Regional Community, Sport and Recreation Precinct

The City of Victor Harbor is embarking on one of the most exciting, region-shaping projects in a generation to deliver The Precinct.

The Regional Community, Sport and Recreation Precinct (The Precinct) is an exciting and landmark development project. It is planned for delivery in the heart of Victor Harbor and is something that the Council has been working towards bringing to life for some time.

Located at Lot 202 Armstrong Road, Victor Harbor, the project will see the delivery of the southern Fleurieu’s premier sports, leisure and recreation precinct. The Precinct is anticipated to include an indoor sport and recreation facility (inclusive of four multi-purpose courts, gymnastics area, meeting rooms, gym and cafe), childcare, allied health/retail spaces and hospitality offering. Importantly, it provides for expansion areas to ensure the facility is future-proofed as our community grows.

Project Need

Victor Harbor and the surrounding region has experienced sustained growth in population, and further growth is expected as more families move to the region. There is a shortage of adequate facilities to support current and expected growth across the southern Fleurieu region and consequently significant investment in community infrastructure is required, evidenced by a demand analysis that highlights the need for regional facilities. The Precinct aims to take a significant step to addressing this gap.

Key drivers for the development of this project include:

Indoor sport facilities within the City of Victor Harbor and surrounding region are at (or beyond) capacity, and further facilities are required to cater for growing needs. The inadequacy of facilities is limiting current participation in active wellbeing.
Community meeting spaces are in demand.
Opportunity to create a much-needed community hub that provides a place for people of all ages to connect through sport, recreation and social activities.
Working to attract more families to the region.
Infrastructure that supports the Greater Adelaide Regional Plan.

The Precinct will see the delivery of a multi-purpose built facility that sits within a broad landscape of community open spaces. It will include a mix of spaces that have many uses and align with Council’s philosophy that the facility is for, with and by community.

Current Project Status

Currently the City of Victor Harbor is negotiating with South Australian developer, Accord, in relation to a Public Private Partnership proposal to deliver community, sport and entertainment facilities for our community. The proposed collaboration between public and private sector combines strengths and capabilities to help build this infrastructure for the community that would otherwise be unaffordable for Council without significant external funding.

As a part of the negotiations, the Council is currently exploring various operating models for the recreation facility, including self-management. There is significant modelling to be undertaken to fully understand the implications of Council taking on the operations.

The framework for this negotiation is outlined within a Heads of Agreement (HOA). The HOA does not commit Council to progressing with the partnership. A final decision will be made once due diligence is completed, which is expected in the coming months.

There are a number of other matters being undertaken concurrently with the negotiations. The land management agreement that sits over the site has been modified and a Code Amendment to correct inconsistencies in the zoning of Lot 202 and its surrounds has been completed. Council is currently waiting on the outcome of a request to the Minister for Local Government to remove the community land status over a portion (~30%) of Lot 202 Armstrong Road to allow for a long term lease to be entered into with the developer (noting that Council will retain ownership of the land).

Council has also been working with the developer and a select group of key stakeholders to finalise the design of the Sport and Recreation Facility within the Precinct. At its July 2025 Ordinary Council Meeting, Council adopted the concept floorplan for the purpose of proceeding with detailed design. This is an important step for the project, bringing it another step closer to becoming reality.

Project Updates

View the latest project updates

Background (Part 1)

Over the years, significant planning has been undertaken to explore options for improved sport and recreation facilities in Victor Harbor to help meet the needs of our growing and diversifying community. In 2020 the Southern Fleurieu Regional Sports and Recreation Precinct Feasibility and Preliminary Design Project Report was prepared. This report focused on building a sport and recreation precinct on a site referred to as the 'Gillespie Land' on Armstrong Road in Encounter Bay, canvassing a limited number of sport and recreation amenities. A high-level cost estimate that accompanied this report put the precinct development in the vicinity of $46 million, and although a staging plan was proposed, the Council did not endorse this initiative and instead paused the project, allowing time to further reflect on community need and the desired outcomes.

In early 2022, The Precinct project was reignited with a broader community focus. While sport remains the key focus, a more holistic approach is required to make The Precinct sustainable, and to align with best practice and funding guidelines for the development of large scale sporting infrastructure.

To assist guide the project, the Council is working to a set of guiding principles that align with the South Australian Government's sports and recreation infrastructure to assist in securing grant funding:

Community benefit – working to ensure the Precinct is utilised by the widest range of future users
Budget impact – a concept that provides a Precinct within a realistic budget that allows for long term affordability
Partnership potential – an opportunity to determine if there is public / private interest
Future proofing – a Precinct designed to meet the immediate, growing and long-term needs
External funding alignment – meets external facility funding criteria
Environmental sustainability – with a focus on energy and resource efficiency
Timeframe – when can the facility be delivered
Facility location and access – centering around being welcoming and inclusive for all
Economic return on investment – will the broader community benefit from flow on

Community engagement was undertaken during March and April 2022 to seek community and stakeholder input into three potential site options for The Precinct, and understand potential uses and users of The Precinct.

During the consultation period, the community and key stakeholders were asked to provide their views on three potential location options including:

Option 1 – Armstrong Road (Gillespie Land)
Option 2 – Lot 202 Armstrong Road (behind the Victor Harbor TAFE)
Option 3 – Adelaide Road (Town Entrance)

Community and stakeholder feedback, along with other investigations and analysis, indicated a strong preference for Lot 202 to be the preferred site for the Precinct. This was subsequently adopted by Council at the Special Meeting held on 30 May 2022 and the project then progressed to concept development.

Key themes from the stakeholder and community engagement that occurred in early 2022 highlighted that The Precinct should:

Be multi-purpose, accessible to all, intergenerational
Provide a facility that is fit-for-purpose and caters for a range of sports and recreation activities - particularly those that are in demand such as basketball and gymnastics
Focus on both community and sport programs and activities
Be future-proofed
Consider other Precinct related factors (e.g. environmental and cultural sensitivities).

Following this a draft concept was prepared (with a footprint 40% smaller than the initial Gillespie Land proposal) along with preliminary financial modelling. This was presented to the community for further feedback in March 2023. The consultation provided the community with potential cost implications of developing The Precinct, including an estimated capital cost of $43 million (based on concept and cost surveying at the time). Community was asked to consider the implications of Council contributing $10 million or $20 million and the potential impact this would have on ratepayers (an additional $45 per year for three years or $60 for three years, respectively).

Approximately 41% were supportive of the increase – some saw the increase as an investment in community;
Around 27% indicated they did not support the rate increase presented. There were comments about the financial pressures on household budgets particularly given economic conditions; and,
22% indicated they were not a City of Victor Harbor ratepayer but had an interest in the facility.

The Council also surveyed broad community sentiment about the relative priority of The Precinct through its Community Satisfaction Surveys in 2022 and 2023. The Precinct was nominated as the most important major project on Council’s forward slate (70% and 67% support, respectively).

After considering all of the available material relating to the current iteration of concept development, including needs analysis, location options, designs, staging options, consultation outcomes, and economic and financial modelling, the Council made the decision to explore public / private partnership opportunities. This approach aims to balance the prime considerations of affordability and financial sustainability, while also addressing community needs.

Background (Part 2)

Council’s commercial advisors, Alinea Group, launched an Expression of Interest (EOI) seeking proposals from qualified and well-credentialed groups to deliver innovative development and operating solutions for The Precinct. This process attracted strong interest from the private sector.

A potential partnership opportunity was identified and Council entered into commercial-in-confidence negotiations to a preferred Proponent to progress commercial terms for the partnership that provide the best outcome for our community. This phase includes significant legal, commercial and prudential due diligence. The framework for these negotiations is outlined in a Heads of Agreement (HOA). The HOA does not commit Council to progressing with the partnership. A final decision will be made once due diligence is completed.

During the commercial negotiation process, there are a number of planning matters being progressed. This includes initiation of a Code Amendment to correct inconsistencies in zoning of the area and its surrounds, a modification to the Land Management Agreement in place over the site, and a proposal to remove the community land status for a portion (around 30%) of Lot 202 Armstrong Road to facilitate the development of the Precinct.

The modification of the Land Management Agreement and Code Amendment have been completed. After considering feedback provided by the community and stakeholders relating to the community land revocation proposal, Council made the decision to continue with the revocation process and submitted the Revocation Report and supporting documentation to the Minister for Local Government for consideration. Council is waiting to hear from the Minister on the outcome of this proposal.

The Council has been working with the Developer (Accord Property) and a select group of key stakeholders to finalise the concept design for the recreation facility within the Precinct. This concept floorplan was adopted by Council at its July 2025 Ordinary Council Meeting. The concept floorplan has been shaped in partnership with a dedicated Stakeholder Reference Group that included representatives from:

local schools
Great Southern Amateur Basketball Association
Victor Harbor Gymnastics Club
Great Southern Badminton Association
Southern Sharks Pickleball
Council's Disability Access and Inclusion Committee Representative

The Stakeholder Reference Group's input was highly valuable in refining the layout and features of the facility to ensure it is fit for purpose and meets community needs.

As a part of the negotiation process, the Council is also exploring various operating models for the recreation facility, including self-management, in response to feedback from community groups. There is significant modelling to be undertaken to fully understand the implications of Council taking on the operations. This work is currently being undertaken as a priority within the negotiations occurring between Council and the Proponent.

The City of Victor Harbor is working hard to ensure this project is in the community’s best interest. While affordability is a key consideration, fees for community to access the centre will need to reflect the quality of the facility and be in line with similar regional facilities in South Australia. At the end of the day, we know that for this Precinct to be a success, people need to use it and the prices need to be competitive.

Finally, Council has released all available information to the community, with only legal or commercial details being withheld to protect ongoing negotiations. We are committed to transparency and will continue to provide updates via our website and other communications channels.

Council remains focused on affordability and financial sustainability, balancing the expectations of those for and against this project.

Reference Documents

Initial Concept Development (2022 and 2023)

Phase 1 Consultation Summary: Location options and themes to inform concept design

Phase 2 Consultation Summary: Draft Concept Plan

Private Partnership Expression of Interest Process

Information Memorandum

Community Land Revocation (Lot 202 Armstrong Road)

Community Engagement Summary: Community Land Revocation Proposal Lot 202 Armstrong Road

Community Satisfaction Surveys

2022 Community Satisfaction Survey Results

2023 Community Satisfaction Survey Results