Blackstone acquires Queensland’s Hamilton Island for more than $1b
US private equity giant Blackstone has acquired one of Australia’s best known resorts, Hamilton Island in Queensland from the Oatley family that has owned the tropical getaway for more than two decades.
Blackstone declined to comment on the purchase price on Tuesday, but two market sources not directly involved with the transaction said it had sold for about $1.2 billion.
Hamilton Island spans more than 1133 hectares across two islands, with 70 per cent of its space undeveloped. It comprises five hotels, more than 20 restaurants and bars, 20 retail outlets, an 18-hole golf course on neighbouring Dent Island, a marina and a commercial airport.
The deal, subject to regulatory approval, makes Blackstone, which already controls Crown Resorts, a major force in the nation’s hospitality sector. It has more than $1.2 trillion in assets under management globally and took over Crown Resorts for $8.9 billion about three years ago,
The billionaire Oatley family inherited Hamilton Island from their father, winemaker and sailor Robert Oatley who died in 2016, aged 87. The family appointed UBS to run a strategic review of Hamilton Island after receiving interest for the tropical destination about two years ago.
However, the family decided not to proceed with any transaction within months of conducting the review.
It was part of Balmoral Australia, the Oatley family office, now run by Sandy Oatley. His siblings Ian and Rosalind, sit on the board alongside former Deutsche Bank chief executive John Macfarlane, ex-Virgin boss John Borghetti, and Transfield Holdings managing director Guido Belgiorno-Nettis.
Chris Heady, chairman of Asia Pacific and head of Asia real estate at Blackstone, said the company was honoured to build on the vision and dedication the Oatley family had brought to investing in Hamilton Island’s transformation.
“Hospitality and leisure is a key investment theme at Blackstone globally including in the Asia Pacific region, where we’ve brought scale and operational expertise to invest in and build leading brands,” he said.
“We are committed to investing in the long-term success of Hamilton Island, its people, and its local businesses and community.”
The Oatley family’s Sandy, Ian and Rosalind said in a statement that they were delighted to have a partner of Blackstone’s calibre and resources to continue the island’s legacy.
“For more than two decades the family’s passion, led by Bob Oatley, hasmade significant investments to transform the island into one of Australia’s most loved and visited destinations, renowned for its natural beauty, variety of world-class accommodation, amenities and experiences,” they said.
The family has invested more than $450 million in upgrading Hamilton Island’s tourism facilities over the years.
