FNQ hospitality icon Gilligan’s has officially hit the market, offered as a freehold going concern for the first time.
Situated in the heart of Cairns, at the gateway to Australia’s famous Barrier Reef, the award-winning business is an “adventure destination” and mainstay of the tourism and hospitality market in far north Queensland.
Gilligan’s Resort, spanning a sprawling 10,500sqm double fronted CBD site, is a multi-level venue featuring three bars and an indoor beer hall, gaming lounge with 40 machines, nightclub, restaurant, private function spaces, resort swimming pool and a 705-bed accommodation offering.
The business also incorporates one of Australia’s longest running and popular outdoor markets, Rusty’s.
Gilligan’s has for the past 16 years been owned by Adam Tilley, Anthony Brooks and Simon Larcombe. After more than a decade operating it they bought the freehold for $56 million from Christian Ainsworth, son of poker machine doyen Len Ainsworth, back in 2021.
“We’ve seen Cairns region grow and really mature as an international tourism destination over the course of our tenure, and whilst we’ve taken the view that now is an appropriate time for us to let another party enjoy the benefits of the next stage of the life of this extraordinary investment, we are convinced that both Gilligan’s and far north Queensland’s best days lie ahead,” offered Larcombe.
The resort operation reports annual revenues north of $35 million, and enjoys textbook investment criteria, courtesy of its scale, market history and position, and tangible upside opportunities. Pundits offer it is likely to attract sale price of around $120 million.
Its fundamentals stand to draw international investors and national operators, the property suited to being incorporated into a broader portfolio or standing as a versatile foundational asset for new entrants.
“Gilligan’s is the prototype for precinct activation, with several highly profitable business units housed within the one location and all speaking to a target market which transcends national and international borders,” stated HTL Property’s Andrew Jolliffe, directing the sale campaign in conjunction with JLL Hotels’ Tom Gleeson.
Recent activity in the sunshine state saw Dave Tomsic’s Black Rhino group buy Waratah Group’s Royal on 99, which was rebuilt in 2016 after the former structure was destroyed by fire.
Expressions of Interest on Gilligan’s Resort and Rusty’s close Wednesday, 23 October.
