Far East Group negotiating AUD$75 million acquisition of Pullman Cairns International
Far East Consortium International’s chairman is in negotiations over a AUD$75 million deal to purchase the five-star Pullman Cairns International.
Far East Consortium International’s chairman David Chiu is in closed door negotiations over a AUD$75 million deal to purchase the five-star Pullman Cairns International hotel opposite the Great Barrier Reef Casino in Cairns, Australia.
Optimistic of Queensland’s potential in attracting Chinese visitors, Mr Chiu said he acquired the Pullman to take advantage of the anticipated boom. “Tourism is a growing industry important to Australia. Chinese people enjoy sun, surf and fresh air and they like the dining and cosmopolitan atmosphere of Cairns,” he said.
Statistics show that Chinese visitors will be spending up to AUD$13 billion by 2020 in Australia.
While Far Eastern Consortium’s managing director Chris Hoong declined to comment on the ongoing negotiations for Pullman Cairns International, he was explicit that the company saw potential in Cairns. “We are obviously interested in Cairns as it’s in a prime location. Although Cairns tourism is highly seasonal it still has its appeal. The Great Barrier Reef has not only put Cairns on the map for Asian visitors but is also Queensland state’s prime attraction,” he said.
Pullman Cairns International has 321 rooms and is valued at roughly AUD$80 million. It is located in the city’s central business district and jointly held by Ascendas Hospitality Trust and Sydney property magnate Robert Magid.The hotel has already been put on the market for over a year and a half, with no takers so far.
Meanwhile, Mr. Chiu and his daughter Winnie Chiu also operate the Dorsett brand hotels. The pair joined an earlier bid by the Echo Consortium for the Queens’s Wharf casino resort development project in Brisbane, and are also developing two Ritz-Carlton Hotels in Melbourne and Perth.(Translation by David)