CCBR August 2012 by Central Coast Business Review

Print Post Approved â&#x20AC;&#x201C; PP212564/0002

Vol 23 August 2012

Published monthly (except January)

A new life for Magenta Shores Erina Chamber says parking must be fixed Coast population stabalises

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S AT U R DAy 18 AU G U S T 2 01 2 The Show Room, Mingara

Central Coast Premier Business Event for 2012

17 AwA r d s • Business of the Year • Employer of Choice* • Excellence in Innovation* • Excellence in Manufacturing • Excellence in E-Business • Excellence in Marketing

• Business Leader* • Excellence in Home-Based (Micro) Business • Excellence in Business Sustainability* • Excellence in Service • Excellence in Small Business*

• Future Business Leader* • Excellence in Business Ethics* • Excellence in Export* • Local Chamber of the Year • Excellence in Medium Business • Excellence in Large Business

I n de pe n de n t J u d g e s Judges Graham Baker – Innovative Regions Facilitator, Frank Sammut MIE Aust – Consultant, Dr Anton Kriz, Senior Lecturer University of Newcastle, John Knight, Jo Heighway, Donna Bailey. Nominations close 6 July 2012 To obtain your nomination form (with judging criteria) please contact: kerry@ccbea.com.au

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IN THIS IS S UE

Cover story

Broadband News

15 NBN Discovery Truck popular

A new life for Magenta Shores

Business news

Regular features

Business as usual for resort

6 Edgar Adams Editorial

Erina Chamber says parking must be fixed

Time to think outside the square

8 Coast population stabilises – no longer a fast growing region

16 Business Briefs

10 McGuinness appointed Chair Central Coast Medicare Local

Business Tips

Important changes to the ATO’s director’s penalty regime

11 Central Coast graduation celebration 12 Community housing challenges 13 Central Coast to host water conference

18 Commercial Industrial Property Reports

23 Think twice before dismissing employees on Workers’ Compensation Consider Whether Flood Cover Is Necessary

The Palmdale Group acquires Park in Dubbo

24 Comment

OnePath moves Call Centre to Gosford

Towards a new model for Community Housing

14 Restaurant renaissance in Gosford

25 Eating Out

16 Max Perry joins Grant Thornton

26 Funny Business

Erina Chamber appoints Executive Officer

Cartoon – David Walsh

Insolvency expert joins SV Partners 17 Sales and Marketing Manager for Magenta Shores Segway Central Coast - Riding to Success 21 Overview of the Costs and Benefits of ESD in Buildings

Contact

August 2012

Front cover: Aerial View Magenta Shores showing golf course and residential development to date as well as undeveloped area to the north

Phone 02 4367 0733 Fax 02 4367 0744 Email info@ccbusinessreview.com.au Web www.ccbusinessreview.com.au

CENTRAL COAST BUSINESS REVIEW

Cov e r story

A new life for Magenta Shores The residential, resort and golf components of the huge Magenta Shores development at North Entrance is about to gain a new life following its sale by the original developers Mirvac Group last year. Rich Sea International Pty Ltd completed its $40 million acquisition of the remaining ninety-six existing residential properties and 22.5 Ha green field site (for future staged development) at Magenta Shores, in August 2011. The site originally attracted their interest because of; the uniqueness of the estate; the seamless integration of the residential component with a world class golf course and country club and the five star Quay West resort with its associated facilities; a magical location, surrounded by National Park on two sides and adjacent to the beach; as well as its close proximity to Australia’s largest city, and the potential for future expansion. Since Rich Sea International took ownership they have sold a remarkable sixty properties. This has been due in part to the re-branding and re-pricing strategy but also to the holistic view the owners have taken to improving the surroundings and facilities at the complex. Commenting on their investment Howard Cao of Rich Sea International said “We are very happy with the results achieved to date and we are encouraged

Residential development around Magenta Shores Golf Resort

that there is demand for high quality housing on the Central Coast. Our vision is to create a community within the Magenta Shores resort that shares the values and aspirations of the broader Central Coast community. We will continue to consult with the locals and council to look for improvements and enhancements to the master-plan which will best serve the wants and needs of the residents and further improve upon

YO U R B U S I N E S S H A S A N E W Workplace

the existing facilities when we begin the release of our exciting new stages starting in 2013.” At this stage the details of the new release stages have not been finalised. Whilst the format and design of the houses in the existing stages has been remarkably successful there may be greater scope for buyers to “stamp their own mark” on the design of their home in the future. Paul Seisums Magenta Shores

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August 2012

Cover sto ry

Sales & Marketing Manager said “the englobo component of the acquisition is indeed an exciting add on to the whole golf course community model, the recent draw down in finance with the project being 75% unencumbered strengthens our position.” On marketing Mr Seisums mentioned ‘the property has only been marketed locally, mainly to Central Coasters and the Sydney market demographic. It is envisaged that the majority of buyers will emanate from the Coast, Sydney, Newcastle and the Hunter region.” There are four main styles of existing residences at Magenta Shores. The three bedroom villa’s which can be leased back to the Quay West letting pool or permanently let or owner occupied start at $450,000. The four bedroom terraces start at $695,000. At the upper end of the price spectrum are two and three storey, four bedroom Beach houses that start at $1,280,000 with expansive views over the Pacific Ocean. In January this year with the assistance of Rich Sea International the Magenta Shores Golf & Country Club (a separately run entity) was able to privatise the golf course. As an expression of goodwill, the company purchased 289 memberships for title holders in the future stages ensuring the long term viability of the club.

Business as usual for resort Mirvac also sold their Mirvac Hotels and Resorts division to the hotel giant Accor in December 2011 with the sale completed in May this year. The sale included the management of the Quay West Magenta Shores Resort which will ultimately be rebranded as an Accor property. Scott Armstrong, General Manager of Quay West said that while the name has

Quay West Magenta Shores Golf Resort

not yet changed it is business as usual. Accor is taking its time to ensure that there is no interruption to business as a result of a change of brand. Mr Armstrong said business is going well, Accor is being strategic in their rollout of the change of brand across the group and it is expected that the property will be rebranded to an Accor brand in the next twelve to eighteen months.

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CENTRAL COAST BUSINESS REVIEW

E D I TOR I AL Edgar Adams discusses local issues

Time to think outside the square At last the first results of the 2011 Census have been released by the ABS and they now prove what many people who work at the pointy end of the Central Coast economy have being saying for a long time but government has denied. Our population growth has slowed to less than 1% per year. As expected Wyong’s population has grown faster than Gosford at 1.3% annually over the past 10 years while Gosford’s population growth over the same period is 0.37%. However, that is not all. The most concerning aspect is that our region’s Age Profile shows that our young population (families) is diminishing while our retiree population is rising. There are now less people in the 0-34 age group as a proportion of the population than ten years ago while the 64+ age group has risen to 18.8% and the 35-64 age group has risen marginally. What does this mean? It means that our politicians, state and local, have successfully driven out our young people. Of course this will be denied but one only has to look back and take stock of all the projects that could have got off the ground had they not been scuppered by local self interest and myopic attitudes. Both Councils and State Government are guilty and it seems like there is very little interest on the part of our politicians – who created this situation – to change.

CENTRAL COAST BUSINESS REVIEW

Right now the O’Farrell Government is showing so little interest in the redevelopment of Gosford that they will be judged just as guilty as the previous Labor Government which brought our residential building industry to a halt and created a situation where both Councils could stop any project they chose to. The Central Coast is now regarded by investors, developers and above all the banks and financial institutions as a “no go” zone. Opportunities abound on the Central Coast but councils need to have the welcome mat out. Welcome means, “What can we do to make your idea to invest here on the Central Coast work”. It means saying “Yes” not finding every possible means to delay or stop a project. There is an election in September so pardon my cynicism but of late Gosford Council has overridden staff recommendations to stop or delay projects. Two examples are the Parkside development at Terrigal and the new Bunnings Warehouse at West Gosford. Parkside could have got off the ground years ago had this attitude been applied then. While Council espouse a pro-development policy CCBR knows that much of this is smoke and mirrors. While they are approving some projects others are languishing due to sheer intransigence. While the Coast’s economy is a basket case there is hope.

One Federal project which neither the O’Farrell Government nor the two Councils can stop is the early roll-out of high speed broadband on the Central Coast. It is now on its way and Gosford CBD is expected to be connected by the end of the year. This is an opportunity that must be capitalised on right now and we cannot rely on the O’Farrell Government. It is unlikely that they will agree (as the previous government had) to relocating a government department to Gosford to kick start The Landing project on the waterfront. Gosford Council however, could show some real leadership by relocating the Council Chambers, with a desperately needed Civic Hall, to The Landing. The huge block of land they presently occupy is totally underutilised and could be redeveloped for a university campus, student accommodation, commercial office space as well as residential living. It is time to think outside the square! Edgar Adams Editor

Hear Edgar Adams’ business comment 8.10am each Monday. Also follow us on Facebook and Twitter

August 2012

general News

Erina Chamber says parking must be fixed Erina is a commercial hub with hundreds of local businesses and major national companies generating huge employment, yet it still doesn’t have a public car parking station for the thousands of employees that work in Erina every day. This is a problem that must be fixed said President of the Erina Chamber of Commerce, Tim Gunasinghe. “Gosford, Woy Woy and Terrigal all have public car parking stations and it’s well overdue for Erina to have the same. People working at Erina are forced to park in poorly lit areas, many blocks from their places of business”. “We’re talking about a serious commercial hub here with thousands of people affected. So we’re determined to work with Gosford City Council and have the problem fixed”, said Mr Gunasinghe. The newly formed Erina Chamber of Commerce Board is not waiting for Council to develop the plans either. The Chamber already has them on the table.

August 2012

Proposed Erina Parking Station

“By moving some of the current tennis courts area slightly further along Karalta Road we would create the space for a public car parking station. This would also benefit the many people that use the tennis courts or attend games at the Erina Rugby Leagues Club Oval. It’s an obvious solution that simply makes sense and it’s certainly well overdue”, continued Mr Gunasinghe.

The Erina Chamber of Commerce Board of Directors has arranged a meeting with Gosford City Council in late August to address the proposal and set a timeline. “The newly formed Erina Chamber Board is determined to drive solutions to several important issues and the first is making safe, convenient parking a reality”, said Mr Gunasinghe.

CENTRAL COAST BUSINESS REVIEW

census 2 0 1 1

Coast population stabilises – no longer a fast growing region Over the last ten years population growth on the Central Coast has dwindled to just less than 1% per year. In the early 90s it was running at around 4% per year. The region’s growth now compares with the NSW growth rate just under 1% per year as well. The essential population data from the 2011 Census has now been made available by the Australian Bureau of Statistics and for government the message is that the Central Coast is no longer the fast growing region it once was. In fact the region’s growth rate has been in decline since 1996.

Five year growth rate since 1986 Census Year

Population

Growth Rate

1986

191,646

1991

229,424

19.7%

1996

260,839

13.7%

2001

285,508

9.5%

2006

297,956

4.3%

2011

312,186

4.8%

Source: ABS Census 1986 - 2011

This is a far cry from the estimated population figures published by the ABS for 2011 which show a population growth far higher than the reality.

Estimated vs Actual Population Estimated 2011 Actual 2011 Gosford

168,787

162,440

Wyong

152,758

149,746

Central Coast

319,158

312,186

Growth Rate

7.1%

4.8%

Source: ABS

Wyong growing faster than Gosford at near zero However, when comparing the growth rates of the two Council areas a different story emerges. While Wyong has grown by 17,157 people over the past ten years or 13% (1.3% annually) Gosford’s growth of 5,791 people over ten years is 3.7% (0.37% annually) is so close to zero that it doesn’t matter. For this to be the case one could assume that Gosford Council has had an unofficial cap on population growth.

More retirees and fewer youngsters

The population of the Central Coast The Median Age of the Central Coast at the time of the 2011 Census was population according to the Census Time 312,186 people of which 162,440 were Series data has risen from 38 years to 40 in the Gosford LGA and 149,746 in the years over the past ten years while the NSW Wyong LGA. Age has risen to 381years. AdamsSR_CCBR_3rdPgAd_art_8321:LayoutMedian 1 17/2/11 8:34from PM 35Page

In the 0-19 year age group the number of persons has risen from 81,409 in 2001 to 81,808 in 2011, an increase of 0.50% in the ten year period. This compares with the NSW growth rate of 1.1%. This age group now represents 26.5% of the population compared with 26.0% for NSW. In the 20-34 year ago group the growth rate has been 1.0% over ten years compared with the NSW growth rate of 4.7%. Furthermore, this age group now represents 15.9% of the population compared with 17.0% ten years ago and currently 20.0% of the NSW figure. In the 35-64 year age group the population has risen by 13.5% over ten years compared with the NSW growth rate of 13%. This age group now represents 38.8% of the total regional population compared with 37.0% ten years ago. In the generally accepted retiree age group of 65 years plus the regional population has grown by 16.0% and now represents 18.8% of the total population, compared with NSW at 15%. While much concern is now being voiced about the ageing of the Chinese population and its detrimental effect on their economy in the medium and the even worse scenario of the aged population of Japan right now, it is time for government, particularly our state and local governments, to take a serious look at a problem that is seriously affecting our local and state economies.

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census 2 0 1 1

Central Coast Age Profile Age group

2001

2006

2011

Central Coast Proportion of population

NSW Proportion of population

0-19 years

81,409

28.5%

80,661

27.5%

81,808

26.5%

26.0%

20-34 years

48,576

17.0%

47,109

16.0%

49,064

15.9%

20.0%

35-64 years

105,554

37.0%

112,850

38.4%

119,830

38.8%

39.0%

49,969

17.5%

53,090

18.1%

57,928

18.8%

15.0%

TOTAL

65 years +

285,508

100%

293,710

100%

308,630

100%

100.0%

Median Age

38 years

39 years

40 years

Source: Census 2001, 2006, 2011 Time Series Community Profiles

Income

Housing affordability

The Median Personal Income of Central Coast residents at the time of the 2011 Census was $502 per week compared with NSW of $561 per week. In terms of personal income the highest income suburbs were North Avoca with $783 per week followed by Yarramalong with $716 per week. In terms of Household Income the Median income was $1,003 compared with NSW $1,233 with the highest income suburbs being Erina Heights, Matcham, Holgate and North Avoca.

On the Central Coast Median Household Income at the time of the 2011 Census was $4,313 per month compared with the NSW Median Household Income of $5,302. Against this the Median Mortgage payments for Central Coast residents was $1,820 or 42% of Household Income. This compares with the NSW percentage of mortgage payments to income of 38%. Rental accommodation amounts to 27% of Household Income for Central Coast residents compared with NSW of 24%.

Median personal income % Weekly

Median Household Income $ Weekly

Median Mortgage Payment $ Monthly

Median Rent $ Weekly

Central Coast

502

1,003

1,820

270

New South Wales

561

1,233

1,993

300

Source: 2011 Census

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McGuinness appointed Chair Central Coast Medicare Local Graham McGuinness OAM has been elected Chair of the newly created Central Coast Medicare Local The appointment of the new Board and Chair marks the foundation of the Central Coast Medicare Local, one of a nation-wide network of Medicare Locals established under the Commonwealth Governmentâ&#x20AC;&#x2122;s National Health Reform program.

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CEO of the Central Coast NSW Medicare Local, Richard Nankervis, said, â&#x20AC;&#x153;the Board will play a key role in the governance, oversight and long term strategic direction of the Medicare Local and will be supported by a range of Advisory Groups drawn from across the Central Coast, with the intent of ensuring that health services are better tailored to suit the needs of local communities.â&#x20AC;? With an extensive background of CEO experience in the public and private health sectors, Mr McGuinness is also Chair of the Central Coast Community Care Association, Employment and Training Australia and Director for the Central Coast Palliative Care Volunteer Foundation. Mr McGuinness has a Bachelor of Health Administration

degree, Post Graduate Diploma in Personnel Management & Industrial Relations and is a Fellow of the Australian College of Health Service Executives. Mr McGuinnessâ&#x20AC;&#x2122;s appointment carries forward from his previous Directorship of the Central Coast Division of General Practice since 2006. â&#x20AC;&#x153;I am looking forward to working with a suite of health professionals and service providers to drive the development of new and improved programs and services that will bring tangible improvements to health care across the Central Coastâ&#x20AC;? Mr McGuinness said. The Board of Directors of the new organisation was announced in late June with effect from 1 July. They are: Peter Coomber who was formerly Chair of the Division of General Practiceâ&#x20AC;&#x2122;s Finance Audit and Risk Committee and was first appointed in 2007 Dr Ian Charlton, a general practitioner at Kincumber who was appointed to the Division Board in 2010 and was Deputy Chair. Dr George Miller, a general practitioner with the Killarney Vale Family Medical Practice who joined the Division Board in 2007, and Dr Stuart Anderson, a general practitioner at Absolute Medical Services Lisarow who joined the Board in 2007.

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August 2012

general News

Central Coast graduation celebrate Over four hundred students celebrated the completion of their studies at the Central Coast Campus at the end of June. Recognising the unique partnership between the University of Newcastle, TAFE NSW – Hunter Institute and the Central Coast Community College, students across the three institutions gathered at Ourimbah to celebrate their achievements. Pro Vice-Chancellor Central Coast campus, Professor Stephen Crump, said graduation was a highlight of the year. “Graduation ceremonies are a time for students to celebrate and reflect on their achievements as they enter a new stage of their lives. I congratulate them all and wish them well for the future.” Of the 464 students who graduated, 394 completed University of Newcastle programs while 64 have completed TAFE qualifications and a further seven graduated from the Central Coast Community College. University graduates received their certificates from the recently appointed Chancellor, Dr Ken Moss AM while TAFE graduates received their certificates from the Hunter Institute Director, Phil Cox and Central Coast Community College, from President John Halling. The high number of graduating students this year required three Graduation Ceremonies to be held, in the morning, afternoon and evening. Occasional Speakers at the ceremonies included: • Bronwyn Chambers, Elder in Residence at the University of Newcastle’s Wollotuka Institute based at Giballee on the Central Coast Campus, • Eric Jamieson, Principal of Plumpton High School, • David Abrahams online entrepreneur, regional enterprise campaigner and media commentator known as ‘Digital Dave’, and • John Asquith semi-retired engineer and Chairman of the Central Coast Community Environment Network. Higher research degrees were conferred on: • Deborah Meyer - Doctor of Philosophy Faculty of Business and Law Thesis Title: An Exploratory Study of the Factors that Influence the Management of International Business Air Travel • Francesca Bell - Doctor of Philosophy Faculty of Education and Arts Thesis Title: The Salvaged Image: A Study of Fairy Tale, Mervyn Peake and the Creative Process August 2012

Timothy Lynar receives his Doctor of Philosophy from Chancellor Dr Ken Moss AM

• W ai Lok Yiu – Doctor of Philosophy Faculty of Health Thesis Title: Investigation and Validation of a Novel Text Mining Methodology for Occupational Accident Analysis Prevention • Timothy Lynar Faculty of Science and Information Technology Thesis Title: Energy Conservation in Distributed Heterogeneous Computing Environments Using Economic Resource Allocation Mechanisms • Mahta Moussavi – Doctor of Philosophy Faculty of Science and Information Technology Thesis Title: Comparative Analysis

of the Viability and Functional Performance of Mono- and MultiSpecies Probiotic Cultures in a NonDairy Food Matrix • Nenad Naumovski Faculty of Science and Information Technology Thesis Title: The Effects of (-) – Epigallocatechin -3-O-gallate (EGCG), a Green Tea Catechin, on Blood Cholesterol

University Medallists Three candidates who achieved First Class Honours and displayed exceptional academic ability were awarded the University Medal. They were: Deborah Levi, Kylie Nowalinski and Jaclyn Pace.

CENTRAL COAST BUSINESS REVIEW

gene ral news

Community housing challenges Gosford-based community housing provider, Pacific Link, is widely acknowledged as one of the most innovative best practice providers in New South Wales – and if their research is right, they’ll need to be as local populations soar. Community housing allocations through the Central Coast and Lower Hunter regions are already lower than the state average, and waiting lists are disproportionately long. Now an independent study forecasting rapid population growth is setting new challenges for the group. Pacific Link was one of the first community housing providers approved by government more than twenty-five years

Keith Gavin

David Bacon

ago. In regional terms, it’s a big business – managing around 900 homes and $250 million in assets with turnover around $11 million per annum. A not-for-profit organisation, it is managed by a board of skill-based directors under the chairmanship of David Bacon with twenty-one staff taking responsibility for the provision and upkeep of housing assets, plus the delivery of client services to a group of more than two thousand tenants dispersed through seven local government areas. As a service provider, Pacific Link aims to help tenants live stable lives, grow new life skills and – for those who can – return to independent private sector living. As CEO Keith Gavin points out this requires one-on-one attention and the provision of wide-ranging, wrap-around services, many of which are provided by more than 25 service partners across the region. “Not all Pacific Link tenants enter the system with debilitating problems, but there are those with high-complex needs

who will always need assistance - and with fewer places and growing waiting lists our ability to help those most in need is a constant source of concern.” he said. A regional housing study conducted by Dr Tony Gilmour for Pacific Link shows the population of the Central Coast will grow by 39% to 425,000 over the next 25 years, while the Lower Hunter grows by 31% to a total of 676,000. Most of the growth on the Central Coast will be in Wyong where growth rates of up to 60% will see the population reach 228,000. To meet these growth forecasts, the Lower Hunter will need to provide 115,000 new dwellings and the Central Coast 56,000. On average, community housing accounts for 5% of all homes throughout NSW. The Central Coast and Lower Hunter have already fallen behind, and so will need a minimum of 8,550 homes set aside for community housing by 2036. Backed by an experienced board including tenant representatives, David Bacon and Keith Gavin are looking to new models and a change in emphasis to meet future needs. “Some tenants and to an extent providers have come to see community housing as an appropriate life choice,” said Mr Bacon. “There has been a view that once people enter community housing they can stay for life. We may need to think differently in the future. His argument for a new model appears on page 24.

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CENTRAL COAST BUSINESS REVIEW

August 2012

general news

Central Coast to host water conference Gosford and Wyong Councils have won their bid to jointly host the 2013 Local Government and Shires Associations (LGSA) Water Management Conference. Attracting around two hundred delegates from the water industry and councils throughout New South Wales, hosting the annual 3-day conference is a significant win for the Central Coast. Wyong Shire Council Mayor Bob Graham said the event will bring people from across New South Wales to the Central Coast to discuss a wide range of water issues. “The conference is aimed at those working in the water management industry, such as policy makers and local government professionals and representatives.

Gosford Mayor Laurie Maher said the conference will not only showcase the region but also the achievements made in water management on the Central Coast. “We have successfully managed our water supply to move from a time of drought to the highest dam levels in 15 years. “This has been achieved through the implementation of WaterPlan 2050, our region’s long term water supply strategy, the completion of the Mardi-Mangrove Link and other major system upgrades. “The Central Coast provides a unique example of regional cooperation in the delivery of water services with the creation of the Central Coast Water Corporation well underway,” Councillor Maher said.

OnePath moves Call Centre to Gosford OnePath, a leading provider of wealth, insurance, superannuation and advice solutions, and wholly owned subsidiary of ANZ Bank has relocated its call centre from Tuggerah to Gosford. OnePath was formerly part of ING Australia and as such has operated at Tuggerah Business Park since 2002. The move was necessitated as a result of the change of ownership of the wealth and insurance division of ING to ANZ. The Gosford move sees seventy staff of the retail life assurance team relocated.

National Customer Service Manager, Lidija Apoleska, who is based at the Gosford Centre said, “We felt that it was important for us to continue operating from the Central Coast, and moving to Gosford has shown to be an ideal location. While we don’t currently have any plans to expand the site at this time our relocation does signal our investment in the area and our commitment to growing our presence outside the Sydney CBD.” Onepath also has offices in Sydney, Perth, Adelaide, Brisbane and Melbourne.

The Palmdale Group acquires Park in Dubbo The Palmdale Group has announced that it has acquired The Western District Memorial Park in Dubbo as part of an expansion plan. Commenting on the purchase Brad Kennedy, Manager Special Projects of The Palmdale Group said, “This is a wonderful opportunity for The Palmdale Group to continue to follow its success on the Central Coast and expand within another region in New South Wales.” “We have a trusted name and have earned a reputation for integrity and commitment to meeting the needs of the families who we serve. We are looking forward to utilising our years of experience and wide scope of knowledge in the Central Coast market to ensure the Western District Memorial Park is operating at its highest potential.” The Palmdale Group which is Central Coast owned includes Creighton’s Funeral Service which was founded in 1843 in Gosford, Palmdale Lawn Cemetery and Memorial Park at Ourimbah established in the 1960s and Greenway Chapel and Memorial Gardens at Green Point established about ten years ago. The Palmdale Group’s Central Coast facilities are renowned for their spectacular settings and have been recognised for their picturesque landscaped gardens and water features, collecting major prizes at prestigious Garden Competitions

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August 2012

CENTRAL COAST BUSINESS REVIEW

gene ral news

Restaurant renaissance in Gosford For too many years people looking for somewhere to eat in Gosford have not had many choices, however that has changed over the last four months as new restaurants have set up to satisfy as what they see is a market opportunity. Last month CCBR reported on Gosford’s new Cocktail Bar, Reviver, which Gordon Ryan has established. Reviver seems to be the perfect complement to an evening out in Gosford either before or after a pleasant meal. Laurie Spooner, Jay York and Rohan Wallace

Kavi Hurrydoss

Latitude Thirty Three

the Central Coast before moving to Sydney and working at restaurants including Aria and others on the Northern Beaches. Restaurant Manager and Maitre d’ is Laurie Spooner who was formerly Restaurant Manager at Kooindah Waters Resort.

After a long absence with a quality restaurant the Gosford Sailing Club has leased out their restaurant, now known as Latitude Thirty Three, to Executive Chefs Jay Yorke and Rohan Wallace Both Chefs Yorke and Wallace and Restaurant Manager Laurie Spooner have set out to create a new dining experience with a combination of Australian Contemporary and Fine Dining cuisine. Jay Yorke served his apprenticeship under the well known Crowne Plaza Terrigal Chef, Glen Bacon in the hotel’s heydays in the famous La Mere Restaurant. He then went on to work in some of Sydney’s finest restaurants. Rohan Wallace also started his career in some of the well known restaurants on

Business not performing?

L’isle de France Proprietors Bernard and Marie-Eve Mallet have bought in the acclaimed and award winning Executive Chef, Kavi Hurrydoss to open up the newest French restaurant on the Central Coast in Watts Street, Gosford (almost opposite the Post Office). Kavi Hurrydoss trained at the world famous Ecole Patissiere of Henri Le Notre and then worked in restaurants in Europe and the Middle East and for the past eight years headed the “Meat and Wine Company” at Darling Harbour. L’isle de France is open for dinner Thursday and Friday and breakfast and lunch Monday to Friday.

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CENTRAL COAST BUSINESS REVIEW

August 2012 212095 LAWP Central Coast Business Review ad_May 2012_FA.indd 5/22/12 3:18 PM 1

Broadband N ews

NBN Discovery Truck popular A cold, wintry wet day did not deter visitors from turning out to see through the NBN Co Discovery Truck at Gosford in mid-July and a day later at Long Jetty. The Discovery Truck features an interactive demonstration centre highlighting the benefits that high speed broadband will bring to the areas where it is installed along with high definition video screens and examples of the equipment that will be installed in homes and business offices and buildings. The visit was supported by the Central Coast Broadband Infrastructure Group (CC-BIG), Regional Development Australia Central Coast and both Councils. Chairman of Regional Development Australia and CC-BIG, David Abrahams said that the visit was a great opportunity for those interested, particularly business leaders and residents to learn about the benefits that broadband will bring. At the end of their two days on the Coast the leader of the onboard team that is taking the Discovery Truck around Australia said that the attendances at Gosford and Long Jetty and interest shown was by far the most impressive of any region they have been to on their 180x100 ad:ORS 30/8/11 12:16 PM journey.

ABOVE: Federal Member for Robertson, Deborah O’Neill speaking with visitors at Gosford LEFT: The 23-tonne NBN Co Discovery Truck at the Gosford Waterfront

Page 1

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CENTRAL COAST BUSINESS REVIEW

Business Briefs

Max Perry joins Grant Thornton

Well known Gosford Chartered Accountant, Max Perry, has joined Grant Thornton Australia effective from 1st May as a Partner - Privately Held Business (taxation advice and consulting) and Audit and Assurance Division. He remains based in Gosford. Formerly a Director with BDO Mr Perry started his career after leaving Gosford High School and joining the accounting firm Aynsley Davis and Charles. His accounting career spans more than forty years and during that time his clients included some of the Central Coast’s largest national and international companies including non for profit organisations and credit unions.

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Grant Thornton Australia provides audit, tax and advisory services to dynamic, growing organisations and is a single national firm operating from eight offices, with over 150 Partners, more than 1,300 people across Australia and national turnover of AUD $245 million. Grant Thornton International is the fastest growing international accounting network in the world, with a global turnover of US$3.7billion and more than 30,000 people and 2,500 partners. Mr Perrry can be contacted on 02 43247211

Erina Chamber appoints Executive Officer

Erina Chamber of Commerce has appointed Sue Liptrott Executive Officer. Ms Liptrott has an extensive career in business development including Business Development Manager of the Central Coast Community Chest and PhotoCorp. She will focus on rebuilding the Chamber’s membership and issues affecting business in the Erina Business Centre. Ms Liptrott succeeds Tracey Doyle who resigned due to ill health.

Insolvency expert joins SV Partners

SV Partners, insolvency and risk management specialists, have announced the appointment of Rowena Sigelski, as an associate director to the firm. Ms Sigelski, is a registered liquidator and trustee in bankruptcy with over 15 years’ experience. Specialising in corporate and personal insolvency, business turnaround and external administration and management, Rowena will be providing her services to the local Hunter region. SV Partners director, Daniel Quinn, said, “Rowena’s appointment is indicative of her expertise and professionalism as well as the growth SV Partners has experienced of late.” SV Partners has been providing services locally to clients of accountants and solicitors on the Central Coast for five years. The SVP Group currently employs over 100 people with 80 per cent professional staff focused on insolvency, legal costing, business recovery and forensic accounting

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CENTRAL COAST BUSINESS REVIEW

August 2012

Business Br iefs

Sales and Marketing Manager for Magenta Shores

one of the best blue chip locations along the eastern seaboard. This exclusive golfing resort has raised the bar, mixing a championship links golf course with an opulent lifestyle. After achieving 60 sales in 12 months, we are close to beginning council facilitation and the approvals process for the next stage of approximately 22.5 hectares. It’s an exciting project to be involved with and I look forward to further innovation and pushing the boundaries of lifestyle to a never before seen paradigm.”

Howard Cao, CEO of Rich Sea International Pty Ltd, which recently acquired the Magenta Shores development, has announced a new addition to their management team. Paul Seisums has been appointed Sales and Marketing Manager to further build on the company’s successes since acquiring the project from the Mirvac Group. Mr Seisums has just returned from an appointment in Indonesia with the Karma Group, a six star boutique resort development group. His background is in the end to end lifecycle of property development and has been involved in property in Thailand, Indonesia, Sydney CBD and the Central Coast. He has been Associate Director of the Country Group of companies and headed up acquisitions and sales & marketing for the consortium. Commenting on the project Mr Seisums said, ‘Magenta Shores is arguably

Segway Central Coast – Riding to Success

tourist attraction, Segway Central Coast, had started and a year on, Mr Bell couldn’t be happier with the way his business has flourished. “I chose Segway because it’s unique in its appeal. The suitable age bracket for use of the machines is very broad, which means I have a large potential audience and the way in which you use the machines can be quite challenging,” he said. When deciding on a location for the business the answer was simple - The Central Coast where he knew there would be a market for a new tourist attraction and where he could effectively “work from home”. Operating from Mt. Penang Parklands, which is 40 minutes from Sydney’s Northern Suburbs, it’s the perfect location for day-visitors who want to escape the “rat-race” of Sydney while enjoying the inherent relaxation that embodies the Coast.

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QUALITY BUSINESSES ONLY Segway Central Coast Director, Ron Bell, first saw the Segway machines in use in Sydney; the next day he started exploring opportunities for his own Segway business and started formulating a business plan. Seven months later and the Coast’s newest

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P RO PERT Y commercial and industrial property for sale/lease

CHAPMAN & FRAZER COMMERCIAL SPECIALISTS

Central Coast 312 MANNS ROAD

AUCTION - GOSFORD - 23rd AUGUST

Ideal for Medical, Professional, Commercial & Residential. Solid brick building (158m2) on 2 blocks of land (1158m2). 29m frontage to Mann Street. 300m to Gosford Railway, Zoned B4 mixed usage.Very motivated Vendor has instructed us to ‘SELL UNDER THE HAMMER!’

FOR SALE/FOR LEASE

14 Bowen Crescent West Gosford

JUST REDUCED!!! FREEHOLD TITLE WEST GOSFORD

Commanding freehold title factory, large double doors + roller door. Approx 100m2 of hardstand area with a 30 point load designed for large yachts. Tenants happy to stay on for extended period. REDUCED TO $649,000 + GST

Huge exposure and road frontage; approx 5889m² with 1300m² warehouse & offices. Lease $160,000 pa gross; Sell $2.5M excl GST.

JUST REDUCED!! - CELLARS, RESTAURANT, RESIDENCE

Value investment 1.Yarramalong Cellar business downstairs residence upstairs. 2. The Manor accommodation & restaurant. 6 rooms for accommodation & 2 bedroom residence, 8 bathroom + 2 car garage, 3 licences. NOW $849,000 + GST if applic

SOMERSBY - MODERN WAREHOUSE WITH THE LOT

8 individual office areas with great looking reception area & plenty of warehouse space. Tidy complex with retail feel to the display areas. You’ll love the ducted air conditioning & there’s easy parking. SALE $320,000 + GST

TUGGERAH OFFICE SPACE WITH HIGH EXPOSURE!

This space is of excellent quality with massive exposure to the Pacific Hwy. Partitioned into 3 areas plus an entry ideal for a reception area. Approx 130m2 & within 200m to Tuggerah railway and bus interchange. LEASE $300 per week+ GST

LAND REDUCED BY Sale / Lease - Wow what a Property 1600m2 office space with extensive fit-out including ducted air-conditioning, office partitioning, computer server room, reception, full amenities, ample power & data points and great natural light. Located on a 6966m2 parcel of land offers extensive parking (92 spaces) and outdoor space. Well located close to main roads, Freeway and Gosford CBD. Price: Make an Offer!

1/25 Kangoo Road Somersby

2 quality concrete panel industrial units are available to buy right now.3 & 4 / 25 Amsterdam Cct are approx 170m2 each (340m2 combined). Positioned right on the fringe of the Wadalba / Warnervale residential / commercial growth corridor.

Under instructions from liquidator, this commercial / retail opportunity will be sold. 75m2 Ground floor position within the popular Gosford Central Plaza available. Consisting of 2 lots (37 & 38) and positioned right in the heart of the Gosford CBD, this position will be of benefit to any business that is reliant on being located within the centre of the city.

INDUSTRIAL UNIT

REDUCED BY $25,000

LARGE WAREHOUSE/FACTORY

FOR LEASE

CENTRE OF CBD OFFICE

FOR LEASE

Approx 2982m2 on 7302m2 (1.8 acres) site. Great manufacturing; warehousing; tansport terminal property with office accommodation + approx 3500m2 of level hardstand fenced yard.

GOSFORD - WE ARE READY TO SELL!

GOSFORD AUCTION - 30 August 2012

Level Somersby land 4001m2 with DA for 1745m2 factory + 20 car spaces. Now $395,000 Excl GST. Modern brick premises in central West Gosford location, approx 320m2 + 65m2 mezzanine. Includes reception + small office + bonus metal awning at rear (6 car capacity). Now $425,000 GST N/A.

DEVELOPER’S ‘LAST 2’ - WYONG

Approx 131m2 of floor area, 5 rooms/consulting areas and under cover off street parking. Approx 600m from Gosford Hospital and approx 600m to Gosford rail & bus interchange. They will consider any reasonable offer! SALE $350,000 + GST

$100,000

HEIGHT & ACCESS IN MODERN WAREHOUSE A large modern warehouse with 8-9m internal height clearance and good clearspan. Constructed with steel frame, tilt up concrete panel walls and insulated colorbond roof. Included is 3-phase power, 5m x 5m motorized roller shutter, 2 toilets, 1 shower, staff meal room, security fence and ample parking. The property is shared with only one neighbour, Harvey Norman. Price: $83,200 P/A + GST & O/G

4 Baker Street Gosford

BEST LIL’ FACTORY IN TUGGERAH!!

Corner location with natural light on 2 sides; whole floor approx 573m²; lift access; 8 car spaces; $123,000 pa net.

CBD OFFICE BLOCK

$1.3M EXCL GST

Corner location, approx 473m² divided into 3 air cond and carpeted suites; 20 car spaces incl 10 lock-up; future expansion or Strata conversion (subject to consent). Suit business professionals. Prices shown with * are inclusive of GST.

4325 0208 83 MANN STREET, GOSFORD 2250 www.chapmanfrazer.com.au

Representing awesome value, great parking & access in the complex, and a neat & tidy young unit with great amenities.!! Approx 171m2 & close to F3 Freeway, Tuggerah Railway Station & Westfields Shopping Town. SALE $200,000 + GST OR LEASE $18,000 pa N + GST

WARNERVALE - FLEXIBLE COMBINATIONS!

Choose factory or yard combinations with massive concrete hardstand areas, excellent power supply, and good quality covered or fully enclosed premises with offices, amenities & good security! From $50/m2 pa net + GST

Ideally suited to a food distributor requiring dry storage space, pallet racking & space to spare. Main warehouse 940m2 (approx) + additional space if required. Adjacent to the dry storage warehouse is an office block.

GROUND FLOOR OFFICE WITH FIT-OUT & PARKING Great street exposure and access with 116m2 floor space all at street level. Office refurbished one year ago with extensive fit-out including ducted air-conditioning, full data & phone cabling, ample power points, commercial carpet, back to base alarm system and shopfront display with lighting. Fit-out also includes 3 offices, comms room, store room, kitchen, m/f toilets, reception desk, reception area and large open office area. Outgoings paid by property owner. Furniture & Office equipment for sale. Price: $25,200 P/A + GST

VISIT OUR WEBSITE FOR ADDITIONAL PROPERTIES and MORE INFORMATION – www.ljhooker.com.au

COASTAL PROPERTY AGENTS

TUGGERAH - OWNERS MUST SELL - HUGE SHED!!

Large factory & offices premises on Torrens Title Parcel. 956m2 (approx) factory + 110m2 office showroom, 90m2 mezz, large covered awning + 300m2 hardstand, 4(b) light industrial zoning set on over 1/2 an acre. SALE $735,000 + GST

AUCTION - WEST GOSFORD - 6th Sept

All prices shown GST incl. unless otherwise indicated

LJH COMMERCIAL – CENTRAL COAST

21/1 Reliance Dr, Tuggerah • Ph: 4353 7700

CENTRAL COAST BUSINESS REVIEW

4 Baker Street, Gosford 2250 Phone: 4322 5566 Brendan Byrne-Bates Mobile 0410 461192

Kanwal Office For Lease

Office would suit small business, medical practice, Real Estate etc. opposite Wyong Hospital, Prime location.

Call Eric on 0407 907 852

Advertise your Property in CCBR For further information—Phone: 4367 0733 or email info@ccbusinessreview.com.au

www.coastalpropertyagents.com.au

August 2012

P RO PERT Y

Gibbens buys former Albany factory Central Coast spring manufacturers, Gibbens Group has bought the former Albany International factory at 900 Pacific Highway, Lisarow for an undisclosed price. The property had been on the market through David Black of Salinger & Co, property advisors and was extensively marketed. The property comprises a substantial 24,021 sqm industrial building plus 1,500 sqm of quality office space on a 7.675 hectare lot. Gibbens will relocate their West Gosford spring manufacturing facility in November and December, making way for the redevelopment on the site for a new commercial building and Masters Hardware warehouse now under construction. Australian Filtration Products currently leases a 5,500 sqm area of the factory on a 4-year lease. Interior One which specialises in commercial fitouts and currently operates from premises at Berkeley Vale has joint ventured with Gibbens in the purchase of the Lisarow site and will reclocate to the newly acquired premises. Albany closed down its papermaking products operation at Lisarow in June 2010 after forty years. The property had seen significant expenditure in recent years in extensions and a new roof around 2007. Infrastructure on the property includes high capacity power and gas supply, crane rails, sprinklers and extensive car parking.

August 2012

Former Albany International factory at Lisarow

Training College buys Tuggerah land A local training college has bought two level vacant lots at 23 and 25 Anzac Road, negotiating the purchase through agent Ty Blanch of LJH Commercial Tuggerah prior to auction. The two parcels, zoned 3b Centre

Support Zone, are of equal size at 1,353 sqm and are located on a corner opposite the overhead walkway to Westfield. The vendors had owned the property since 2003 when they paid $433,500Â each.

CENTRAL COAST BUSINESS REVIEW

P ROPERT Y

Sales Investor buys Tuggerah warehouse

Kanwal Medical Centre leasing

Suite 13 of 18.2 sqm has been leased to Electrical Projects Australia Pty Ltd for use as a satellite office. Terms of the lease are 1 year with 1 year option at a rental of $10,000 per annum including outgoings plus GST. Richard Ellis of Raine & Horne Commercial Terrigal negotiated the lease.

Terrigal office leased

A local investor has bought Unit 1, 10 Pioneer Avenue, Tuggerah, a modern 318 sqm warehouse in a 17-unit complex built about six years ago. Price paid was $390,000 plus GST. Geoff Broadhurst from Chapman & Frazer Real Estate negotiated the sale.

Leasings West Gosford warehouse leased

Actrol Parts Pty Ltd have leased a 833 sqm metal clad warehouse building at 5 Luke Close, West Gosford. Terms of the lease are 3 years with two 3 year options at a rental of $68,000 per annum plus Outgoings and GST. Geoff Broadhurst from Chapman & Frazer Real Estate negotiated the lease.

Katy Gregory from Landin Realty reports that they have leased a 42 sqm suite in the Kanwal Medical Centre to Jess Lee of Hidden Serenity Beauty Studio. Terms of the lease are 1 year with 2 x 2 year options at a rental of $13,200 per annum including outgoings and GST. Dr Gregory said that the high customer traffic through the Centre has given the opportunity for supplementary services such as a beauty studio.

Erina office leased

The last of the available suites in the popular Karalta Connect building at 18 Karalta Road, Erina, has been leased

Jodie Collins of Terrigal Business Solutions has relocated her office to the first level of 74 Terrigal Esplanade, a 161 sqm space. Terms of the lease are 3 years with 3 year option at a rental of $22,880 per annum and fixed annual increases of 4% plus 10% of building outgoings plus GST. Richard Ellis of Raine & Horne Commercial Terrigal negotiated the lease.

Now leasing

Charmhaven unit leased A tyre warehousing and distribution business has leased a 240 sqm industrial unit at 18 Arizona Road, Charmhaven. Terms of the lease are 2 years with 2 year option at a rental of $21,400 pr annum including Outgoings plus GST. Chris Watson from LJH Commercial Central Coast negotiated the lease.

• Sites from 50m2 to 225m2 • Attractive rates • Gross leases Join Woolworths, Aldi, Best & Less, The Reject Shop and specialty stores. Exciting changes are in store at the Central Coast’s very first shopping centre.

Phone Deborah Warwick on 4324 4299 20

CENTRAL COAST BUSINESS REVIEW

August 2012

PRO PERT Y

Overview of the Costs and Benefits of ESD in Buildings

By Dr Katy Gregory, Sustainability Engineer

The carbon tax is predicted to indirectly affect owners and developers of Australian property mainly through higher energy cost and higher construction cost. This tax along with a growing appreciation for sustainability in the built environment has highlighted the need to minimise a building’s energy consumption and thus the impact on the natural environment. Unfortunately there is a perception that improving the “Green” credentials of a building is a costly undertaking. However, simple, inexpensive Ecological Sustainable Development (ESD) principles can be easily incorporated during the design stage of a building and offer significant operational benefits to the building and its occupants. Experience has shown the most economical solutions are often achieved

by incorporating ESD principles from the concept stage, rather than an afterthought or a process for a Development Application. This allows for fundamental conceptual design factors such as building orientation, glazing area, material selection and shading to be examined before the architectural design is complete. Simple ESD principles continue to be investigated throughout the building services design stage with a focus on energy, water and waste reduction tactics to be considered by all disciplines. For instance optimum temperature control strategies such as passive solar heating, breeze paths, night purges, and other natural ventilation can be useful in reducing the need for mechanical heating, cooling and ventilation. Smart lighting designs can utilise natural daylight and zoning to switch-off non-essential lighting and water harvesting from rain, grey and black water for toilet flushing, laundry and landscaping needs. Many green buildings are designed to see a 10% to 15% reduction in energy consumption and a 20% reduction in water consumption than required by current building codes. Some even achieve higher levels of efficiency. Integrating simple ESD features throughout the design phase of a build-

ing with a holistic approach will improve on the cost effectiveness of the overall development. Additional expenses of a “green” building can potentially be only 1% of the construction budget for large buildings and 5% of the budget for small buildings. However, international studies have shown that the additional expenditures for ESD in buildings can vary anywhere from 0.66% to 20% of the construction cost depending upon type features. While developers face the higher initial and complexity of the sustainability cost in the construction phase of a green building, research indicates this cost is generally recoverable through higher sales prices and rents. A green building’s improved comfort, environmental benefits and reduced operating and maintenance costs can result in increased rents of between 5 and 10%. It also encourages higher tenant retention rates, due to the uniqueness of green buildings and their health and sustainability features. Other nonmeasurable or intangible benefits also accrue for green buildings such as increased productivity from building occupants, brand image, public relations, enhanced marketing capability and a “doing the right thing” feeling.

Complete IT solutions tailored to your business Design and implementation of new networks Auditing of and recommendations for existing networks Access for satellite office’s via VPN and RAS Backup solutions (was your last backup successful?) Proactive and preventive maintenance Client access portal Disaster recovery strategy Service Level Agreements Remote access support Wireless hotspots Hardware & Software Sales 24 Hour service number available 7 Day service

Phone 4384 3555

www.platinumitsolutions.com.au August 2012

CENTRAL COAST BUSINESS REVIEW

Business T ips

Important changes to the ATO’s director’s penalty regime On 29 June 2012, several amendments received Royal Ascent adversely changing the regime that makes a director personally liable for company taxes. The most important amendments are, in summary:• Extension of the director penalty regime to capture unpaid compulsory superannuation contributions (CSC); and • Making a Director automatically liable for unpaid and unreported PAYG and CSC, three (3) months after the due date. • Directors and their associates employed by a company who have received wages from that company and PAYG was withheld but not subsequently remitted, are no longer able to claim a credit in their tax returns for that PAYG component. Further, the director or associate may be held personally liable for that component, known as withholding noncompliance tax. From correspondence with the Australian Taxation Office and our reading of the new legislation and its explanatory memorandum, the amendments apply to circumstances which currently exist within a company, in relation to its tax obligations. Therefore, it is possible some directors

in the management of the company and it was reasonable for the director to not be involved 2. The director took all reasonable steps to ensure that the directors caused one of three things to happen (or not such steps were available) a. The company meet its obligations to pay the company’s non-compliance with PAYG withholding and superannuation guarantee obligations b. That the company be placed into voluntary administration c. That the company be wound up Also, a director is not liable to a Director Penalty relating to the superannuation guarantee charge, where they can establish that the penalty resulted from the company treating the Superannuation Guarantee (Administration) Act 1992 as applying to a matter or identical matters in a particular way that was reasonably arguable and that the company took reasonable care in connection with applying the Superannuation Guarantee (Administration) Act 1992 to the matter or matters. Please do not hesitate to contact Paul Gidley or James Shaw at Shaw Gidley if you have any concerns about your personal liability for PAYG and CSC under the new amendments on 4908 4444.

may have become personally liable for PAYG withholding tax and CSC that were unpaid and unreported as at 29 June 2012. If you have any doubts, you should speak to your accountant immediately. The Commissioner of Taxation claims that the amendments will reduce the scope for companies to engage in fraudulent phoenix activity or escape payments of employee entitlements by: • Extending the director penalty regime to make Directors personally liable for unpaid superannuation guarantee amounts; • Ensuring that Directors can’t discharge their director penalties by placing the company into administration or liquidation when the PAYG holding or superannuation guarantee remains unpaid and unreported 3 months after the due date; and • In some instances, making Directors and their associates liable to pay withholding non-compliance tax where the company has failed to pay the amounts withheld to the Commissioner of Taxation. There are a number of defenses available to a director in an attempt to avoid the penalty regime. They are as follows: 1. Because of illness or some other good reason the director was not involved

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Business T ips

Think twice before dismissing ERT ADVICE employees on Workers’ Compensation EMPLOYERS

your is large , we can manage rkforce, your trade and reduce rkers comp ms.

By Warwick Ryan, Partner, SWAAB Attorneys

How frustrating is it when an employWarwick Ryan ee starts with you and within the space ment@swaab.com.au of a month is on workers compensation?

It can torneys - Suites 2/3be very difficult not to let that your view of the employee. What Entrance Road,tarnish ERINA can be even more frustrating is if the employee remains on workers compensation for much of the minimum employment period (i.e. probation period) and you do not get the opportunity to properly access their performance. To complicate things even further if someone is on workers compensation there are a range of legal obstacles to terminating their employment. The case of WorkPac Pty Ltd v M Bambach [2012] FWAFB 3206 reflects the above situation. Bambach ('the Respondent') was engaged by WorkPac ('the Appellant') as a casual employee from 7 March 2010. On 1 June 2010, the Respondent was injured at work and was subsequently on Workers' Compensation until 23 September 2011, where the Respondent was certified to resume his pre-injury duties (and advised the Appellant of this). On 17 October 2011, the Respondent received an Employment Separation Certificate, stating that his employment had ceased on 24 September 2011 due to

his 'unsuitability for this type of work'. The Respondent subsequently lodged an unfair dismissal claim with FWA. At first instance, FWA rejected the argument that the Respondent had only completed 2.5 months of continuous service (and was therefore not protected from unfair dismissal). This decision was appealed to the FWA Full Bench, and subsequently upheld. The Bench held that absences whilst on Workers' Compensation do not break an employee's continuous period of service, because Workers' Compensation payments are pursuant to a legal obligation imposed on employers. Consequently an employee cannot be considered as taking an 'unpaid authorised absence'. Furthermore, note that the Workers' Compensation Act provides injured workers with protection against the termination of their employment within 6 months of injury.

What does this mean for employers? An employer's ability to terminate an unsuitable employee has been significantly reduced. There is no guaranteed way of avoiding this situation however here are some steps you can take: • Arrange a pre-employment examination for the employee; • Ensure you thoroughly reference-check the employee; and • Be cautious of employing any candidate with a pre-existing injury. Employers should therefore take extreme caution and seek professional advice to gain clarity as to whether an employee is protected under unfair dismissal laws.

Consider Whether Flood Cover Is Necessary

By Nathan Corrigan, APEX Insurance Brokers

Flood is defined in many different ways. Only a few insurers offer automatic flood cover where ‘flood’ includes water coming from a natural or man-made water courses. Flood definitions in policies are necessarily precisely worded to ensure that policyholders can comprehensively understand what they are or are not covered for. If you live in a flood prone area or near a river or creek, you should carefully read your policy to determine if it covers flood damage from those sources. The social and economic impacts of these events are absolutely unfathomable. Local economies can be decimated by not only the direct impact but also the indirect impact, with some business subject to a downturn when major supplier or customers suffers the damage. Seeking the advice of a trusted insurance professional will help you to ensure you are adequately protected.

Central Coast Business Review

Advertisers’ Index

Central Coast Business Review is a Registered Trade Mark of Adams Business Publications Pty Ltd P.O. Box 3259, Erina, NSW 2250 Phone: (02) 4367 0733 Fax: (02) 4367 0744 Email: info@ccbusinessreview.com.au Typesetting by Graphic by Design • Phone: (02) 4365 6777 Printed by Print National, Lisarow • Phone: (02) 4328 5644

Adams Smash Repairs . . . . . . . . . . . . . . . . . . . . . . . . 8

Chapman & Frazer Real Estates . . . . . . . . . . . . . . . . 18

Organise Internet . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

Apex Insurance Brokers . . . . . . . . . . . . . . . . . . . . . . . . 6

Coastal Property Agents . . . . . . . . . . . . . . . . . . . . . . 18

ORS Group, The . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15

Argyle Estates Business Brokers . . . . . . . . . . . . . . . . 17

Creighton’s Funeral Service . . . . . . . . . . . . . . . . . . . . 13

PKP & Associates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Austbrokers Central Coast . . . . . . . . . . . . . . . . . . . . . 10

Display Power . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

Platinum IT Solutions . . . . . . . . . . . . . . . . . . . . . . . . 21

Bloomtools . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20

DMA Insurance Brokers . . . . . . . . . . . . . . . . . . . . . . . . 9

PrintNational . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17

Bodyfuel Cafe . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25

Expressions Printing . . . . . . . . . . . . . . . . . . . . . . . . . 14

Priority Business Lawyers . . . . . . . . . . . . . . . . . . . . . 14

Brian Hilton Renault . . . . . . . . . . . . . . . . . . . . . . . . . 26

Footprint Group, The . . . . . . . . . . . . . . . . . . . . . . . . . 12

Quay West Resort . . . . . . . . . . . . . . . . . . . . . . . . . . . 25

Cara Cruz Tapas Restaurant . . . . . . . . . . . . . . . . . . . . 25

Harris & Adams Smash Repairs . . . . . . . . . . . . . . . . 16

Reviver . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25

Caroline Bay Brasserie . . . . . . . . . . . . . . . . . . . . . . . . 25

Harwood Chartered Accountant . . . . . . . . . . . . . . . . 3

Scape Constructions . . . . . . . . . . . . . . . . . . . . . . . . . . 5

Coast Star Motors . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

Hunter Liftrucks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

Sign-A-Rama . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21

Commercialhq . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19

Imperial Centre Gosford . . . . . . . . . . . . . . . . . . . . . . 20

SWAAB Attorneys . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

Central Coast Business Excellence Awards . . . . . . . . 2

Karinyas Restaurant Wine Bar . . . . . . . . . . . . . . . . . 25

Telstra . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7

Central Coast Business Brokers . . . . . . . . . . . . . . . . . 16

Lawler Partners . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

VC Dental . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11

Central Coast Community College . . . . . . . . . . . . . . 16

LJH Commercial Central Coast . . . . . . . . . . . . . . . . . 18

Yeramba Estates . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18

© Adams Business Publications 1994. All rights reserved. Reproductions in any part prohibited. While every effort has been made to ensure all information in this magazine is accurate, no responsibility will be accepted by the publisher, Adams Business Publications. The producer accepts no responsibility for illustrations or photographs supplied by organisations or individuals and/or typographical errors. August 2012

CENTRAL COAST BUSINESS REVIEW

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Towards a new model for Community Housing

By David Bacon, Chairman, Pacific Link Housing

Pacific Link Housing is a not-for-profit organisation committed to helping those in need of community housing in the Central Coast and Lower Hunter regions. Working with a skills based board and terrific staff of 21 we currently manage more than 900 properties and 2,000 tenants – in the knowledge that waiting lists are growing and supply is not keeping up with demand. Many of those who live in public housing are there through no fault of their own. The worst off – those with high-complex needs – account for around 15%. They need help and will always have a permanent place in community housing. There are many more who, after an initial period of assistance, can manage on their own. And then there are those who require only minimal assistance and generally possess the skills they need to return to the private housing sector and an independent life. Until now, a return to the private sector has not been seen as a priority, nor has it always been encouraged by housing providers in New South Wales. For reasons that are not clearly understood, people who enter community housing in New South Wales tend to stay on in community housing. Providers and tenants alike – and some providers even more than tenants – have seen public housing as a life-time entitlement for tenants entering the system. The ‘lifetime entitlement’ syndrome is just that, a syndrome. It probably stems from our collective failure as providers to develop new models that provide pathways leading out of community housing for those who are able to live independent lives following a period of assistance. In the vacuum caused by the lack of a return-to-independence model, we have nurtured a culture of dependence through a preference to maintaining the status quo. This is not surprising, as providers are funded on a model that rewards them for having as many tenants as possible.

CENTRAL COAST BUSINESS REVIEW

The current model works – but only for as long as the government is able to keep on delivering an endless line of new properties to accommodate those who claim life-time entitlement followed – as is often the case – by their children, their grandchildren and new recipients entering the system. At Pacific Link Housing we take a different view. We believe the current model can be improved and, in the process, free up badly needed housing if we work towards a future in which tenants who are able are assisted and encouraged to return to independent lives rather than stay in public housing indefinitely. A future in which community housing providers are rewarded for the quality of services provided and outcomes including return-to-independence is, in our view, desirable. We are exploring new models committed to this end with the knowledge of the Community Housing Division of Housing NSW in an effort to build pathways and develop programs that assist all those who can to gain, or regain, their independence – along with the dignity and pride that brings. A model of this type is also needed because we are always short of properties, and the current trend in favour of life-long occupation is already threatening our ability to house and assist people newly in need, including the percentage with high-complex needs. Housing NSW is already one of the largest public housing organisations in the world… but we still don’t have enough public housing to allow for costly continuous provision. The situation is such that the Minister, Prue Goward, has ordered the release of waiting lists which suggest some low priority applicants may never get a home, while others can expect to wait for up to 10 years or more. Despite the efforts of successive governments there is not now, and will never be, enough housing to meet the sector’s requirements without a new model - particularly in the Central Coast and Lower Hunter regions where Pacific Link is active. The need for a new model was first foreshadowed by a major Regional Housing Study undertaken by Dr Tony Gilmour for Pacific Link last year. The study shows populations in the Central Coast and Lower Hunter regions will grow by 31% and 39% respectively in the next 25 years.

In NSW now, 5% of all housing is community housing. But in the Wyong and Gosford LGA’s the figures are lower, only 3.5% and 3.8% – so we find we are behind from the start. On top of this, a closer study of the population forecasts in the Regional Housing Study suggests we’ll need an additional 8,550 properties to meet the 5% norm as the population grows. And given we’re already behind, that seems most unlikely. Our mission has always been and remains to help those most in need. But unless we find a way to accommodate all those yet to come the value of community housing will be lost to those who need it most due to a simple lack of space in the system. While the concept of life-long accommodation may be appealing, we simply can’t afford to view community housing as a life-time entitlement for everyone who enters the system. We need to help those who are able leave the system to make space for new. Housing New South Wales, the Community Housing Division, and consecutive state and federal governments can take enormous pride in all that has been done to date. In New South Wales alone governments have worked through Housing NSW, the CHD, not for profits like Pacific Link and many other organisations to provide the housing stock, management, and services necessary to help those most in need. It has been, and will continue to be a mammoth task and a challenge of almost superhuman proportions. We know Housing NSW, the CHD, the NSW and Federal governments and many others will always do their utmost to assist but the current model looks set to fail. A small change on our part beginning with a willingness to consider new models to help win space for the future will not only make a positive difference to those who can live independent lives, but also allow us to fulfil our proper mission to help those most in need into the future.

CCBR welcomes your thoughts and comments on Central Coast issues. Contact Edgar Adams on 4367 0733 or email: info@ccbusinessreview.com.au August 2012

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CENTRAL COAST BUSINESS REVIEW

F U N NY BU SI N ESS A man and a little boy entered a barbershop together. After the man received the full treatment - shave, shampoo, manicure, haircut, etc. - he placed the boy in the chair. “I’m goin’ to buy a green tie to wear for the parade,” he said. “I’ll be back in a few minutes.” When the boy’s haircut was completed and the man still hadn’t returned, the barber said, “Looks like your daddy’s forgotten all about you.” “That wasn’t my daddy,” said the boy. “He just walked up, took me by the hand and said, ‘Come on, son, we’re gonna get a free haircut!’” Cash or charge?” asked the shop assistant after folding items the woman wished to purchase. As she fumbled for her wallet the shop assistant noticed a remote control for a television set in her purse. “Do you always carry your TV remote?” he asked. “No,” she replied. “But my husband refused to come shopping with me, so I figured this was the most evil thing I could do to him.” The owner of a small deli was being questioned by a taxation investigator about his tax return. He had reported a net profit of $80,000 for the year. “Why don’t you people leave me alone?” the deli owner said. “I work like a dog, everyone in my family helps out, the place is only closed three days a year... and you want to know how I made $80,000?” “It’s not your income that bothers us,” the agent said. “It’s these deductions. You listed six trips to Bermuda for you and your wife.” “Oh, that,” the owner said smiling. “Didn’t I mention? We deliver anywhere...”

A real estate salesman had just closed his first deal, only to discover that the piece of land he had sold was completely under water. “That customer’s going to come back here pretty mad,” he said to his boss. “Should I give him his money back?” “Money back?” roared the boss. “What kind of salesman are you? Get out there and sell him a houseboat.” As the plane was flying low over some hills near Athens, a lady asked the stewardess: “What’s that stuff on those hills?” “Just snow,” replied the stewardess. “That’s what I thought,” said the lady, “but this fellow in front of me said it was Greece.” A young man asked an old rich man how he made his money. The old guy fingered his worsted wool vest and said, “Well, son, it was 1932. The depth of the Great Depression. I was down

to my last penny. “I invested that penny in an apple. I spent the entire day polishing the apple and, at the end of the day, I sold the apple for threepence. “The next morning, I invested money in three apples. I spent the entire day polishing them and sold them at 5:00 pm for one shilling. I continued this system for a month, by the end of which I’d accumulated a fortune of five pounds.” “And that’s how you built an empire?” the boy asked. “Heavens, no!” the man replied. “Then my wife’s father died and left us two million dollars

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