“We need your help”: Kirribilli Club issues mayday to help save venue.

By ANNA USHER

The Kirribilli Club is pleading with members to provide $2000 each to prevent its closure.

In a mass email sent to locals this week, the historic club said a rental increase has “forced” the Board not to renew its lease, which is set to roll over in November.

“The financial stress of our new rental arrangement being well over $2 million per annum, plus a further $1 million in miscellaneous building expenses, has forced us not to exercise our rental renewal option,” Kirribilli Club president and chair Lukas Bendt said.

The board has revealed an ambitious goal to buy back the property from Stadia Capital or “relocate to an affordable location within the area.”
For this to happen, members are being asked to buy a “debenture certificate” for $2000.

“Based on the success and response from our membership pledge, we will be issuing debenture certificates in favour of your financial investment,” the email states.

“We request your serious assistance as this is your club, and the Kirribilli Debenture opportunity is the best solution for our longevity and continued existence going forward.”

Founded in 1946 as a community club serving Australian Defence Force personnel and their families, the venue was rebuilt in 2007 despite more than $5 million in debts.

Since then, the 1,834 sqm site on Harbourview Cres in Lavender Bay has been plagued with financial problems.

Records show that in 2014, it sold to NSW Harness Racing for $15.5 million before new owners Stadia Capital purchased the club in 2022 for $22.855 million.

Stadia Capital managing director Scott Staniforth told Mosman Collective while he acknowledged the Club’s circumstances, an annual 3% fixed rental increase was part of the existing lease agreement.

“We are sympathetic to the Club’s situation and have been in discussions with them over a long period of time,” he said.

“The plight of clubs broadly has not been positive, with many in situations where they need to rethink their business model.

“The Kirribilli Club is no doubt feeling the effects of the impact of Covid, high inflation across food and beverage, wages, insurance and the loss of their restaurant operator, etc.

“The negative social sentiments towards poker machines has also seen a significant decline in club revenue.”

Former local North Sydney Federal MP and nearby resident Trent Zimmerman has publicly backed the club.

“This is an ex-services club which has supported veterans for many decades and it would be a very sad loss for our community if the club wasn’t able to continue,” he told the Mosman Daily.

“It has also been a community hub for the lower north shore, and it would be wonderful if there were some White Knight to ride to the club’s rescue.”

The latest publicly available financial report shows the club recorded more than $6.1 million in income and revenue and $480,896 in total comprehensive profit in the 2021 financial year.