A Tasmanian distillery is facing demands to hand back their historic site after the local council terminated its lease due to unpaid rent.
The New Norfolk Distillery allegedly owes over $100,000 in rent to the Derwent Valley Council for three buildings in the Willow Court asylum heritage precinct, a spot that has become a popular destination for tourists in the area.
The distillery, however, claims that the council failed to fulfil its end of the lease by not providing services to the site.
According to the ABC, the issue was discussed during a recent closed council meeting, where a motion was passed to terminate the lease and explore options for recovering the unpaid rent.
Derwent Valley Council acting general manager Ron Sanderson said the business will be notified of the pending eviction.
“Invoices were sent for four years of rent … they haven’t been paid,” he said.
“No capital works have been undertaken. We will be discussing further action with our lawyers next week.”
The distillery, led by Tarrant Derksen, whose brother is a former Liberal candidate and an adviser to the State Development Minister, is understood to be evaluating its legal options.
Earlier this year the distillery was offered a $1.2 million grant from the state government, which they are now at risk of losing after failing to meet the condition that they become the owner of the buildings.
