Queensland's Double Island set for $40m revival after Morris Group wins lease

The project will begin with the construction of a public beach bar, restaurant and overnight accommodation, before expanding into a luxury lodge featuring 24 villas, a day spa, swimming pool, event facilities and dedicated walking trails operating as Double Island Lodge.

The appointment follows a competitive Queensland government tender process launched after the former lease for the island was revoked in 2024, following years of deterioration under the previous operator, Fortune Island Holdings.

Founded by Melbourne billionaire businessman Chris Morris, the Morris Group has invested more than $500 million in North Queensland since 2011. It operates a growing portfolio of luxury tourism assets, including five-star Palm Island Orpheus Island Lodge, Pelorus Private Island and outback retreat Mt Mulligan Lodge, as well as Townsville’s Ardo Hotel and The Ville Resort-Casino.

Morris’ tropical North Queensland tourism journey began with the acquisition of Orpheus Island in 2011, part of the Palm Island group north of Townsville, a move that helped spark the development of a luxury lodge portfolio spanning reef, outback and hinterland destinations. The collection expanded with the opening of Mt Mulligan Lodge near Cairns in 2019, Beechmont Estate in the Scenic Rim in 2022 and Pelorus Private Island in 2023.

Morris made his debut into hospitality, nabbing the iconic Portsea Hotel in Victoria in 1999, decades after founding Computershare in 1978.

Prioritising public integration within a multi-stage master plan

Under the group’s four-stage revitalisation plan, public access will be prioritised through the creation of a beachfront precinct featuring a beach bar and restaurant designed to reconnect the island with the local community, located just a short five-minute boat ride off the coast of Palm Cove and a half-hour drive north of Cairns.

“It was really important to us in coming up with the plan for the island that it was something locals could once again access and enjoy,” Morris said.

“Double Island is an iconic landmark of the Cairns northern beaches, and we wanted to make sure that whatever we came up with was something that the community could be really proud of, similar to what we’ve achieved at The Ville and Ardo in Townsville.

“That’s why our priority is to deliver the key amenities that facilitate public access first. We want the public beach bar and restaurant to be a relaxed and welcoming space where day visitors and locals can meet with friends, step right onto the sand and appreciate the beautiful surroundings.”

The proposal also includes building a new private jetty and helipad, with ferry and vessel connections serviced by the group’s Nautilus Aviation business, and access via Morris Nautical’s Cairns-based superyacht fleet and local marine operators.

Longer-term plans centre on the creation of Double Island Lodge, a luxury accommodation offering modelled on the group’s acclaimed Orpheus Island and Mt Mulligan lodges.

High-end lodge expansion targets premium accommodation gaps

The lodge would comprise 24 villas spread across six beachfront buildings, alongside a private pool, gym, day spa, sunset bar, walking trails and a 100-seat restaurant overlooking the Coral Sea towards Cairns. The venue would also cater for weddings, conferences and private events.

“We see a lot of potential to create something really special on Double Island by borrowing inspiration from what we’ve already done successfully elsewhere in the region,” Morris said.

“The addition of Double Island Lodge will elevate the whole experience and provide a level of luxury accommodation that doesn’t currently exist in the area, while our boutique restaurant and event spaces will be the final piece in the puzzle to create another iconic Queensland tourism experience.”

Double Island, known to the Yirrganydji people as Wangal Djungay, occupies a prized position about 1.5 kilometres offshore from Palm Cove within the Great Barrier Reef Marine Park. The government wanted to transform the 16.2-hectare island into a “world-class destination” ahead of the looming Brisbane Olympic Games.

Initially developed as a resort in the late 1970s, the island later became a private retreat for prominent West Australian business figures Robert and Janet Holmes à Court before changing hands several times.

In 2012, Hong Kong businessman Benny Wu acquired the leasehold interest for $5.68 million, but the resort remained closed and gradually fell into disrepair.

After years of compliance disputes, the Queensland government successfully revoked the lease in 2024. It converted the island to state-owned freehold land the following year, paving the way for a new operator to be selected.

When the Queensland government launched the expressions-of-interest process last April, CBRE Hotels’ Wayne Bunz said the successful operator would need to demonstrate a vision that balanced community benefits with tourism outcomes.

“It’s not about the price,” Bunz said at the time.

“It’s more about the successful proponent for the government being the right custodian, and having a vision and a plan for the island that is good for the Queensland tourism industry and good for the local community.”

The government says the redevelopment will begin with the removal of former resort infrastructure before detailed planning, design and approval processes are completed, but would not disclose the length of the leasehold.

Premier David Crisafulli said the government had delivered on its commitment to restore the island.

“We made a commitment to Queenslanders we’d breathe new life into this once iconic tourism destination, and that’s exactly what we are delivering,” he said.

“We have a plan to deliver world-class tourism offerings for our state, and part of that means restoring Double Island to its rightful place as a jewel in the crown of the Far North’s tourism industry for locals and visitors to enjoy for decades to come.”

Natural Resources and Mines Minister Dale Last said the government had sought an operator with the vision and resources to restore the island’s tourism potential.

“When we launched the expressions of interest process last year for Double Island, I called for a lessee with a long-term vision that ensures this island lives up to its potential,” he said.

“Within 18 months, the Queensland government has secured a high-quality lessee with the vision and resources to turn Double Island back into the tourism drawcard it is.”

Site clearing and construction are expected to begin in 2026, subject to approvals, with the public-access components of the redevelopment earmarked as the first stage of the project.