Business dealt lease blow

LAST HOLE: Blue Lake Golf Links Bar and Bistro owner Bill Burley is devastated over a decision by the Queen Elizabeth Park Trust not to renew his current lease.
LAST HOLE: Blue Lake Golf Links Bar and Bistro owner Bill Burley is devastated over a decision by the Queen Elizabeth Park Trust not to renew his current lease.

THE owner of the Blue Lake Golf Links Bar and Bistro has been left “gutted” after an 11th hour decision by the Queen Elizabeth Park Trust not to extend his current lease.

Following a meeting with members of the Trust last night, bistro manager Bill Burley was informed the Trust would seek an initial 12-month extension to its operating lease with a view to give the first option to the Blue Lake Golf Club as a sublessee.

After purchasing the business 15 years ago, Mr Burley now has four months of trade remaining under the current lease.

Mr Burley, who is also a sublessee, said he was not offered an opportunity to continue the existing arrangement.

He rejected a move to enter into a contract agreement with the golf club if they choose to sublease post June 30.

“The Trust has said it will offer three one-year leases, but who would want to enter into that?” he said.

“Not many people would sign up to a one year lease.”

The Trust, which is comprised of three Mount Gambier City Council representatives, three Mount Gambier Chamber of Commerce representatives and one independent member, manages the council-owned golf links land.

All operating expenses are funded by the Trust and is reliant on player fees and rental revenue from the privately-owned onsite bistro to cover costs.

In a statement, Trust chairman Colin Martin said escalating operating costs coupled with dwindling participation numbers resulted in a business model that was no longer viable.

The Trust said the year long extension would “allow time to explore a new operating model for the site”, but said details were yet to be determined.

Mr Burley said the exclusion of his business from the Trust’s proposed model would likely result in job losses.

“We employ 12 people here,” he said.

“There has been no discussion on what will happen to the bistro.

“To me, they are taking advantage of the business that we built and giving it to the club.”

Further, he questioned figures the Trust had provided him last year indicating the site was running at a $250,000 loss.

He struck out at the Trust’s management, claiming there had been a breakdown in communication between the two parties in recent years.

“For the last two or three years, there has not been enough meetings for agenda items,” he said.

“There would be times where I would be waiting to present a report and no-one would show up.

“I’d present documents to the Trust and I would get no feedback on whether I was doing a good job or not.”

The Queen Elizabeth Park Trust was contacted for comment.