Investment giant Blackstone has purchased Australian tourist resort Hamilton Island in a deal reported to be worth A$1.2 billion (US$802 million).
The world’s biggest alternative asset manager, with US$1.2 trillion of assets under management, said real estate funds it managed had agreed to acquire the destination in the Whitsunday Islands in Queensland from the family of the late winemaker Bob Oatley.
“Hamilton Island is an exceptional destination, and we are honoured to build on the vision and dedication that the Oatley family has brought to investing in its transformation and add a standout asset to our portfolio,” Blackstone’s Asia Pacific & Head of Real Estate Asia Chris Heady said in a press release.
The firm did not disclose the purchase price, but the Australian Financial Review (AFR) newspaper cited market sources saying it was A$1.2 billion.
Blackstone said the investment, which is subject to regulatory approvals, was built on its leading global position in leisure and hospitality, including in the Asia Pacific region, where it has made significant investments, including Crown Resorts and data centre platform AirTrunk in Australia and others in Japan and India.
Developed in stages between 1982 and 1984 on two islands spanning more than 1,133 hectares (2,800 acres), the resort in the Heritage-listed Great Barrier Reef has five hotels, more than 20 restaurants and bars, 20 retail outlets, an 18-hole championship golf course on a nearby island, a marina and a commercial airport.
The resort company went into receivership in 1992 before being bought by BT Australia in 1995 and Australian winemaker Bob Oatley and his family in 2003 for about A$200 million.
The AFR reported in this article that the Oatley family appointed UBS to run a strategic review of Hamilton Island following the death of Bob Oatley in 2016, and after receiving interest about two years ago.
Blackstone (NYSE: BX) shares closed 67 cents (0.43%) lower at US$155.16 on Tuesday (Wednesday AEDT), capitalising the company at $189.27 billion.
