Financial strife for company behind controversial 18-storey Port Macquarie development

The company behind a controversial 18-storey development plan in Port Macquarie has entered into external administration, with a slew of investment properties put into receivership to cover debts.

What’s happening: Development company Planet Warriewood, an entity of the Mustaca Group of Companies, had a receiver appointed on 22 May, according to the Australian Securities and Investments Commission (ASIC). 

• The role of a receiver is to collect and sell an entity’s assets to repay the debts it owes to secured creditors. 

• According to documentation from ASIC, 10 properties owned by Planet Warriewood are now in receivership, including the site at 23 Park Street, Port Macquarie (corner Park and Warlters streets). 

Mustaca Group CEO Sam Mustaca spoke to the Mid North Coaster as he was headed to a meeting with his lawyers on Tuesday, however declined to provide any details. 

What was proposed: Declared a State Significant Development (SSD) by the NSW Government's Housing Delivery Authority (HDA) in late 2025, the development proposal consists of tourist and hotel accommodation, as well as entertainment and commercial uses.

The proposal includes 210 dwellings, with 15 percent of those slated to be affordable housing.

If ever approved, it would be the first 18-storey development in the Port Macquarie-Hastings LGA. 

How it works: The SSD declaration means the proposal - which attracted significant opposition from local residents - would largely bypass Port Macquarie-Hastings Council, with project approval the responsibility of the NSW planning minister.

The proposal is at the Environmental Impact Statement stage of the assessment process.

What could have been: Planet Warriewood - led by enigmatic United Cinemas founder Rocco “Roy” Mustaca - has been attempting to develop the 5,771sqm site for years.

In 2019, it lodged an application with council for a four-storey entertainment and commercial development including a large cinema complex, a gym and an indoor bowling alley - at a cost of $30 million. 

This proposal was knocked back by the Northern Regional Planning Panel in 2023. 

Where to now: While the land will likely now be sold to cover Planet Warriewood’s debts, major development is still possible, as SSD status is based on the development proposed, not the applicant.

A spokesperson for the Department of Planning, Housing and Infrastructure (DPHI) told the Mid North Coaster that the site’s SSD status remains “unchanged”.

• “The development described in the SSD declaration can proceed through the environmental impact statement preparation and assessment process under a different applicant,” they said. 

  
  “The Secretary’s Environmental Assessment Requirements (SEARs) are only valid for nine months from the date of issue.”

Due to the date of SEARs lodgement, an SSD application would need to be lodged by 2 January 2027 unless a request is granted for an extension.

Something to celebrate: Port Macquarie Hastings councillor Nik Lipovac told the Mid North Coaster the news was positive for local residents. 

• “At this point in time I think it's a win for the community, who are happy to see affordable housing built, but not an 18-storey skyscraper on the edge of town,” he said. 

• “If this project falls over because of what's happening with the ownership, I think that's good news.” 

Councillor Lipovac posed a number of alternate uses for the site, including additional parkland, extended car parking areas and a shuttle bus service, noting the price would have to be “very reasonable” if council was to consider a purchase.