Wodonga Council's intention to sell a block of industrial land for a lesser price than what can be achieved was a "pub test fail", according to the developer prepared to pay the higher amount.
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JMP Developments director Andrew Stern fronted councillors yesterday to outline his concerns about ratepayers missing out on $285,000 from the sale of the Bandiana block near the former saleyards site to Repus Funds Pty Ltd.
The council has advertised its intention to sell the land for $1.725 million despite a counter offer of $2.01 million from Mr Stern's company.
Mr Stern also took aim at council's marketing of the land which he claimed amounted to a "box-ticking" exercise with a preferred party.
"I'm sure council would find considerable positive usage to put those extra funds to if our offer was accepted," he said.
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"If you adopted the pub test and spoke to the ratepayers you act for, would they be happy with this outcome?
"It is my guess council has run the sale process as a result of having discussions or negotiations with Repus regarding the parcel of land and has wanted to accept the proposal from Repus, but clearly has the statutory obligation to run the sale process publicly.
"We then get ourselves in this pickle of going through the process."
The Repus offer is contingent on having a planning permit for intended works approved within 18 months.
Mr Stern was quizzed what his intentions were if he bought the Banidana industrial block.
"We would be demand driven and be actively out there looking for suitable tenants, but one thing we won't do is allow any sort of tenancy that is in anyway going to compromise adjacent residential development," he said.
The council will make a determination on the land sale at its September 21 meeting based upon the expression of interest process and taking into account any submissions