HIS HONOUR:
A neighbour applies to be joined as party to a development appeal
1 The proprietors of Owners Corporation of Strata Plan 46768 own a residential unit complex at Hayes Street, Neutral Bay. The unit complex adjoins to the south land at 7-11 Manns Avenue, Neutral Bay on which there is currently erected buildings used as a boarding house.
2 Morrison Design Partnership Pty Ltd lodged a development application on 20 September 2006 for a change of use from boarding house to residential aged care facility comprising 61 bedrooms, renovation and repair to existing buildings, erection of new infill building, partial demolition of buildings and excavation for basement car parking.
3 Because the development application proposes the change of use of the boarding house to residential aged care facility, North Sydney Council was only able to grant consent with the prior concurrence of the Director-General of the Department of Planning: see cl 7(3) of the State Environmental Planning Policy 10 - Retention of Low Cost Rental Accommodation.
4 The development application was publicly exhibited and submissions were received from the relevant precinct committee, the proprietors of the Owners Corporation and other residents of the neighbourhood. The development application and submissions received were considered by the Council on numerous occasions over the course of the following year. The development application and plans were amended to deal with the concerns of the Council and the persons who objected, including those of the Owners Corporation.
5 Ultimately, the Council became satisfied that all of the issues that had been raised by it and by objectors had been adequately addressed and the development application, as amended, was appropriate to be approved on conditions. The Council sought the concurrence of the Director-General under cl 7(3) of State Environmental Planning Policy No 10. However, the Director-General advised, by a letter dated 25 September 2007, that concurrence under State Environmental Planning Policy No 10 was refused. Accordingly, the Council at its meeting on 15 October 2007 was obliged to refuse development consent.
6 The sole reason the Council gave for its refusal was:
"The Director-General of the Department of Planning has refused concurrence and as such, development consent cannot be granted pursuant to cl 7(3) of State Environmental Planning Policy No 10 - Retention of Low Cost Rental Accommodation."
7 Morrison Design Partnership had, on 9 October 2007, lodged an appeal under s 97 of the Environmental Planning and Assessment Act 1979 to the Court against the Council's then deemed refusal of its development application. This became, in effect, an appeal against the Council's actual refusal after the Council so determined on 15 October 2007.
8 The Director-General was joined as a second respondent to the appeal. On the return of the matter before the Court, Morrison Design Partnership, the Council and the Director-General sought, and the Registrar agreed to make, an order arranging a conciliation conference under s 34 of the Land and Environment Court Act 1979. Such conferences are presided over by a Commissioner of the Court. The conciliation conference has been arranged for 19 December 2007.
9 The Owners Corporation, by notice of motion dated 23 November 2007, seeks an order pursuant to s 39A of the Land and Environment Court Act to be joined as a party to these proceedings as a third respondent. This motion came before me today for hearing.
The evidence of the neighbour
10 The Owners Corporation relied on the affidavit evidence of Mr David Pugh, the chairman of the executive committee of the Owners Corporation and the joint owner and occupier of unit 8 in the residential unit complex. Mr Pugh notes that vehicular access to and from the underground car park of the residential unit complex is via a strip of land which is owned by the Owners Corporation and connects the complex with Ben Boyd Road. This strip of land is burdened by a right of carriageway and footway. Properties benefiting from the right of way include the properties at 7-11 Manns Avenue, namely the proposed development site.
11 Mr Pugh notes that the proposed development by Morrison Design Partnership does not comply with certain development standards under the applicable environmental planning instrument, North Sydney Local Environmental Plan 2001, in respect of height, landscaped area and number of storeys.
12 Mr Pugh expresses the opinion that the proposed development would have "major impacts" on the residential unit complex generally and on his unit 8 in particular. These impacts are stated by Mr Pugh to be:
"(a) no definitive traffic construction plan has been considered by Council which is likely to lead to unacceptable levels of construction vehicles in the driveway (estimated up to 960 vehicle movements for excavation alone) and this critically important issue has been left as a deferred commencement condition;
(b) increased use of the driveway both pre-and post-construction;
(c) the bulk and scale of the south-west elevation on the three units of the unit complex fronting that elevation;
(d) overshadowing and loss of privacy, particularly to units 7, 8 and 9 of the unit complex;
(e) overshadowing of the primary north facing landscaped terraces of units 7, 8 and 9 of the unit complex;
(f) increased noise impacts on the adjoining units in the unit complex from:
• increased traffic from the proposed residential aged care facility;
• increased service deliveries;
• air conditioning units;
• the proposed turntable."
13 Mr Pugh expresses concern, having regard to communications between the Council, himself and representatives of the Owners Corporation, the Council officer's reports assessing the development application and the resolutions of the Council, that the Council and the Director-General will not defend the appeal brought by Morrison Design Partnership on any of the issues of concern to Mr Pugh or the Owners Corporation that I have outlined above.
14 Mr Pugh notes that the Owners Corporation have engaged a number of independent experts to advise on these issues. These experts include a traffic consultant, Mr Rudd of Masson Wilson Twiney, and an overshadowing expert, Mr Mills of J M Computer Modelling. Each of those experts have prepared expert reports. The expert reports have previously been submitted to the Council and were considered by the Council.
15 Mr Pugh expresses his belief that the Owners Corporation is able to raise relevant issues that should be considered in the appeal and that are not likely to be raised at all or sufficiently addressed by the Council or the Director-General unless the Owners Corporation is joined as a party. Mr Pugh also expresses his belief that because of the large number of other users of the driveway, the issue of traffic management and intensification of use of the driveway, are important considerations of wider public interest.
The evidence of the applicant for development consent
16 Morrison Design Partnership oppose the joinder of the Owners Corporation as a party to the proceedings. The Council and the Director-General neither consent to nor oppose the joinder of the Owners Corporation as a party.
17 Morrison Design Partnership relied on affidavit of Mr John Wynne, a director of the consultant town planning firm, Urbis. Mr Wynne, both in his affidavit and by reference to the exhibited documents from the Council's file, sets out the history of the Council's consideration of the development application.
18 Mr Wynne was retained by Morrison Design Partnership in about March 2006 to prepare a statement of environmental effects to accompany the development application. Mr Wynne noted that Morrison Design Partnership held pre-lodgement meetings with the Council to discuss the proposed development on 2 March, 29 July and 2 August 2006.
19 Mr Wynne noted that Morrison Design Partnership undertook community consultation with surrounding residents and the local precinct committee. This included representatives of Morrison Design Partnership meeting with owners of the adjoining properties including the proprietors of the Owners Corporation at 2 Hayes Street, including Mr Pugh, as well as with the Hayes Street Precinct Committee.
20 Mr Wynne noted at the time he lodged the development application for the proposed development, Morrison Design Partnership had received five letters of support from surrounding residents and a letter of support from the precinct committee.
21 Mr Wynne noted that the development application was referred by the Council to the Department of Planning on 21 September 2006 because of that Department's role under State Environmental Planning Policy No 10.
22 Mr Wynne noted that the Council's assessment officer sent letters to Morrison Design Partnership on 16 and 26 October 2006 raising issues regarding drainage and access. Morrison Design Partnership responded to those issues by letters dated 19 and 30 October 2006. Mr Wynne noted that thirteen submissions were received from individual residents of 2 Hayes Street raising a number of issues. Those issues included the issues that the Owners Corporation now seek to agitate if joined as a party to these proceedings.
23 The issues raised by the residents of 2 Hayes Street were set out and considered in the report of the Council's Executive Assessment Planner who reported to the Council meeting on 26 February 2007.
24 Mr Wynne noted that further submissions were received by the Council from experts retained by the Owners Corporation. These expert submissions were from Moody & Doyle, town planners and Masson Wilson Twiney, traffic and transport consultants. One of the submissions from Masson Wilson Twiney was a letter dated 31 October 2006, which is the report to which Mr Pugh referred in his affidavit and which the Owners Corporation seeks to rely upon if leave is granted to it to be joined as a party to the proceedings.
25 A further submission was received by the Council from the Owners Corporation on 24 January 2007.