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'Natural progression': council absorbs group's functions to continue working on city centre

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Sunshine Coast Council will take over the delivery the Maroochydore city centre, bringing an end to the group that started it.

Councillors voted unanimously yesterday to wind up SunCentral, with the council assuming the helm of the 53-hectare project, which includes the ongoing development of business, tourism and community ventures in the heart of the Sunshine Coast.

SunCentral is a council-owned commercial entity that was established by the council to steer the initiative in 2015.

The council said it had moved to bring the operations of SunCentral in-house, “streamlining governance arrangements and reducing duplication to deliver better value for ratepayers”.

A report prepared for councillors ahead of yesterday’s ordinary meeting notes the annual cost of operating SunCentral is currently $2 million a year, benchmarked on the 2026 financial year.

“Bringing the functions of SunCentral in house will result in a significant cost saving of approximately $1 million per year, due to savings in staff wages, board member compensation and associated overheads such as rent and insurance,” it said.

“Further savings will be recognised as functions such as legal services and communications will be done within council’s existing corporate services. Council will however need to budget for new internal staffing costs, security, vegetation and site maintenance and external consultancy costs where required, however this has been considered when determining the estimated savings.”

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Sunshine Coast mayor Rosanna Natoli said SunCentral had made a significant contribution to one of the region’s most important long-term projects.

“SunCentral played a pivotal role in bringing the Maroochydore city centre to life, laying down the foundations of a world-class precinct that will continue to benefit our community for generations,” she said.

“With the early stages now complete, the city centre is entering its next phase, with Walker Corporation continuing to work in partnership with council to deliver this landmark project.

“This is a natural progression that reflects how large precincts evolve over time.”

As the sole shareholder, the council is now taking formal steps to absorb SunCentral’s functions, and SunCentral will cease trading operations as part of this change.

How the city centre could look upon completion.

Council CEO John Baker said bringing SunCentral’s functions in-house made sense.

“This transition reflects the maturity of the Maroochydore city centre project and allows council to integrate these functions directly within our organisation,” he said.

“It strengthens our ability to work in close partnership with (developer) Walker Corporation and other stakeholders to deliver the next stages of the city centre, while ensuring the community’s long-term vision remains at the forefront.

“Importantly, this change streamlines governance, reduces duplication and ensures we are well-placed to support continued investment, job creation and delivery of critical infrastructure in the heart of our region.

“Council sincerely thanks the SunCentral Board, including its chair Ken Kanofski, board director Paul McLean and its dedicated staff for their professionalism and persistence over the past decade.

Related story: CEO exits after spearheading city centre expansion

“Their work has been instrumental in turning a bold idea into a tangible, investable city centre and in establishing the foundations that support this next phase. Their leadership and commitment have created a legacy that will continue to shape the Maroochydore city centre for generations to come.”

Cr Natoli said the transition should give residents and businesses confidence that the project remained on track.

“The Maroochydore city centre is moving forward with purpose,” she said.

“With council providing strong leadership and working alongside our delivery partners, the region will continue to see new jobs, investment and community facilities delivered in line with the approved masterplan.”

Major upcoming milestones across the precinct include the Maroochy Private Hospital, the 50 First Avenue development, the Residential Activation Fund project, SOL by Walker and the NextDC SC2 data centre.

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