In 1977 a shelter was erected for passengers waiting for ferries at the end of the Picnic Bay jetty by the Townsville City Council. In 1985 the Townsville Harbour board gained approval to build a larger shelter shed on the Jetty. Following the completion of Magnetic Harbour in 2003 ferry operations to the Picnic Bay jetty ceased and a large number of local retailers moved their businesses to newer premises in Nelly Bay. As such a large number of premises in the Picnic Bay Mall became empty. Shortly after this a development company attained a large amount of land (including that currently used by the Picnic Bay Hotel) and began work on a new multistory apartment complex with retail premises on the ground floor. Unfortunately due to the death of the developer and a series of legal issues work has halted on the project.