FREMANTLE council says it’s “monitoring” a $5 million claim lodged against its Kings Square development partner but is confident it won’t affect the project.
Earlier this week the West Australian reported that days before going into administration, builders Oxley and Cooper had filed a claim for $6.5 million against Sirona Capital. O&C claims $5 million it put into a unit trust associated with the square development in 2011 was a loan and wants it returned plus interest, while Sirona argues it’s an “illiquid” investment and will fight the claim.
“The city has no involvement in the commercial arrangements between Sirona Capital and Cooper & Oxley and therefore it would not be appropriate for the city to comment or speculate on this issue, other than to say we have every confidence it will have no impact on the Kings Square Renewal project,” Fremantle CEO Philip St John told the Herald.
“The renewal project is progressing well and we look forward to delivering this project which will transform the heart of Fremantle.”
Cooper and Oxley also had a $12 million redevelopment of the old Kaleeya Hospital in East Fremantle on its books before calling in administrators. The project was due to be completed in January, and a representative from owner Southern Cross Care (WA) told the Herald it staff had already moved in, but they were unaware of what works may have been outstanding.
by STEVE GRANT