Divisive Hotel Indigo awaits VCAT decision

UNCERTAINTY remains about the future of Hotel Indigo in Torquay, despite a two-day Victorian Civil and Administrative Tribunal (VCAT) hearing last week.

Developers Barnes Capital want to build the five-storey hotel at the corner of Geelong Road and Bell Street, and the February 27-28 VCAT meeting was to specifically discuss a point of law dictating certain residential sites must have a minimum of 35 per cent garden coverage.

The Surf Coast Shire council rejected the planning application for Hotel Indigo, and the shire’s lawyers debated the point of law with lawyers from MinterEllison representing the developer.

A VCAT spokesperson gave no specific date for when the determination would be announced but estimated it would be somewhere between four to six weeks.

A further five-day merit hearing on the hotel is scheduled to begin November 10.

3228 Residential Association president Andrew Cherubin said if VCAT ruled in favour of those opposing the hotel, Barnes Capital would have to drastically rethink their plans.

“If we win this point of law, it means the developer has two major choices: to stop altogether or alternatively to put in amended plans.”

But Barnes Capital managing director Martyn Barnes said his company would continue to argue for the hotel to get planning permission, regardless of the ruling.

“That will be proceeding in November. It will absolutely continue.”

Mr Barnes said it was difficult to offer more information on the hotel’s future without a decision from VCAT.

Barnes Capital’s lawyers argued the hotel should be considered medium density housing, which is exempt from the 35 per cent rule.

Mr Cherubin said that ruling would set a precedent for future developments in the area.

“If you are in a medium density area and putting in a medium density hotel makes you exempt, then theoretically the whole of Old Torquay could be zero garden area if the developers saw fit. You could end up having not much garden area and multi-storey buildings.

“Our argument is that this is not the intent of the planning scheme. The intent of the planning scheme is to allow town houses and a few dual occupancies and things like that, but not to have hotels and motels everywhere, which is where it could go.”