Megalo Print Studio and Gallery had planned to use a $3.8 million ACT government grant to move into the heritage-listed Fitters Workshop and convert it into a printing studio.

However, an alliance of musicians and politicians argued that the building's excellent acoustics made it better suited to a performance venue – a position subsequently endorsed by a parliamentary committee.

Megalo chief executive Alison Alder wrote an open letter to ACT Chief Minister Katy Gallagher in which she said the drawn-out saga was having an "increasingly negative impact on Megalo".

[Related: Megalo chief joins CEO Sleepout]

Alder said the time had come to find a permanent home for Megalo, which had operated out of temporary accommodation since being founded in 1980.

She proposed that the organisation be moved from its current Watson site into temporary premises on Wentworth Avenue. Megalo would then be placed in a "permanent purpose-built home" in the Kingston arts precinct that is soon to be developed.

"This will enable the board, staff and members to dedicate our energy to the core business of running an internationally renowned print studio and gallery," said Alder.

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