Short-stay dispute dogs Watergate
Apartments at Docklands
By Virginia Millen
10:26:AM 03/03/2014

Residents, Melbourne City Council and the state member for Melbourne are calling for
clearer legislation to define exactly what a building of residence should be used for.
For years a battle has been fought over whether serviced apartments should be allowed at
Watergate Apartments at Docklands. The building is ranked as Class 2 residential, however
the council has argued that short-stay falls within Class 3.
Residents claim the rowdy behaviour of short-stay guests in serviced apartments at the
building has damaged parts of the property, frightened residents and caused some
apartment owners to move out.
Residents are now awaiting a decision of the Building Appeals Board (BAB), which will hear
the Watergate Apartments short-stay case again on April 8.
In 2011, the City of Melbourne presented building orders to Docklands Executive Apartments
(DEA), on the basis that Watergate did not comply with the occupancy permits originally
issued.
BAB ruled that running serviced apartments in Watergate contravened the Building Code of
Australia.
After two failed Supreme Court appeals by the owner and the council, the case was returned
by the court to the appeals board.
State member for Melbourne Jennifer Kanis said the issue needed to be resolved.
She said if the dispute could not be settled under current regulations, then legislative change
would be needed.
Melbourne City councillor Kevin Louey agreed, saying clarification on how buildings such as
Watergate were classified under the Building Code was needed.
“The definition of a Class 3 building needs to be spelled out clearly and minimum stay needs
to be spelled out clearly so we can move forward,” he said.
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Lawyer Michael Teys of Teys Lawyers, which represented the Watergate Owners’
Corporation, said the issue of serviced apartments operating out of residential buildings was
widespread and would likely worsen thanks to an oversupply of residential apartments
expected over the next year.
DEA owner Paul Salter said operations such as his brought much-needed tourism to
locations like Docklands. He said short-stay accommodation could cater for the overflow of
tourists in the city during major events when facilities were at capacity.
President of the Owners Corporation Network of Victoria and Watergate resident Roger
Gardner said serviced apartments that operated like quasi-hotels were causing significant
problems for residents.
Planning Minister Matthew Guy, who last year promised to empower owners’ corporations to
manage short-stay operators in the buildings they ran, said the issue lay with the Consumer
Affairs Minister, and he would continue discussions with her.
http://www.theweeklyreviewmelbournetimes.com.au/story/1797442/short-stay-dispute-dogs-watergate-apartments-atdocklands/?nav=Y2F0X2lkLzEx
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