The recent Planning & Environment Court decision of
Montrose Creek Pty Ltd and Manningtree v BCC serves as a
valuable reminder why skimping on due diligence is not worth the
risk.
The matter concerned a mixed use development located in Keperra
that Brisbane City Council approved for Opal Wing Pty Ltd. The
approved use commenced and the site was subsequently purchased by
Manningtree and Montrose. The Development Permit included a
standard condition requiring the payment of infrastructure
contributions prior to the use commencing. In September 2010,
Council discovered that an amount of over $400,000 in
infrastructure contributions remained outstanding for the site.
Council initially pursued Opal Wing but it entered into voluntary
liquidation. Council then pursued Manningtree and Montrose for the
outstanding infrastructure contributions. A Show Cause Notice was
issued, followed by an Enforcement Notice served on the basis that
the failure to pay the outstanding
