Shellharbour councillors have voted against purchasing two waterfront 'super lots' in Shell Cove, despite having first option on the land under an agreement with developer Australand, part of the Frasers Property Group.
The lots, located north of the boat harbour, comprise 15 individual lots suitable for medium-density housing such as townhouses or duplexes. Council business papers noted that while the council could theoretically develop the land itself, it would require significant upfront capital for acquisition, development, and construction costs before any revenue from completed dwellings.
The council receives no discount on the land and must pay market value. The price was included in confidential documents. The council has previously purchased lots in Shell Cove, most recently in 2024 for $2 million for a parcel intended for a Waterfront Centre and library, which was later cancelled after backlash from residents.
This time, councillors decided not to proceed, with the business papers stating that the purchase required 'genuine real estate investment opportunities' to be justified. Cr Kellie Marsh commented that the council already has many projects, particularly at the marina, and that this opportunity should be left for developers.
