The windswept Airlie Beach Hotel is back down to earth and safely in new hands, after overcoming the ravages of Cyclone Debbie.
Built 1968 on an 8,819sqm block just metres from the destination Whitsundays tourist beach, the Airlie Beach Hotel (ABH) was operated by the O’Neill family since 1982.
In early 2017 the family determined it was time to part with their legacy, putting the freehold going concern to market through CBRE Hotels’ Wayne Bunz and Hayley Manvell.
But fate intervened, bringing the wrath of tropical Cyclone Debbie to the coastal town on 26 March, causing major structural damage to properties along the coastline, and the hotel’s mechanical and electrical systems.
Rectification was hampered by compliance issues, requiring solutions that also met current standards, bringing the insurance bill to around $14 million.
In November 2018 it resumed trading, although works were still proceeding at the ABH and surrounding properties, and news emerged the leasehold had been taken up by the newly-formed ABH Operations P/L.
ABH Operations is owned by Raging Bull Holdings, principal Mick McFie, who has been part of the beach community for the past four years, also owning the Reef Gateway Hotel. The leasehold purchase included first option to subsequently buy the freehold.
The group worked to further revive the business, staging a grand reopening party for the pub in May.
Now, two-and-a-half years after the original sale campaign, with all major rebuilding work in the region done, Raging Bull has settled on the freehold, ending a stellar 37-year tenure for the O’Neills.
The combined freehold and leasehold sale was reported at $22 million.
“We think it’s good for the region. It’s a great town, it just needs some much-needed love,” says McFie.
The ABH offers a public bar, restaurant, conference facility, commercial car park, gaming room with 35 EGMs, and 80 accommodation rooms.
Its new structures auger well with the rebuild of the town, most pertinently the $40 million major upgrades to the airport. Access has traditionally been an issue for Airlie Beach, but the upgraded facility will be able to manage one million passengers per year, with an extended runway and bigger terminals.
Neck-deep in the reincarnated Airlie Beach, McFie says its future is looking good.
“If we can get three or four groups to invest in the town it will really ignite it … really get it going again.”
