Cryptocurrency group makes move to buy Dunk Island
The international cryptocurrency consortium underbidder on Great Keppel Island is now attempting to buy Dunk Island with several other islands also igniting its interest including Brampton Island off the Queensland sugar town of Mackay.
Represented by Tim Sommers and Sean Neylon, Royalty Blockchain, is understood to have signed a contract to buy the derelict Dunk Island off Mission Beach just south of Cairns and has entered an exclusive period of due diligence after forking out a cash deposit.
Several independent sources confirmed that Royalty Blockchain which was the underbidder on Great Keppel Island, which was sold to high net worth Singaporean and Taiwanese interests for about $70 million last week through JLL executive Tom Gibson is interested in Dunk Island. However, 20 other companies are said to be interested in purchasing the island.
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When contacted by The Australian, Royalty Blockchain said it would comment later this week. Gibson declined to comment.
The island was extensively damaged by Cyclone Yasi in early 2011.
Dunk Island’s resort needs millions of dollars ploughed into it to completely re-do the resort, which was destroyed by both Cyclone Yasi and Cyclone Larry. It was once viewed as a jewel in the crown of Queensland’s tourism industry and was bought cheaply by the founder of the failed Linc Energy, Peter Bond, in 2012.
Dunk Island from above. Picture: Isabelle Dore.
Bond has since let the lease over the neighbouring spit, which is part of the island’s national park, be taken over by a Cairns-based skydiving outfit following a public tender by the local council.
The freehold Dunk Island is valued at about $25 million to $30 million, sources say.
Royalty Blockchain is also interested in acquiring Brampton Island 32km north east of Mackay, which has sat in disrepair for about seven years, sources say.
At one stage its owner, United Petroleum, had plans to redevelop Brampton Island as a seven-star resort but the group listed the island for sale in March.
The independent Melbourne-based petrol retailer United Petroleum bought it for $5.9 million back in 2011.
The only major Queensland island which is operational at present is the Oatley family-owned Hamilton Island. Both Hayman Island and Daydream Island are being redeveloped with both expected to open again for business next year after facing severe cyclone destruction several years ago. Chinese interests, White Horse, are also working on redeveloping Lindeman Island six year’s after they bought it.
This article originally appeared on www.theaustralian.com.au/property.
