Council defends approval of Shelly Bay project

Parties to a court battle over planning consent for a 350-dwelling development on an old air force base on Wellington’s Miramar Peninsula are awaiting a judge’s decision.

At the end of a two-day court hearing yesterday, Justice Peter Churchman said he knew everyone wanted a prompt decision about the Shelly Bay case but he could not say when it would come.

Local interest group Enterprise Miramar Peninsula went to the High Court to challenge the Wellington City Council consents granted for the $500 million project.

Among the grounds for the challenge were alleged conflict of interest and a claimed appearance of bias on the part of the council, which owns some of the land at Shelly Bay across the harbour from central Wellington.

It had been negotiating to either sell or lease its land for the project. After giving planning consent the council resolved to sell part and lease the rest, but no contract has been signed, the court was told.

But another ground of apparent bias was that one person involved in the commercial team doing the negotiations and other work, also had a role in the resource team that considered the planning application.

Enterprise Miramar’s lawyer said there was a risk of ‘‘contamination’’ between the two teams.

But council lawyer Nick Whittington said the person with the dual role was not a decision maker, and one of his recommendations was rejected when the decision makers applied independent judgment to their decision.

The planning decision was made by two people who had been ‘‘properly insulated’’ from other council involvement, Whittington said.

Consents were granted to The Wellington Company in April 2017 to redevelop the former Shelly Bay air force base. The company plans to develop the bay with Shelly Bay Ltd, a landowning company of Port Nicholson Block Settlement Trust, which owns the rest of the land.

As well as apartment buildings up to 27 metres high – or six storeys – a boutique hotel, resthome and perhaps a brewery were planned, along with a 12m-high car stacker to help with parking in the area.

About 350 dwellings were planned to be built over 13 years.

Lawyer for The Wellington Company, Paul Radich, QC, said the council’s approval was flexible enough for all, or just some, to be built as circumstances permitted.

The Wellington Company had an ‘‘absolute commitment’’ to seeing it through.

It also allowed the Taranaki Wha¯nui behind Port Nicholson Settlement Block Trust to provide for the iwi, from the money it could make from its involvement.

Enterprise Miramar Peninsula was set up to support the Miramar business community and advocate for better services for the area.