Bedford financials ‘more dire’ than first understood
Residents are being told to take their time moving out of Bedford’s supported accommodation in Adelaide as the $15 million state government rescue package sale is finalised.
Premier Peter Malinauskas on Wednesday in state parliament said scrutiny of Bedford documents showed that its financial position was “even more dire than what we first understood” when it was rescued from entering voluntary administration earlier this year.
However, Malinauskas assured that 40 residents living at Bedford’s Balyana site in Clapham had until “at least the second half of 2026” to leave the accommodation.
Bedford was told to make clear in a recent meeting with families that residents – some who had lived at Balyana for many years – would not be rushed to move as the $15 million sale process had bought far more time for them to plan the transition, he said.
The significant Adelaide foothills 3.9 hectare Balyana site was opened by former Prime Minister Gough Whitlam in 1974 and has motel-style accommodation for nearly 30 people and a series of individual units.
“I am advised the Balyana facilities are old and approaching end of life and are not fit-for-purpose for disability housing,” the Premier said in a letter sent to Bedford Board chair Janet Miller earlier this year.
He shared the letter in question time yesterday saying that “even prior to Bedford’s financial issues coming to light” a decision had been made to move residents out of the Clapham accommodation.
Malinauskas said the government support package stopped Bedford Industries from entering voluntary administration and an expected rapid liquidation of Bedford’s assets, “directly impacting Bedford’s supported independent living clients”.
He told parliament there had been a “real risk” that “the people living at the Balyana site could find themselves abruptly having to find alternatives”.
“By us acquiring the Balyana site it put the South Australian government in the box seat to have greater security of the people living there.”
A spokesman said the government had no plans to sell or develop the Balyana site – that property industry sources previously indicated would be worth more than $20 million on the open market, given its size and prime location.
Balyana’s buildings were now aged and in 2013, community lobbying failed to keep the site’s swimming pool – used by both residents and the wider community – open.
Stay informed, daily
Bedford Industries found the more than $600,000 cost of refurbishment was too costly.
A rescue package for the not-for-profit was announced in July with McGrathNicol appointed as restructuring advisers reporting directly to Bedford’s board and chief executive Myron Mann resigned from his position.
On Thursday, federal Health, Ageing and the NDIS Minister Mark Butler told ABC Radio the financial challenge facing Bedford was “very, very deep” and it was not going to be easy for McGrathNicol to craft a restructuring plan.
“I think we’ve over the last several weeks understood in more detail the depth of the financial problem that Bedford has got itself into, or more to the point, Bedford management has got the organisation into,” he said.
