Situated on the world heritage listed Fraser Island, Kingfisher Bay Resort, Eurong Beach Resort and the tour and marine businesses are being offered for sale, allowing the incoming purchaser to benefit from a fully integrated tourism enterprise.
Kingfisher Bay Resort Group consists of four distinct tourism operations – Kingfisher Bay Resort and Village, Eurong Beach Resort, Fraser Explorer Tours and Fraser Island Ferries. The businesses accommodated and transported over 150,000 people in 2016.
Kingfisher Bay Resort and Village was developed 25 years ago and is still owned and operated by the original developer. They expanded their Fraser Island interests by acquiring Eurong Beach Resort, Fraser Explorer Tours and Fraser Island Ferries in 2002.
Exclusively appointed agents, Gus Moors and Neil Scanlan of Colliers International are marketing the offering via an International Expression of Interest campaign closing 23 March 2017.
“Considering the current appetite for tourism related offerings, the Group’s diverse revenue streams and available developments, this is one of the most exciting opportunities to be marketed in Australian tourism history,” Mr Scanlan said.
“The operations could be integrated within another established tourism portfolio in Australia or operated under full management as it is today. In addition to this, a large amount of surplus freehold development land offers an incoming purchaser a significant upside with extensive new development or redevelopment options.
“Fraser Island was World Heritage Listed by UNESCO in 1992. Less than 1 per cent of the island is freehold or leasehold land, so new development options are very limited.
“The Group has significant income with revenues exceeding $55 million in 2016. Considering the two resorts account for over 90 per cent of commercial accommodation options on Fraser Island, entry by competitors is impossible,” Mr Scanlan said.
According to Mr Moors, the group has benefited substantially from the increase in Queensland’s international and domestic traveller numbers and is perfectly positioned to continue to experience significant growth as travellers are seeking unique and nature based tourism experiences.
“Fraser Island attracts over 300,000 visitors every year. The Fraser Coast region is known as being the best place in Queensland to experience humpback whale watching, which is a key tourism visitation driver between July and October.
“Queensland Tourism forecasts the rise in tourism numbers to continue, with Queensland already experiencing an 8.5 per cent increase in visitor numbers and a 9 per cent increase in visitor spend which is reflected in the current trade.
“Major new development and redevelopment options are available within both resorts. The 4 star Kingfisher Bay Resort covers an area of 64 hectares and includes 14.62ha of vacant residential development land with existing approvals for medium and low density development.
“Kingfisher Bay Resort holds the status of an Integrated Resort Development under Queensland legislation, allowing the maximum flexibility in the future development or redevelopment of this resort.”
The 3 star Eurong Beach Resort which is situated over 3.54ha of prime beachfront land on the eastern side of the island has significant redevelopment potential.
“There is also an opportunity to redevelop 1.4ha of beach front land at Eurong Beach Resort. Development options are very flexible and could include a mixed use tavern/hotel, new hotel or strata titled apartment development,” Mr Moors said.The Fraser Explorer Tours fleet consists of 25 4WD coaches that operate a range of tours on Fraser Island to all iconic tourism sites. Tour operators on Fraser Island are limited by Government Permits with fixed capacity, and Fraser Explorer Tours is well positioned for significant future growth. It is the largest tour operator on Fraser Island, with operating tours departing from Hervey Bay, Rainbow Beach, Kingfisher Bay Resort and Eurong Beach Resort.
Fraser Island Ferries operates three significant vessels which transport vehicles and passengers between River Heads on the mainland to either Wanggoolba Creek or Kingfisher Bay Resort on Fraser Island. Fraser Island Ferries is the only permitted Ferry operator on these routes.