Doug Shave

Doug Shave


    Record result for Government land agency

    18/07/2000 12:45 PM

    LandCorp, the State Government’s land development agency, made a record pre-tax operating profit of $66 million in the last financial year.

    Lands Minister Doug Shave said it was the agency’s second successive record profit and followed the pre-tax profit of $38 million in 1998-99.

    “LandCorp continues to make a significant and positive contribution to the State,” Mr Shave said.

    “Through its Government Asset Disposal program, LandCorp has helped other Government agencies unlock the value of surplus land assets to the benefit of the whole community.”

    Acquisition during the year of land for industrial development at Forrestfield and Bibra Lake provided certainty of supply of general industrial land.

    “In addition, LandCorp’s extensive work in regional areas is bringing major economic and social benefits around the State,” Mr Shave said.

    “Over the past year, LandCorp invested $19 million in 12 projects in regional areas. There is potential for total investment in these projects to exceed $100 million over the next five years.

    “These projects will create regional employment and investment opportunities and add to lifestyle opportunities for local residents and tourists.”

    LandCorp chairman Ross Hughes said the outstanding profit was the result of several years of hard work and included an allowance for all State and local taxes and charges or their equivalents.

    “The 21 per cent return on assets in 1999-2000 eclipses the 14 per cent in the previous 12 months and validates the successful repositioning of the balance sheet of LandCorp in preparation for future State-wide initiatives,” Mr Hughes said.

    “This result has its origins in Mr Shave’s review finding in 1998. Western Australians in all regions of the State are now benefiting from that initiative.”

    Mr Hughes stressed that LandCorp’s performance should not be viewed only in financial terms but also on the broader development outcomes of the agency’s activities.

    “The agency has an impressive portfolio of expertise and achievements,” he said.

    “LandCorp has fully supported the Government’s commitment to regional Western Australia through projects from Marlston Hill in Bunbury to waterfront developments planned or under way in Geraldton, Carnarvon, Exmouth and Mandurah.

    “Our continued commitment to regional industry is shown at projects in Northam and Albany. We have expanded the Jervoise Bay shipbuilding precinct and begun development of the Henderson Marine Support industrial area.”

    Mr Hughes said all these developments were creating opportunities for the private sector, further highlighting the agency’s important contribution to the economic well-being of the State.

    While LandCorp has increased the financial return to WA, it has also ensured there is a strategic land development program for the future of the whole State,” he said.

    Other highlights of the year were:
    • the National Award for Excellence from the Urban Development Institute of Australia for Bunbury’s Marlston Hill project;
    • facilitation of further investment in Joondalup through the Police Academy relocation and the establishment of the Ansett and Stellar call centres; and -
    • release of the final stage of Perth’s premier industrial estate at Canning Vale, completing the 25-year life of the development project.

    Mr Hughes said LandCorp would not rest on its laurels.

    “We shall be actively seeking new opportunities, focussing on long-term general industrial land supply, the next generation of regional projects and the Government Asset Disposal program,” he said.

    Media contacts:
    John Clune, Minister’s Office 9213 6500
    Bob Charteris, LandCorp 9482 7442