Tasmanian government now offering freehold land for investors in the Cradle Mountain 'gateway precinct'

The site sits at the entry to one of Tasmania’s most visited destinations.

Agents Colliers International said its initial 2018 marketing campaign received significant interest and several proposals, as well as feedback from investors, many of whom said they wouldn’t be able to make money back on a short-term lease and that a longer lease or freehold option would be preferable.

According to the government, negotiations for a new cafe on a short-term lease with a suitable operator are already underway and “discussions are being progressed” for a development to house staff accommodation.

The land is outside the heritage-listed national park and the new project, which is described as the “Cradle Mountain Gateway Precinct” will not affect free public access to the park. It was previously an airport that the government purchased in 2004.

The government is planning to contribute up to $5 million to the project and will give preference to local investment.

“We have legislation in place down here in Tassie that we always lean towards local providers. If there’s someone that can do it down here then we do, and when it comes to the contracting we will give strong preference to people using Tasmanian contracts,” a Tasmanian government spokesperson said.

“The concept is conservation balanced with recreation. Only projects that are in keeping with the park and protect the park will be considered, and it will be a very transparent process so the public will be completely across what’s going on here.

“It’s absolutely in developer interest to ensure that the park is in pristine condition, otherwise they haven’t got a business.”

A range of businesses would be permitted, including short-term accommodation, food and beverage outlets, retail or experiential and adventure leisure, similar to what is offered in Queenstown, in New Zealand.

Colliers International has appointed Karen Wales and Guy Wells for the expressions of interest campaign which kicked off last week.

“What we’re looking to achieve is a unique visitor experience that manages visitation and encourages visitors to stay longer and is a more sophisticated project to suit the site,” Ms Wales said.

“It’s a long-term project that needs a long term-view and you need long-term certainty for the right investors so that’s why it’s been relaunched with the freehold.

“This is a once-in-a-generation development and the government wants to get it right.”

The precinct is one of three key aspects of the government’s Cradle Mountain Masterplan, which was published in 2016 and includes government investment of $56.8 million in the development of essential infrastructure at the new visitor gateway and at Dove Lake.

At Dove Lake work is already underway on another aspect of the plan – a new visitor centre, viewing platform, village hub and commercial centre, all described as offering “an alpine village feel”.

A cable car service will also be built across the lake and the government will improve the ranger and tourist centres.

Cradle Mountain-Lake St Clair National Park attracted a record number of visitors in the last financial year, up 11 per cent, to reach an estimated 280,000 people, which represents total growth of 87 per cent in the past six years, according to Parks and Wildlife Services figures. The park may see up to 339,000 visitors by 2020.

Approximately 81 per cent of visitors to Cradle Mountain are from interstate or overseas.