Tower study given funds

Press, 16 September 1987, Page 1

Tower study given funds

By KAY FORRESTER Even if the Victoria Square tower project does not get off the ground, the developers will collect $36,000 from the Canterbury Regional Development Council to offset their preliminary costs. The money will come from the Minister of Regional Development’s investigatory grants scheme. Under the national scheme, developers can apply for a subsidy of up to 35 per cent of preliminary costs for a project benefiting a region. The chairman of the Canterbury Regional Development

Council, Mr Ivan Jamieson, confirmed last evening that the council had approved an application from Tourist Towers, Ltd, for funds towards the preliminary tower costs. The council’s attitude to the project was that it was innovative and could have benefits for Canterbury, Mr Jamieson said. “We said, ‘Let’s not choke it at this stage’.” The council had only discussed the tower proposal in terms of the application for a grant, he said. It had not had a general discussion on the concept. “This was not a political deci-

sion at all, simply a decision to provide a grant as we have to other organisations towards the preliminary costs," Mr Jamieson said. The council’s executive director, Mr Doug Kerr, said the grant was not conditional on the project being completed. Whether or ■ not Tourist Towers, Ltd, built the tower would not change the grant. “The nature of the grants is that they are for . exploratory work. They do not depend on a positive result,” he said. The philosophy of the grants scheme was to ensure that in-

depth studies were done on the technical feasibility and economic viability of projects. The grant could not exceed 35 per cent of the preliminary costs associated with a project. Tourist Towers had asked for and had been granted $36,000, he said. “The developers are not making money out of this. They have put up the other 65 per cent of the costs for initial work on the project” Mr Kerr said. The Christchurch City Council meets on Monday and will decide whether to rescind approval it has alrady given for the $2O million proposal.