Councillors to consider Aldi request

Site on Main St
Site on Main St

Supermarket chain Aldi is still looking at opening a store in Merimbula, however they are requesting more time before committing to purchasing a block of land.

Council will consider a request to extend a Due Diligence Deed from Romfam Investments, around the acquisition of the council owned former library site on Main St, at the general meeting on Wednesday, May 17. 

In June 2016 council agreed to grant Romfam Trust a 12 month exclusive dealing period, allowing the company to carry out due diligence before proceeding with the $1.3m purchase. 

This period expires on June 15, 2017.  

Romfam Investments has requested a six month extension to the Due Diligence Deed, citing the reason for this request will provide them with the opportunity to move towards obtaining Development Consent.

The recommendation to councillors is to grant the extension, but while Romfam claims that Aldi is committed to the site, the reality is that it is under absolutely no obligation to go-ahead with the development.

There is a risk that if council extends the Deed, and the property remains off the open market for a further period of six months, Romfam Investments would still be able to walk away from the sale. 

Code of Conduct:

At the end of the general meeting council will adjourn to closed session to discuss a code of conduct matter.

The News Weekly understands the matter relates to the proposed Cattle Bay Marina in Eden and in particular to a request by developers Eden Resort Hotel Pty Ltd for a modification to the development consent for the marina at the December 14, 2016 meeting.