THE Portland District Health board has stunned the Sea View House Steering Committee with its lease price for the Supported Residential Service (SRS) building.
The committee has been awaiting details of the lease price in order to finalise its business plan for operating the SRS under the control of a community group.
Committee chairperson Myra Bourke said the group received a letter from PDH board chairman Mike Noske on Wednesday.
The figure was $316,680 per year or $26,390 per month, which Mrs Bourke said was more than the committee had thought it would be.
“We are still working on figures, but hope it’s negotiable down the track,” she said.
Mrs Bourke said the group was stunned at the amount and would be looking at other commercial lease agreements.
Mr Noske said the board set the price after the building was independently valued in February last year, and also looked at lease values at other SRS’s around the state.
“The price is set on both the industry and location,” Mr Noske said.
When asked if he believed it was fair and reasonable lease price, Mr Noske said the valuer certainly did.
Read more in Friday’s edition of the Portland Observer.