New lease agreement secures University of Western Australia’s commitment to Albany for long term

The Old Post Office will continue to house Albany’s University of Western Australia campus well into the future following council approval of a new lease last week. UWA’s original 20-year lease ended in July 2021 and negotiations with the City about the new lease started in June of the same year. The new lease, which will be backdated to August 2022, stipulates that UWA will pay an annual rent of $165,000 with a fixed annual increase of 3 per cent each year and a market valuation every three years. The addition of annual rent is a significant change — for the first 21 years while it established itself, the university paid a nominal rent of $1 per year. The new lease will last for 10 years with a possible 10-year extension if agreed to by both parties. Speaking in favour of endorsing the lease last week, Cr Chris Thomson said it represented a commitment by UWA to Albany “and they’ll be paying rent, so it’s even better”. “We are very, very lucky to have this facility here as we are the only regional place in WA that has a full, albeit mini, campus of a sandstone university, which is pretty prestigious stuff,” he said. “In economic development terms, in the knowledge-based economy, we hear of this term called the triple helix model of economic development. “It used to be called the double helix between industry and government, but universities have been thrown into the mix now as real economic generators for a whole range of reasons.” Cr Sandie Smith seconded the lease approval saying the rent paid by UWA would help fund City maintenance work on the heritage-listed building. “Up until now on peppercorn rent, we shouldered the full burden of responsibility for that building,” she said. “Now under a commercial lease agreement which generates some income to put towards the cost of upkeep of that building. “It has been a tremendous partnership and nobody could argue against the benefit to the City since they have been here. “We had high hopes when they arrived and I think it’s fair to say they have done absolutely the best they could.”