At the 20 October 2025 Meeting, Council received and noted the contents of the report titled Coorong Cafe Lease Proposal and Community Land Management Plan Amendment - Community Engagement Outcomes and the Coorong Café – Community Engagement Report.

Council granted consent to a 20-year ground lease (5+5+5+5+5 years) for continued occupancy of a portion of Sugars Beach, approved the lease fee (annual rent) and authorised administration to finalise agreement arrangements.

Council also resolved the amend the Community Land Management Plan category for that portion of the land that forms the footprint of the lease area, from 'Multi-Use Developed Reserve' to 'Multi-Use Commercial Properties', subject to Department for Environment and Water consent. Council will receive confirmation of the Community Land Management Plan Category amendment at the March 2026 Council Meeting during the scheduled report on Community Land Management Amendments.

We sought community feedback on a proposal to provide a 20-year commercial lease to Coorong Café, for continued occupancy of a portion of Sugars Beach Hindmarsh Island for café purposes.

Why we asked

As the land is community land and the proposed term of the lease is greater than 5 years, community consultation is required under the Local Government Act 1999, to provide the public with an opportunity to consider the essential terms proposed within the draft lease and make a submission regarding the proposal should they choose to.

Community engagement is integral to Council when considering a proposal over community land. Following close of community engagement, the submissions received will be provided to Council to assist Council Members in making an informed decision on the proposal.

Proposed lease details

The community are provided with the below essential terms of the proposed lease:

• 20-year (5+5+5 +5) year lease
• Lease commencement date of 1 November 2025
• Purpose of ‘shop, comprising of two mobile food vans with associated approved storage container, amenities and open dining area’
• Commencement rent to be determined and applied by an Independent Market Valuation
• Independent Market Valuation to be undertaken and applied at each 5-year renewal term
• Rent to be reviewed by CPI in the years between a market valuation
• Lease to be accompanied by a road rental permit for the partial placement of the shipping container on road.
• Commercial trading permit for the dining area located external to the lease area.

In addition, Council consulted on the proposed amendment to the Community Land Management Plan (CLMP) to categorise that portion of land on which Coorong Café sits from its current category of ‘Multi-Use Developed Reserve’ to ‘Multi-Use Commercial Properties’.

This would ensure its use was consistent with the CLMP criteria and the approval from Department for Environment and Water (DEW) to use this portion of land for commercial purposes.

Image: Map showing the proposed lease area (outlined in red) for Coorong Café.