The council issued a show cause notice in September last year to the building s body corporate for breaching short-term letting restrictions by acting as an unapproved hotel. Direct Rentals has applied with the council to turn 23 units in the 72-unit building into short-term accommodation. However in a letter dated February 12, the council advised that the application had not been properly made and required written consent of the body corporate. Direct Rentals director Adam Thomas said his company s town planner had requested and been granted a 20-day extension. He said the extension was to allow the council to consider the reply tendered by Direct Hotels last Thursday.
In response to the notice, Direct Rentals has applied with the council to turn 23 units in the 72-unit building into short-term accommodation. However, in a letter to Direct Rentals dated February 12, council advised that the application had not been properly made. The letter explained that the application required written consent of the body corporate. Whilst it is recognised that the application included legal advice, the short term accommodation use includes an area on the ground floor used as the reception area, which is within the common property of the complex, the council s principal development planner Marc Cornell said in the letter.
Meanwhile, other owners have told the
Daily they were aware there would be some holiday letting but were never informed it would be short-term stays. Wollongong resident Mr Purkis disagreed with the group. I found it all quite a surprise because it was in the product disclosure that we could use them for short-term rentals, that was the way that I actually found them online as well with advertising for it to happen, he said. I found it quite surprising that people are now arguing against it. I understand that they re upset because they re in there and they feel like it s a hotel but they should have bought somewhere else if that s the case.
The body corporate was asked to show cause by October why it shouldn t be issued with an enforcement notice - however the document containing the response has not been made available to the public. The body corporate was warned that fines of up to $600,525 were applicable for contravening a development approval, unlawful use of a premise and carrying out assessable development without permit. Direct Hotels operates several other properties on the Sunshine Coast, in Townsville, central Queensland and in Brisbane. The company is part of Direct Collective which also includes Direct Rentals and First Home Buyers Academy. In response to the show cause notice, Direct Rentals has lodged an application with the council to turn 23 units in The Rhythm on Beach into short-term accommodation.