Increase to budget allocation for Willoughby Leisure Centre following revised project scope

Willoughby City Council

Willoughby City Council is announcing an increase to budget allocation for its Willoughby Leisure Centre project, from the initial figure of $38.9m to $65m, following a required “change in project scope”, in response to project challenges posed by latent in-ground site conditions.
 
The decision was made at an Ordinary Meeting on 28 April, where, in addition to voting to increase the project budget, Councillors resolved to utilise identified funding sources that do not include rates revenue. Councillors also noted that the budget increase will include costs associated with design, project management, support services and additional project contingency.
 
The project’s initial scope included refurbishment of the existing pool and re-use of existing structures including steel columns and roof beams.  However, the discovery of inadequate supporting structures and poor site conditions – a legacy of the area’s history as a municipal rubbish tip - necessitated a major revision the plans. The project now includes construction of an entirely new pool structure.

Prior to commencement of the upgrades, significant in-ground testing was undertaken on the site, along with tests to determine the structural adequacy of the building's sub-structure. However, this testing was limited in scope, as many of the structural piles were underneath the existing pools and not accessible. After the pools and pool decks were demolished, further testing revealed that many of the piles did not meet the required structural bearing capacity for reuse. Consequently, the entire structural elements had to be demolished, and 263 new piers constructed.

This work required significant excavation, at which point work was slowed by the discovery of asbestos within the site’s soil. While the asbestos was not significant in quantity, it was widespread, dramatically hindering progress as the site required strict management in accordance with EPA guidelines.

While such challenging in-ground site conditions have been unanticipated, Council has been prepared for such eventualities with financial contingencies to ensure that there’s no compromise on the quality of the new Willoughby Leisure Centre. 

In addition to the funds received by Council under a NSW Office of Sport Multi-Sport Community Facility Fund, the incremental project cost is funded using a combination of Developer Contributions and existing Internal Reserves, meaning no need for Council to source additional funding from rates revenue, nor does Council have any need for a change to residential or business rates as a result. 

“Nobody likes to hear news of extended timelines and increased budgets for major capital works projects, particularly for a treasured facility like our Willougby Leisure Centre,” said Mayor of Willougby, Tanya Taylor. “I want to reassure our community that we are working diligently to manage these challenges with responsible financial oversight and practical solutions that will see a re-opening of this important community facility as soon as possible.

“This project has evolved significantly — from a planned upgrade to the construction of an entirely new structure. While the additional cost is considerable, it is also an investment: an investment in the future of Willoughby. We are laying a new foundation, not just for the Leisure Centre itself, but for the generations of residents who will enjoy a modern, state-of-the-art facility for decades to come."

Practical completion of the new Willoughby Leisure Centre is currently forecast for late 2025. Following system and pool testing and staff orientation, Council is aiming to officially open doors to the facility in early 2026.

Council will continue to provide regular project and timeline updates to the community via its website and other channels as they become available. More information on the Willoughby Leisure Centre can be found at: https://www.willoughbyleisure.com.au/

ENDS

Amanda Kearney
Willoughby City Council
[email protected]
0418 296 579