$1.6bn Dunk Island tourism development plans under threat
The future of investment house Mayfair 101’s plans to transform Dunk Island and nearby Mission Beach into a $1.6bn tourism mecca hangs in the balance after assets controlled by a separate fund it manages fell into the hands of receivers.
The trustee of one of the group’s best-known vehicles, the IPO Wealth Fund, last Friday had receivers Dye & Co called in to manage the Mayfair entity to which it had lent money, with about $85m at risk.
Although IPO vehicle is separate to Mayfair 101’s Dunk Island scheme, the move has put a spotlight on its ambitions to revamp the island it bought for $31.5m last September.
Tourism players said interests associated with former owner, Linc Energy founder Peter Bond, had been weighing up options for the island.
The businessman declined to comment when contacted by The Australian, but private Bond family interests hold a mortgage over the island resort as part of Mayfair 101 purchase.
Industry executives claimed that Mayfair entities had not made scheduled payments, which might see the Bond interests resume control of the resort and offer it for sale again, probably for a lower price in the wake of the coronavirus crisis.