Big Splash will not be required to reopen as a water park after Access Canberra determined that the Macquarie site’s current use is likely to comply with its Crown lease.

Following a November 1 compliance deadline, the regulator says there are insufficient grounds for further action against the lessee, despite the site’s prolonged closure as an aquatic facility.

Access Canberra says the lease permits three uses: an aquatic facility, an indoor sports facility or an unlicensed family restaurant.

It says the lease does not require the site to operate as a water park or specify the size, operating model or minimum frequency of a restaurant.

Following an assessment of food-related activity at the site, Access Canberra concluded it was “more likely than not” that the lease was being complied with.

The lessee has also repaired and replaced perimeter fencing, secured the premises and established an area for food-related operations.

Access Canberra says earlier compliance action over fencing and security has been finalised, with no outstanding regulatory matters relating to the lease.

The regulator acknowledged that its decision might disappoint residents campaigning for Big Splash’s return as a water park, but said it could not pursue enforcement action without sufficient legal grounds.

It says it will continue monitoring the site and take further action if circumstances warrant it.

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