Hospital sites amongst latest WA Government asset sales expected to raise $250 million Updated 25 Sep 2014, 1:07pmThu 25 Sep 2014, 1:07pm
Princess Margaret Hospital. PHOTO: The Princess Margaret Hospital for Children is one of five sites to be sold by the WA Government. (ABC News) RELATED STORY: Buyers line up for WA Government assetsRELATED STORY: Premier announces asset sales to combat debt MAP: Perth 6000 The WA Government has unveiled its second tranche of asset sales, identifying 20 parcels of land expected to raise $250 million.
The Princess Margaret, Kaleeya, Swan District, Shenton Park and Woodside Maternity hospital sites, as well as the East Perth power site, are on the list of land sales aimed at reducing debt.
Police headquarters in East Perth and the Fremantle police station are also on the list.
Premier Colin Barnett said while initial land sales were expected to generate $250 million the Government had flagged in excess of 400 sites that would raise significantly more revenue.
Services at many of the hospitals slated for closure will be moved to the new Fiona Stanley Hospital, set to open in October, and a new children's hospital is under construction.
Last month the Government announced it would sell the Kwinana Bulk Terminal, the Utah Point bulk facility and the Perth Market Authority, and said it expected to raise up to $6 billion over the next three years in total asset sales.
It has also flagged selling the TAB but is facing growing internal opposition at the prospect from a number of Liberal and Nationals MPs.
Since ratings agency Standard and Poor's stripped the state of its prized triple-A credit rating last year the Government has pitched asset sales as a way to pay down climbing debt.
A second agency, Moody's, has also since downgraded its credit rating for WA citing a weak response to growing debt.
Lands Minister Terry Redman said all government-owned land assets were currently being assessed to determine levels of use and efficiency.
He said a Land Asset Advisory Group was being established to provide advice on the sales.
The annual report on state's finances, released earlier this week, revealed net debt totalled $20.8 billion, or 55.2 per cent of revenue, slightly lower than forecast and a larger than expected surplus of $719 million for the last financial year.
But a continued decline in the price of iron ore means Treasurer Mike Nahan has refused to guarantee a surplus this financial year.WA Government Lists 20 Assets for Sale
Hospitals, police stations, schools and ovals are among the 20 assets listed for sale by the West Australian government to help manage the state's crippling debt.
Assets listed include Fremantle Police Station, parts of the Police Headquarters in East Perth, the East Perth Power Station and land around the Cottesloe School for the Deaf, as well as parcels of land held by the Agriculture and Food Department and the Public Transport Authority.
Five hospital precincts will also be up for sale, including Princess Margaret, Swan Districts, Kaleeya, Woodside Maternity and Shenton Park.
Premier Colin Barnett said the land for sale was better placed under private ownership to be redeveloped and restored.
The sale process will vary from one piece of land to another with some sites ready to go to market now, and others that will take more work to get ready for sale," he said.
We expect initial land sales to generate about $250 million for the state, but some of these sites are unique and it is only through testing the market that we will be able to get a clear indication of their value.
Shenton Park Hospital will be decommissioned in October with the majority of services being transferred to the new Fiona Stanley Hospital.
Kaleeya Hospital's services will also see all obstetrics, gynaecology and neonatal services move to Fiona Stanley Hospital, while sub-acute services like aged care will move to Fremantle Hospital, and elective surgery will be distributed between both hospitals.
Lands Minister Terry Redman said the land sales should be of great interest to the private sector.
Cabinet has also approved the establishment of a Land Asset Advisory Group to provide continuing advice on the sale of property assets across WA.
Mr Redman said the Lands Department was assessing all government-owned land assets and expected several other government sites to be identified as appropriate for sale at the conclusion of the audit.
The asset sales come after the state's credit rating was downgraded by both Standard and Poor's, and Moody's.
Perth Market Authority, which operates Market City in Canning Vale, the Utah Point port handling facilities in Port Hedland and Kwinana Bulk Terminal south of Perth were announced earlier this month as the first assets up for sale.
LAND SALES ANNOUNCED BY THE WEST AUSTRALIAN GOVERNMENT AS IT STRIVES TO IMPROVE ITS FINANCES:
Kaleeya Hospital, Fremantle (1.1ha)
Shenton Park Hospital (15.8ha)
Princess Margaret Hospital, Subiaco (4.16ha)
Swan District Hospital, Middle Swan (10.6ha)
Woodside Maternity Hospital, East Fremantle (1ha)
DAFWA site, Forrestfield (13.3ha)
DAFWA site, Medina (161.19ha)
Deaf School, Cottesloe (1.98ha)
PTA Lots 420 and 421, Rockingham (7.29ha)
PTA Area C site, Forrestfield (28.78ha)
Claremont Oval Development (1800m2)
Lot 500, Wanneroo (1.66ha)
Fremantle Police Station (7106m2)
Industrial Foundation for Accident Prevention, North Lake (4.36ha)
Old Perth Girls School, East Perth (1.74ha)
Potato Marketing Corporation headquarters, North Coogee (1.67ha)
Those Hospital land sales have been on the cards for years. I know medical staff at a few of them and they were talking about this back in 2012 that once Fiona Stanley opens going to be alot of changes and areas closing down.
Good for the government to sell this land, I will keep an eye out to see if any land I can buy , some of it is in prime locations.
Those Hospital land sales have been on the cards for years. I know medical staff at a few of them and they were talking about this back in 2012 that once Fiona Stanley opens going to be alot of changes and areas closing down.
Good for the government to sell this land, I will keep an eye out to see if any land I can buy , some of it is in prime locations.
Fantastic location. Surprised by swan districts. Lots of people there now, they do need a hospital.
Whenever you have an argument with someone, there comes a moment where you must ask yourself, whatever your political persuasion, 'am I the Nazi?'
I like how they think they are financial masterminds for selling things off. I will never give someone credit for a surplus if they just sell of a bunch of assets to get there.
Australia is a small country and we always have a land shortage
As i say, calculate what it would cost to build your home, add say $200,000 for land value and that is the true value of your home, the rest is eye wash.
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