A ‘piece of water’ in the heart of Port Douglas has just become a lot more valuable after the State Government’s recent 60 per cent increase of the statutory value of its own lands and water where The Reef Marina is situated.

And Reef Marina spokesperson, Andrew Hooper-Nguyen, said while it is important that his tenants understand why berth fees must rise, “it breaks my heart to be making such good progress rejuvenating the marina, and then to be whacked like this by the state.”

“We are frequently asked why marina berths are so expensive. After all, ‘it's just a piece of water’. But, it’s a piece of water for which we pay a handsome price,” he said.

“And the price is about to become even more handsome. Apparently, the lands and water – which does not, for example, include our buildings and marina structure – is now worth 60 per cent more than last year. As a consequence, our costs to lease the land and water are rising by the same percentage.”

Hooper-Nguyen is unable at this stage to say what effect this will have on berth pricing.

“We are currently reviewing our berth pricing with a view to implementing a Government Charges Recovery Levy from 1 October 2016,” he said.

“At this stage, we have not determined the size of the levy or its application; but will communicate with affected customers as soon as possible. The levy will be separately itemised within invoices and 100 per cent of the levy will be applied to cover increases in government charges.”

Hooper-Nguyen said that when the rent and Council rate increases take full effect, The Reef Marina's annual government charges will rise to an amount equivalent to about $8,350 per Marina berth.

“We are unable to absorb these cost increases as they threaten the viability of the marina. As is well known it has a fractured past having already gone broke plenty of times.

“We have invested heavily in the revitalisation of The Reef Marina, and it is in everyone’s interest that it remains viable and we are able to continue investing in its improvement.

“I sincerely regret any berthing cost increases, especially insofar as it impacts upon people’s choices to visit or base themselves in Port Douglas; or upon our important tourism industry. But sadly our hand has been forced,” he said.

MEANWHILE, there is still uncertainty when the upgrade of the Reef Marina will begin.

As Newsport has reported, Council granted the Marina Preliminary Approval in May. However, a Council spokesman said that as The Reef Marina has yet to submit a Development Application, Council’s planners cannot assess, or for Council to discuss, a DA that has yet to materialise.