CONSOLIDATED PROPERTIES CLINCHES SALE OF HOPE ISLAND HOTEL SITES AND GOLF COURSE RIGHTS

Developer Consolidated Properties has sold the balance of its holdings at Hope Island Resort, including two prime waterfront hotel and villa development sites and a controlling interest in the private Links Hope Island Golf Club, to a Chinese buyer for an undisclosed sum.

 Consolidated today confirmed the sale, which is subject to Foreign Investment Review Board approval, to Golden Horse Nine Dragon Lake Holdings, a major Hong Kong-based property developer.

 It is Golden Horse’s second foray into the Queensland market this year, following the group’s purchase of the Noosa Springs golf resort and associated businesses and residential lots in July.

 Golden Horse has completed numerous major developments throughout China and is the developer of the sprawling Dragon Lake International Village outside Guangzhou, which includes two championship 27-hole golf courses, a 5-star hotel and numerous residential, commercial and recreational precincts. The Dragon Lake Golf Club will host this year’s Royal Cup, the world’s leading men’s teams tournament for professional golfers from Europe and Asia.

 The Hope Island hotel sites total 8162sqm and have approvals in place for up to 400 resort rooms and 29 permanent residences, situated adjacent to the Links Hope Island golf course and private waterways.

 The hotel can integrate with the existing Links Hope Island clubhouse  – which recently underwent a multi-million dollar refurbishment – to make use of function rooms, restaurants, lobbies and full-line kitchens.

 The sale also includes the balance 550 of 990 equity shares in the Links Hope Island golf course, widely regarded as one of the premium courses in Australia.  The first round of shares were sold individually to private members. The sale of the balance shares is subject to the approval of existing shareholders.

 Together with Sanctuary Cove, Hope Island Resort is the premier integrated resort at the northern end of the Gold Coast, incorporating a golf course, marina and shopping village together with secure gated residential communities. The resort was developed by Japanese group Shinko in the 1990s at a cost of more than $100 million, with further development by Lang Walker and Mirvac Group.

 Consolidated acquired the golf course, golf club, development sites within the resort, the resort marina and Boardwalk Tavern for $53 million in 2006.

 Consolidated has progressively developed and onsold the individual components of its holding, with the sale to Golden Horse completing the company’s exit from the development.

 Consolidated Properties Managing Director Residential Lachlan Grantley says the deal with Golden Horse will see the development of a major international hotel to complete the facilities at Hope Island Resort.

 “They saw that what we were offering was a once-only opportunity to put together an integrated hotel and golf course development within Hope Island Resort,” Mr Grantley said.

 “A big attraction was the quality of the golf course itself, which was designed by five time British Open champion Peter Thomson in collaboration with Mick Wolveridge.

 “It was the right time for us to take these assets to market, as Hope Island has really established itself as a major focus for local and international development investment. “

 The marketing campaign was led by Darrell Irwin and Stewart Gilchrist of Colliers International.