By Shaun Inguanzo
CLAIMS by opposition leader Ted Baillieu that the Metro 3175 residential development could fail to attract buyers have prompted Greater Dandenong council executives to call for an urgent meeting with the new Liberal leader.
It coincides with comments this week by Greater Dandenong CEO Carl Wulff that council is concerned that a Liberal government could change a recent $197 million commitment by the Bracks Government to Dandenong.
Mr Baillieu toured Melbourne’s south-east last week prior to this November’s State Election.
During his visit, Mr Baillieu told Star that Dandenong’s Metro 3175 development of houses and apartments was an example of the State Government’s desperation to retain power, as he felt Dandenong was not the place for a new housing development.
“They can make the announcements but unless there is a market, the State Government will be clutching at straws,” he said. Mr Baillieu said that no one would be willing to pay for $500,000 to $600,000 for an apartment in Dandenong.
“I have no problem with the idea but I think some commercial reality needs to be extended to it.”
Mr Wulff this week rejected the claims and said prices for new homes were overstated by Mr Baillieu.
He said the average house cost was $300,000.
Mr Wulff said he was surprised to hear the comments given the depth of market research conducted by VicUrban and the council.
“We didn’t go into a $250 to $300 million venture without understanding there was a market there,” Mr Wulff said.
“I would be happy to sit down with Ted Baillieu and talk him through the actuality of what our market research is and what the costing is,” Mr Wulff said.
“Maybe he has just been given poor advice from somewhere else.”
Meanwhile, Mr Wulff revealed that the council was concerned about a change of government.
“No doubt a change in the State Government would be of concern to us in terms of how things might change, but in terms of Metro 3175, it is a locked-in contractual arrangement between the council and State Government,” he said.
“Changes in governments often change commitments, so it is important we also make sure any opposition is well across what issues and opportunities there are for Dandenong.”