed plant<br />
BIOMAR Australia’s $56<br />
million aqua feed production<br />
facility in the state’s North<br />
West has received the final<br />
tick of approval from Latrobe<br />
Council.<br />
A 14-month construction<br />
phase will soon begin on the<br />
site of a former particle board<br />
factory at Wesley Vale, generating<br />
up to 250 contractor jobs.<br />
The world-class fish feed<br />
production facility will supply<br />
Tasmania’s growing aquaculture<br />
industry.<br />
BioMar Australia Technical<br />
Customer Account Manager<br />
Alasdair Bradley said he was<br />
delighted to receive council<br />
approval for its Development<br />
Application.<br />
“As part of the DA approval<br />
process, the Environment Protection<br />
Authority approved the<br />
Development Proposal and Environmental<br />
Management Plan,<br />
ensuring BioMar’s production<br />
facility meets all required environmental<br />
responsibilities and<br />
practices,” Mr Bradley said.<br />
Latrobe<br />
Mayor Peter<br />
Freshney,<br />
left, and<br />
BioMar<br />
Australia<br />
Technical<br />
Customer<br />
Account<br />
Manager<br />
Alasdair<br />
Bradley take<br />
a tour of the<br />
Wesley Vale<br />
site.<br />
“The DA approval is also an<br />
important marker of industry,<br />
local council and community<br />
support for our organisation’s<br />
expansion into Australia, and<br />
importantly Tasmania.”<br />
The site’s redundant facilities<br />
have been dismantled and<br />
construction of the new facility<br />
will take up to 14 month’s.<br />
“We are also currently in the<br />
process of hiring more staff to<br />
join our current team on the<br />
ground in Tasmania,” Mr Bradley<br />
said.<br />
Bank of us<br />
celebrates<br />
good growth<br />
EIGHT months after a<br />
major change of branding,<br />
Bank of us has celebrated<br />
with the official<br />
opening of the Bank of<br />
us Centre at 108 Collins<br />
Street, Hobart by Treasurer<br />
Peter Gutwein.<br />
Bank of us CEO Paul<br />
Ranson said the first<br />
eight months operation<br />
since changing from<br />
B&E had seen outstanding<br />
results.<br />
“Bank of us has recorded<br />
a 51% increase<br />
in new customers –<br />
3025 customers up from<br />
1999 in 2017,” Mr Ranson<br />
said.<br />
“We’ve exceeded expectations,<br />
with our<br />
preliminary results indicating<br />
a record lending<br />
year.<br />
“Our overall loan<br />
approvals for the year<br />
were $215 million or<br />
26% on last year, mainly<br />
due to a 15% increase<br />
in our market share of<br />
owner occupied lending<br />
in Tasmania.<br />
“Our loan portfolio<br />
has grown by 12% to<br />
$704 million, which is a<br />
significant achievement<br />
in a highly competitive<br />
and challenging environment<br />
and is double<br />
system growth of 6%<br />
(national industry average).<br />
“Within those figures,<br />
about 50% of our lending<br />
is from new customers.<br />
Typically, loan activity<br />
is generated from<br />
existing customers.”<br />
Mr Ranson said Bank<br />
of us had seen great<br />
growth statewide in<br />
products and services,<br />
with a more than 100%<br />
increase in new customers<br />
in Southern Tasmania.<br />
It is this growth that<br />
has led to the investment<br />
in naming rights<br />
of the Collins St Centre.<br />
“It’s an investment<br />
in our business, but<br />
it’s also us, as a local<br />
customer owned bank,<br />
backing Tasmania,” said<br />
Mr Ranson.<br />
“We’re building a<br />
strong presence in Hobart.<br />
From here, we will<br />
continue to provide all<br />
<strong>Tasmanian</strong>’s a better<br />
banking experience and<br />
as a customer-owned<br />
bank, that is <strong>Tasmanian</strong><br />
owned and operated,<br />
we’re in great position<br />
to be able to do that.”<br />
Top gongs to Entura<br />
Deputy Premier Jeremy Rockliff, left, with<br />
Lyndon Johnson,Donald Vaughan and Entura<br />
Managing Director Tammy Chu.<br />
TWO Entura engineers<br />
have received top accolades<br />
at the Tasmania<br />
Engineering Excellence<br />
Awards.<br />
Donald Vaughan, Principal<br />
Consultant, Electrical<br />
Primary Systems,<br />
was named Professional<br />
Engineer of the Year, and<br />
while engineer Lyndon<br />
Johnson won the Young<br />
Professional Engineer of<br />
the Year award.<br />
The specialist power<br />
and water consulting firm<br />
is committed to creating<br />
safe and sustainable power<br />
and water solutions.<br />
“Donald is an industry<br />
authority on the connection<br />
of wind and solar<br />
farms to weak grids<br />
and the power system<br />
dynamics of low-inertia<br />
networks,” said Entura<br />
Managing Director Tammy<br />
Chu,<br />
“Donald’s knowledge<br />
and experience places<br />
him at the forefront<br />
of efforts in Australia<br />
to transition to a renewables-based<br />
energy sector<br />
and we’re very proud<br />
to have him as part of<br />
our technical leadership<br />
team.<br />
“Lyndon has pioneered<br />
powerful new 3D methods<br />
for presenting and interpreting<br />
data. His work<br />
will improve engineering<br />
efficiency and accuracy,<br />
and offers safety benefits<br />
for power and water<br />
assets and for communities.”<br />
Navigate your maritime<br />
career in Sydney with AMC<br />
The Australian Maritime College (AMC) is expanding into Sydney<br />
in <strong>2018</strong>, delivering postgraduate programs and professional short<br />
courses from the Australian National Maritime Museum, in the<br />
heart of Darling Harbour.<br />
Our team of leading maritime engineering, and maritime business and international<br />
logistics academics will be delivering the following postgraduate courses in <strong>2018</strong>:<br />
• Master of Engineering (Maritime Design)<br />
• Master of <strong>Business</strong> Administration (Advanced)<br />
(Maritime & Logistics Management)<br />
AMC Search will also offer a selection of short courses throughout the year.<br />
Enquire to study in Sydney in <strong>2018</strong>.<br />
amc.edu.au/sydney<br />
Cricos Provider Code 00586B
8 <strong>Tasmanian</strong> <strong>Business</strong> <strong>Reporter</strong> - SEPTEMBER <strong>2018</strong><br />
FOCUS ON BUSINESS<br />
Investment in looking good<br />
More than ever, Australians are<br />
investing in looking and feeling<br />
their best. At Laser Clinics<br />
Australia, our vision is to provide<br />
affordable, effective and safe<br />
non-invasive cosmetic treatments<br />
to all Australians.<br />
LASER Clinics Australia<br />
CEO Anthea Muir says<br />
the company is seeking<br />
new and motivated franchise<br />
partners from a<br />
range of experiences to<br />
drive growth across Australia<br />
and New Zealand.<br />
She believes potential<br />
franchisees from all backgrounds<br />
will be attracted<br />
to three key elements of<br />
Laser Clinics Australia’s<br />
business model: ongoing<br />
support in key business<br />
areas such as marketing,<br />
IT and accounting; an enviable<br />
corporate culture;<br />
and the prospect of being<br />
involved in a growth<br />
sector.<br />
“They are elements<br />
that any franchisees in<br />
any sector should be targeting,”<br />
Muir says. “And<br />
in terms of the specific<br />
training you need to become<br />
familiar with the<br />
aesthetics industry, well,<br />
that’s what our team is<br />
here for.”<br />
Since 2008, Laser Clinics Australia has opened more than 100 clinics across the country.<br />
We are proud to be the<br />
leaders of our industry,<br />
because we partner with<br />
people who are just like<br />
us. Driven, passionate,<br />
success-seeking and allround<br />
nice positive people.<br />
When you partner<br />
with us you become a<br />
part of the family. It’s a<br />
unique franchise model<br />
with a 50/50 partnership<br />
and an attractive remuneration<br />
of $100,000 per<br />
annum for the nominated<br />
manager from day one.<br />
Despite rapid growth<br />
of the aesthetics sector<br />
across the nation, Muir<br />
has no doubt that there<br />
are still enormous opportunities<br />
to expand Laser<br />
Clinics Australia’s footprint.<br />
“We are your partner of<br />
choice if you are looking<br />
for a solid investment in<br />
a high-growth industry<br />
with an award-winning<br />
business.”<br />
A case in point is Michael<br />
Makris and Vitanos<br />
Vitanopoulos, brother-inlaw<br />
franchisees who own<br />
the Southland and Northland<br />
clinics, respectively,<br />
in Melbourne.<br />
Taking advantage of<br />
Makris’s experience in<br />
the fitness industry and<br />
Vitanopoulos’s management<br />
background in the<br />
corporate sector, they<br />
have a blend of business<br />
and client service skills.<br />
“It’s a good balance,”<br />
Makris says. He and Vitanopoulos<br />
assessed a<br />
range of franchise systems<br />
before settling on<br />
Laser Clinics Australia.<br />
“There are outstanding<br />
people in the network<br />
and that’s backed up by<br />
the quality of the people<br />
in the head office in Sydney,”<br />
Makris says.<br />
“They’ve been extremely<br />
good in working<br />
with us and supporting<br />
us and the Laser Clinics<br />
Australia brand benefits<br />
from a real team effort.”<br />
Makris and Vitanopoulos<br />
are among a growing<br />
number of men who are<br />
becoming Laser Clinics<br />
Australia franchisees.<br />
“We were looking for a<br />
great business opportunity,<br />
not a ‘male’ business<br />
opportunity and Laser<br />
Clinics Australia fits the<br />
bill,” Makris says.<br />
“Given the strength of<br />
the market, we have no<br />
doubt that we made the<br />
right decision.”<br />
Since launching in<br />
2008, Laser Clinics<br />
Australia has opened<br />
more than 100 clinics<br />
across Australia and<br />
was named the top franchise<br />
on SmartCompany’s<br />
Smart50 list in<br />
2016.<br />
It has prospered on<br />
the back of demand for<br />
its three key service areas<br />
– laser hair remov-<br />
al, cosmetic injectables<br />
and skin treatments.<br />
The provision of affordable,<br />
accessible and<br />
reliable cosmetic treatments<br />
has generated<br />
significant interest from<br />
prospective franchisees<br />
– from corporate executives<br />
wanting to make a<br />
career switch to couples<br />
and individuals seeking<br />
to run their own small<br />
business with the backing<br />
of a proven franchisor.<br />
The profile of franchisees<br />
is quickly evolving.<br />
Mother-and-daughter<br />
team, experienced beauty<br />
industry professional Melinda<br />
Olive and accountant<br />
Maddison Dargel have<br />
opened the Rockhampton<br />
clinic in Queensland.<br />
Laser Clinics Australia<br />
are now open in Tasmania.<br />
Visit franchisees Cameron<br />
at the Eastlands Shopping<br />
Centre (Rosny Park) and<br />
Katherine in Launceston<br />
(95 Brisbane Street).<br />
To discuss other<br />
options such as<br />
Cat & Fiddle Arcade in<br />
the Hobart CBD<br />
contact franchising@<br />
laserclinics.com.au
<strong>Tasmanian</strong> <strong>Business</strong> <strong>Reporter</strong> - SEPTEMBER <strong>2018</strong> 9<br />
FOCUS ON BUSINESS<br />
Distrust erodes future value<br />
MICHELE<br />
LEVINE, CEO<br />
ROY MORGAN<br />
OUR private and business<br />
lives run on trust,<br />
but a prevalent culture of<br />
moral blindness is contributing<br />
to a tsunami of<br />
distrust.<br />
Trust and distrust are<br />
two of the most significant<br />
social imperatives<br />
of our age.<br />
Critically, they are not<br />
two hands in one glove.<br />
Distrust is not an absence<br />
of trust on a scale of positive<br />
sentiment. It is the<br />
opposite of trust — antithetical<br />
to trust.<br />
Trust requires a leadership<br />
that embraces and<br />
exhibits social ethics; to<br />
not just plan how to behave,<br />
but to believe it. If<br />
you don’t fundamentally<br />
feel that what you’re<br />
doing is the right thing it<br />
will never be believable.<br />
So why was no-one<br />
measuring and reporting<br />
distrust? Roy Morgan<br />
set about asking Australians<br />
what brands they<br />
trust and distrust — and<br />
Australia’s banks come<br />
out as the most trusted<br />
sector. But we also mea-<br />
sured distrust and it transpires<br />
that banks are the<br />
most distrusted category<br />
in Australia — more distrusted<br />
than trusted.<br />
Trust doesn’t really<br />
matter for sales next<br />
week, but it matters for<br />
a sustainable future for<br />
a brand. If you have insufficient<br />
trust you’re<br />
not going to get supporters<br />
or partners. Distrust<br />
erodes future value and<br />
that’s the big risk.<br />
Drivers of<br />
trust and distrust<br />
Why do Australians<br />
trust or distrust the nation’s<br />
favourite brands?<br />
The top driver of trust<br />
is customer service, but<br />
the highest aggregated<br />
drivers of trust coalesce<br />
around honesty, ethical<br />
behaviour and integrity.<br />
Roy Morgan says the top<br />
principal drivers of trust<br />
in <strong>2018</strong> are:<br />
1. Good customer service<br />
2. Honesty<br />
3. Ethical behaviour/<br />
integrity<br />
4. Previous good experience<br />
with company<br />
5. Reliability<br />
6. Transparency<br />
7. Social conscience/<br />
good corporate citizen<br />
8. Good quality products<br />
9. Long history<br />
10. Customer-focused.<br />
And distrust? According<br />
to the data, the main<br />
drivers of distrust coalesce<br />
around the belief<br />
A major survey reveals the top driver of trust is customer service.<br />
that brands are greedy,<br />
put their profits before<br />
customers, and are unethical<br />
or corrupt.<br />
The top three drivers<br />
of distrust are:<br />
1. Greed, self-interest,<br />
profits before customers<br />
2. Dishonest and deceitful,<br />
false and misleading<br />
advertising, making<br />
false product claims<br />
3. Being unethical,<br />
lacking integrity.<br />
The method<br />
Between October<br />
2017–May <strong>2018</strong>, Roy<br />
Morgan conducted four<br />
longitudinal surveys asking<br />
about 4000 Australians<br />
which brands they<br />
trusted and which they<br />
didn’t. Subtracting the<br />
distrust score of each<br />
nominated brand from<br />
its trust score gave a Net<br />
Trust Score (NTS).<br />
Every respondent was<br />
also asked why they trust<br />
or distrust their nominated<br />
brands.<br />
Brands with positive<br />
NTS have a strong<br />
positive sentiment base<br />
among consumers (and<br />
relatively low negative<br />
sentiment) from which<br />
to generate growth and<br />
brand value.<br />
Don’t just “look the<br />
other way”<br />
The Royal Commission<br />
into Misconduct in<br />
the Banking, Superannuation<br />
and Financial<br />
Services Industry is, at<br />
its core, an inquiry into<br />
the moral blindness of<br />
directors and executives<br />
charged with protecting<br />
our money.<br />
Directors need to constantly<br />
be conscious of<br />
their own ethics, their<br />
governance and corporate<br />
culture, to drive down<br />
distrust and eventually<br />
build trust in their brand.<br />
Unless directors, governments,<br />
banks, social<br />
media platforms<br />
and sporting leaders arrest<br />
distrust before they<br />
start to rebuild it, moral<br />
blindness will keep<br />
eroding our culture and<br />
socio-economically productive<br />
behaviour.<br />
OUR MEMBERSHIP<br />
OPENS DOORS<br />
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becoming a member of the Australian Institute of Company Directors.<br />
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t: 1300 739 101 w: companydirectors.com.au/SWT<br />
06460-26_18
10 <strong>Tasmanian</strong> <strong>Business</strong> <strong>Reporter</strong> - SEPTEMBER <strong>2018</strong><br />
FOCUS ON BUSINESS<br />
C-cell open for business<br />
Construction of<br />
the Copping C-cell<br />
is now complete,<br />
with Southern<br />
Waste Solutions<br />
expecting the<br />
first delivery to be<br />
made this month.<br />
AFTER requests from industry<br />
and with the support of the State<br />
Government, Southern Waste<br />
Solutions set about establishing<br />
the state’s first Category C-cell<br />
waste disposal site in 2012.<br />
After an extensive testing and<br />
approval process by the Environment<br />
Protection Authority it<br />
is now ready for operation.<br />
Tasmania has many industries<br />
including agriculture, aquaculture,<br />
mining and manufacturing<br />
that produce controlled waste.<br />
Much of this waste is temporarily<br />
stored at worksites,<br />
including built up areas and on<br />
the shorelines of various bodies<br />
of water, risking contamination<br />
of waterways and the urban<br />
environment.<br />
Southern Waste Solutions<br />
has been responsible for waste<br />
management solutions for much<br />
of Southern Tasmania and the<br />
East Coast since 2001 and is expanding<br />
to include a sustainable<br />
solution to managing controlled<br />
waste in the state.<br />
A cell is simply another word<br />
for a securely lined landfill,<br />
or a site that is used to safely<br />
bury waste. The waste material<br />
accepted into the C-cell will<br />
generally be soil and timber<br />
contaminated with metal, all<br />
of which will be subject to<br />
independent testing and EPA<br />
approval prior to delivery at the<br />
site.<br />
The purpose of the C-cell is<br />
to isolate waste from the surrounding<br />
environment (surface<br />
water and groundwater).<br />
It undergoes regular monitoring<br />
and testing to ensure it<br />
meets all regulations and this<br />
will continue indefinitely after<br />
the cell is closed and capped.<br />
The location of different types<br />
of waste will be mapped inside<br />
the cell using a 3D GPS system,<br />
with the goal of recycling or reusing<br />
it in the future should the<br />
opportunity present itself.<br />
The gate fee to use the Copping<br />
C-cell includes an amount<br />
that will be allocated to a trust<br />
to establish funds for ongoing<br />
monitoring and aftercare of the<br />
site once it’s been capped and<br />
closed.<br />
The Copping C-cell is a safe<br />
distance from any water course,<br />
located about 2.5km away from<br />
the nearest river and its buffer<br />
zones are well in excess of EPA<br />
recommendations.<br />
The C-cell design meets or<br />
exceeds all requirements of the<br />
EPA and relevant legislation.<br />
It also removes the need to<br />
export category C waste to the<br />
mainland, which is both costly<br />
and unsustainable for <strong>Tasmanian</strong><br />
businesses.<br />
Southern Waste Solutions<br />
welcomes all questions regarding<br />
the opening of the Copping<br />
C-cell and invites anyone with<br />
a genuine interest in the facility<br />
to attend one of our community<br />
reference group meetings.<br />
Nyrstar is set to be the first<br />
customer to make use of Tasmania’s<br />
only category C waste<br />
disposal facility, with additional<br />
contracts likely to be secured<br />
for further deliveries in the<br />
coming months.<br />
Southern Waste Solutions also<br />
offers free personalised tours<br />
of the Copping Landfill which<br />
can be scheduled on request and<br />
tailored to specific audiences.<br />
Further information about meetings on our website at swstas.com.au. To book a tour call 03 6273 9712 or email sws.finmanager@internode.on.net<br />
The Copping C-cell is now open<br />
and accepting enquiries from<br />
businesses across Tasmania.<br />
Southern Waste Solutions is pleased to be extending<br />
our services to include a sustainable solution to managing<br />
controlled waste in Tasmania.<br />
Please call 6273 9712 or email<br />
sws.finmanager@internode.on.net<br />
to discuss how we can assist your business<br />
with responsible waste management.
<strong>Tasmanian</strong> <strong>Business</strong> <strong>Reporter</strong> - SEPTEMBER <strong>2018</strong> 11<br />
EVENTS NEWS<br />
Nan Zhao of Sultan Holdings, left, with<br />
Dr Damien Stringer of Marinova.<br />
Maree Lewis, left, and Frances D’Alessandro<br />
of Hobart City Council and Justin Clifford<br />
from the Department of Home Affairs.<br />
Tom O’Meara of <strong>Tasmanian</strong> <strong>Business</strong> <strong>Reporter</strong>,<br />
left, Leila Daniels, I-PREP Project Manager and<br />
Adrian Pursell of the Australian Marketing<br />
Institute.<br />
What: University of Tasmania<br />
I-PREP launch<br />
Where: IMAS Waterfront Building,<br />
Salamanca<br />
When: Tuesday, August 14, <strong>2018</strong><br />
Marcus Di Martino of Calvary, left, Alayne Baker of<br />
Veolia and Briarna Hen of Houston’s Farm.<br />
Rebecca Hua, left, and Kim Evans of the<br />
Department of State Growth, Rob Wilson of UTAS<br />
and James Holden from the Department of<br />
State Growth.<br />
Big on learning,<br />
bigger on experience<br />
Study an associate degree and advance your career.<br />
Working at Blokker Pty Ltd, Taylor Franklin-Smith never considered<br />
higher education until receiving encouragement from her employer.<br />
“When looking for courses, I found the Associate Degree in Agribusiness.<br />
It’s local, I can study it part-time, and my boss said go for it.<br />
“The associate degree is supporting me in my ever-changing role within<br />
the company. The new-found awareness of the industry has given me a<br />
more in-depth understanding of how my workplace functions behind<br />
the scenes.”<br />
The new two-year associate degrees offered by University College are ideal<br />
for students who are already working in industry, as they can be studied<br />
full-time or part-time.<br />
To find out more about studying an associate degree or supporting<br />
your staff to undertake study, visit utas.edu.au/college or<br />
phone 1300 363 864.<br />
CRICOS Provider Code (University of Tasmania): 00586B.
PROPERTY MATTERS<br />
<strong>Tasmanian</strong> <strong>Business</strong> <strong>Reporter</strong> - SEPTEMBER <strong>2018</strong> 12<br />
Summer a time of rental demand<br />
Scott Newton<br />
Property Matters with<br />
Knight Frank<br />
Department Manager for the Residential<br />
Property Management team, Robbie<br />
Yeoland, gives a synopsis of the<br />
residential rental market in Tasmania.<br />
SINCE the beginning of <strong>2018</strong><br />
there has been a tremendous<br />
amount of media coverage regarding<br />
Hobart’s rental crisis.<br />
During the summer months<br />
we experience our greatest<br />
demand for rental accommodation<br />
in Hobart due to a<br />
number of factors. These include:<br />
-<br />
• families and individuals<br />
moving from interstate at the<br />
end of the school year;<br />
• students coming into the<br />
state and moving from the<br />
north to attend the University<br />
of Tasmania prior to semester<br />
starting in February;<br />
• overseas migrants coming<br />
to Hobart under skilled migrant<br />
visas; and<br />
• sea-changers or others<br />
seeking a new lifestyle.<br />
We have also seen a decrease<br />
in the number of rental<br />
properties due to the popularity<br />
of Airbnb with investors<br />
capitalising on their investment<br />
potential for the strong<br />
demand in holiday accommodation<br />
with travellers.<br />
According to the website<br />
insideairbnb.com there are<br />
859 entire homes/apartments<br />
listed on Airbnb in Hobart<br />
alone and 3,400 entire homes/<br />
apartments in Tasmania.<br />
While Airbnb has had some<br />
effect on the number of available<br />
properties for rent there<br />
are other factors that contribute<br />
to a shortage of affordable<br />
accommodation.<br />
These include:<br />
• rising rental prices due<br />
to strong interest in Hobart’s<br />
property market with many<br />
mainland investors wanting<br />
A number of factors contribute to Hobart’s seasonal increase in demand for rental<br />
properties including the return of university students.<br />
to enter the local market;<br />
• good returns on investment<br />
compared to other capital<br />
cities;<br />
• an increasing population<br />
– according to the Australian<br />
Bureau of Statistics (ABS)<br />
Hobart has had the fastest<br />
population growth in the past<br />
six years compared to other<br />
capital cities; and<br />
• a shortage of public housing.<br />
The Launceston market has<br />
seen similar trends with low<br />
stock levels and high demand<br />
for quality homes.<br />
This has put upward pressure<br />
on rents with most agencies<br />
experiencing vacancy<br />
rates under 1%.<br />
The ABC reported in July<br />
that the number of people<br />
waiting for public housing<br />
had increased to 3,412 and<br />
the wait time was about 18<br />
months.<br />
Earlier this year we experienced<br />
an extremely high demand<br />
for rental properties in<br />
the price bracket up to $400<br />
per week with up to 100 people<br />
turning up to property<br />
viewings and open homes.<br />
Vacancy rates in Hobart at<br />
this time of year were sitting<br />
at 1.4% and some agencies<br />
reported vacancy rates at less<br />
than 1%.<br />
Since late March, the market<br />
has cooled off and the<br />
level of demand for similar<br />
properties has diminished<br />
with vacancy rates currently<br />
at 1.6% in Hobart.<br />
This equates to only a<br />
handful of vacant properties<br />
at any given time during the<br />
period.<br />
The above figures clearly<br />
show that demand for rental<br />
properties in Hobart is seasonal<br />
with the greatest demand<br />
in the summer months.<br />
PROPERTY VIEW<br />
SEPTEMBER <strong>2018</strong><br />
For sale by expressions of interest<br />
STRONG STREET EXPOSURE<br />
130 Brighton Road, Brighton<br />
Outline indicative only<br />
• Light industrial property with strong exposure<br />
to Brighton Road<br />
• Land area of 5,000 sqm* with dual access<br />
from Brighton Road and Augustus Road<br />
• Large clearspan workshop of 450 sqm* with<br />
mezzanine of 80 sqm* and showroom/offices/<br />
amenities of 200 sqm*<br />
• Extensive hardstand, fully fenced and includes<br />
vehicle wash bay and on-site car parking<br />
• Short term leaseback to Onetrak provides<br />
holding income for developers or owner<br />
occupiers – rental of $61,500 net (*approx)<br />
Outline indicative only<br />
Ian Reed 0419 670 501<br />
Matthew Wright 0458 290 588<br />
View at KnightFrank.com.au/4401086<br />
Sold<br />
OCCUPY, INVEST, DEVELOP<br />
94 Grove Road, Glenorchy<br />
Sold<br />
PREMIER CBD DEVELOPMENT SITE<br />
179 Macquarie Street, Hobart<br />
SOLD<br />
• Large holding; land size 1.7 ha (approx)<br />
• Building area 4,615 sqm (approx) over all<br />
tenancies<br />
• Stoneman’s lease three years remaining plus<br />
two options of five years - long standing tenant<br />
leasing 40% of the site<br />
• Opportunities for remaining site include<br />
retaining existing month-by-month tenant, part<br />
or full owner-occupancy, further development<br />
(STCA)<br />
• Two street frontages to Grove Road<br />
SOLD<br />
• Iconic site, rare opportunity<br />
• DA for 30 m, 202-room hotel<br />
• Macquarie Street frontage of over 41 m,<br />
land area 2,162 sqm (approx)<br />
• Surrounded by significant hotel and<br />
commercial assets<br />
• Zoned ‘Central <strong>Business</strong>’, CBD gateway<br />
location<br />
• Potential for residential/serviced apartment<br />
conversion (STCA)<br />
Outline indicative only<br />
Richard Steedman 0408 559 046<br />
Ian Reed 0419 670 501<br />
View at KnightFrank.com.au/3582342<br />
Hayden Peck 0412 766 395<br />
Scott Newton 0409 186 261<br />
View at KnightFrank.com.au/4342530<br />
5 Victoria Street, Hobart 41 York Street, Launceston Shop 8, 48-54 Oldaker Street, Devonport<br />
P: 03 6220 6999 P: 03 6333 7888 P: 03 6424 3568