BY JORDAN REGNIS
Reflections Holidays has withdrawn from a partnership with Maitland Council to deliver accommodation at the Walka Water Works site.
Council announced in January it would be prioritising the remediation of asbestos contamination at the site.
This has resulted in funds which sought to turn Walka Water Works into an iconic visitor attraction reallocated to remediation efforts.
The $10 million in funding had been secured through the Regional Tourism Activation Fund.
Maitland Mayor Phillip Penfold says "the council understand that the community's priority is the sites lawns which are closed due to the contamination".
"We're calling upon the owner of the site, the New South Wales Government, to spend the necessary money to remediate the site and open it up."