Kiama Municipal Council has sat on the old Blue Haven Care Home for almost four years and is now considering selling the Havilah Place site, as the local accommodation crisis worsens.

Council had changed the environmental planning laws to allow for a seven storey suite of apartments to be built on 3.01 hectare residential zoned property, but the development did not proceed.

If sold, the money will help pay-off the remaining $15m TCorp debt used to build Blue Haven Boniara.

Council CEO Jane Stroud said the Council was making good progress on work in and around the Havilah precinct. It will do a business case and proceed with the subdivision of the old nursing home site, excise the Kiama Community Garden land, which will be retained.

“As part of adopting the Kiama Town Centre Plan, Council amended the Kiama LEP 2011 to increase the maximum of a small portion of the precinct to 25 metres. Given the residential zoning of the site, the Kiama Development Control Plan 2020 provides guidance on the size and scale of potential future development on the site,” Ms Stroud said.

A Realestate.com rental report for February 2024 shows the median rent for a house in Kiama has climbed to $700 per week. In March 2020, it was $550.

The median price to buy a three bedroom house now is $1.4m. In March 2020, it was $885k.

According to a Kiama Town Centre report (2019), the “site is ripe for redevelopment into a residential offering.”

“Located away from the centre of the town, it is still within walking distance (albeit via a steep route) to the northern end of the retail area, including the existing shopping centre…” the report stated.

Kiama Development Control Plan 2020 (Chapter 12)

“Due to its location at the top of the hill, that falls away towards the harbour, if a taller apartment building is possible it could provide breathtaking views of both the oceanfront and the escarpment without impacting on the views of surrounding developments.”

Kiama Development Control Plan 2020 (Chapter 12)

In the Council’s State of the Organisation Summary Paper, “Strategic choices for a sustainable future” (8 January 2022 ) it stated the, “Future use or disposal of (Havilah Place) site needs to be urgently considered.”

The abandoned and dilapidated Blue Haven Care facility

At the Extraordinary Council Meeting on 13 October 2022, it voted to not only sell the Blue Haven Residential Aged Care Facility (Boniara) but “ensure comprehensive engagement with the community and residents, giving consideration to future use of the decommissioned aged care facility.” (italics mine)

No community consultation has taken place.

“Any decision about the site that paves the way for increased housing supply is a step in the right direction,” said Amanda Winks, Chief Operating Officer, Housing Trust.

“It's in a great location and has the size and scale to make a real difference for the Kiama Community. Whenever a community asset is sold, there should be an obligation to ensure the sale and future use of that asset benefits the local community.

“With current rental vacancy rates of around 1% in Kiama, the inclusion of affordable rental housing is a top priority,” she said.

There is fear amongst young and old that they have been priced out of the area.

“I'm looking to buy in the market but it has become harder and harder and (I) keep missing out on properties. I’m now paying $750 per week in rent and have to share my space to make ends meet,” said Lucy, in her 60s and single.

“It's a scary time to be looking for accommodation on your own as a young person, because it is not affordable. I’ve had to extend my budget and (I am) yet still to find something half hour out of Kiama. Also I have to choose between good mental health with my pet living with me. There are so few rentals that take pets,” said Amanda, 28 and single.

When running for re-election in 2021, Councillor Neil Reilly told The Bugle, “We could create a residential development peppered throughout with affordable housing, emergency housing and places that were build-to-rent. (For example) Havilah Place near the Leisure Centre in the decommissioned Blue Haven space.”

Councillor Karen Renkema-Lang told The Bugle, “We will investigate how Council land could be used to provide emergency accommodation for the homeless and to address housing stress. For example, could the old Blue Haven aged care facility have been used to provide temporary relief for people who have become homeless or for those experiencing housing stress?”

The Blue Haven Care Home opened in 1979 as part of the Blue Haven Retirement Village. Contributor Alan Fowlie records: "The village consisted of a 40-bed nursing home built with a Commonwealth Government Grant and community and other funds, a 28-unit hostel fully funded by a grant to the Mount Warrigal Organisation, and 16 Independent living units funded by incoming residents. The land was donated to the Kiama Retirement Village Trust by local businessman Tony Friedman and the village was designed by My Geoff Twibill. When the ACF closed in 2019 it had 52 beds and 30 hostel units and the adjoining seniors village had 205 independent living units."