Potential buyer for $50m+ Queensland island
A QUEENSLAND-based buyer has emerged for Great Keppel Island on the Great Barrier Reef after a previous deal sunk.
Almost a year ago Singapore-Taiwanese company Wei Chao Pty Ltd exchanged contracts to buy almost 1000ha of the island from Terry Agnew's Tower Holdings for a rumoured $50 million plus.
However, the leasehold deal is understood to be in serious doubt over funding issues and concerns on the progress taken by the State Government in signing off on the deal.
Sunshine Coast-based Altum Constructions - which has partnered up with giant Singapore-based diversified investor and developer Thakral in the past - has exchanged contracts and is proceeding through a due diligence process.
Altum was an underbidder for Dunk Island which was bought by British investment company Mayfair.
Marketing agents Tom Gibson from JLL Hotels & Hospitality Tom Gibson and Knight Frank's Pat O'Driscoll refused to comment on the deal which will take some time to settle.
Great Keppel Island's resort was a famed party destination in the '90s, known for its slogan "Get Wrecked on Keppel".
Its current owner, Tower Holdings, closed the hotel a decade ago.
Mr Agnew has secured approvals for a $400 million luxury resort which will include a 250-room beachfront hotel, 300 luxury apartments, 285 luxury villas, 9000sq m of retail shops and a 250-berth marina.
As part of securing Great Keppel, Wei Chao had to prove it had the funds to develop
The island is the largest in the Keppel group of Islands and has 17 white sandy beaches and crystal clear waters just 12km off Yeppoon on the Capricorn Coast at the southern end of the Great Barrier Reef.
Recently Mayfair purchased the cyclone-ravaged Dunk Island for $31.5 million from Linc Energy founder Peter Bond.
Mayfair has quietly lined up contracts on more than $150 million worth of property on the adjacent mainland Mission Beach, etching out a plan to turn the strip into Queensland's next tourism mecca.
The company aims to spend $1.6 billion over then next 10 years and plans include a golf course, three resorts on Dunk Island and another on the mainland, and renovating a nearby airstrip to become an international airport to tap into the Asian market with direct flights straight into the tropical paradise.