However, they rejected 9-2 a motion for all decisions relating to the project to be made by the full council until that review was complete.
The notice of motion was brought by Cr Niki Glading, to ensure all decisions made under the Lakeview-Taumata agreement were made at the "appropriate level" of the organisation, in accordance with the Local Government Act and Local Government Official Information Act, and the council had appropriate structures and processes in place to ensure good governance.
The project is being developed by Melbourne-based Ninety Four Feet and will ultimately comprise a mix of residential, hospitality and retail space on a 10ha site near the Skyline gondola.
Along with Ninety Four Feet, the transtasman development consortium consists of property company Centuria Capital - formerly Augusta Capital - and Britomart Hospitality Group.
It is expected to take 10 to 15 years to transform 3.3ha of the site into more than 500 residential apartments, three hotels, retail and hospitality space.
Speaking to her notice of motion, Cr Glading told councillors yesterday she was not suggesting the council, or its staff, had done anything wrong to date, but noted the "very broad" delegation was authorised in 2017, before a request for proposal was sought, a development partner was found, or a development agreement signed.
"It just seemed to me that now that we have a development partner and now that we understand the frequency of decisions that need to be made ... the nature of things and scope of decisions that need to be made under that [agreement], now’s a good time to look at it ..."
Cr Esther Whitehead said she fully supported the essence of the motion, which was "about trying to make decisions in a more transparent way".
"There was a lot that was decided a long time ago and I know other councillors have stated that consultation’s happened and decisions have been made, but I think it is time for review."
Cr Niamh Shaw said the landscape had changed considerably since 2017 and given Lakeview was "basically sold to this community in terms of minimising risk and protecting community outcomes", she felt elected members should retain oversight of both.
However, Crs Penny Clark, Craig Ferguson, Calum MacLeod, Glyn Lewers and mayor Jim Boult were all opposed.
All said they had faith in Mr Theelen and his executive team’s ability to keep councillors informed.
Cr Clark reminded councillors their role was in governance, "not in checking every little movement the council staff are [making]", while Cr MacLeod said the council was in danger of sitting at the council table discussing minutiae.
"One of the definitions of an elephant I’ve heard is a mouse designed by committee.
"I don’t think that’s good for our relationship with [Ninety Four Feet].
"If we need to go through a review, so be it, but in terms of a whole recommendation, I’m uncomfortable with it."
In favour of the delegation review, to come back to the council by June 30, were Crs Whitehead, Glading, Shaw, Heath Copland, Val Miller, and Quentin Smith.
Opposed were Crs Lewers, Ferguson, Clark, MacLeod and Mr Boult.
All but Crs Glading and Shaw were opposed to councillors making all decisions on Lakeview until the review was complete.
