Crown Resorts to pay $80 million to buy Schiavello’s stake in One Queensbridge project

Crown Resorts is to pay $80 million to buy property developer Schiavello Group’s half stake in the abandoned One Queensbridge project proposal.

The Crown Resorts decision was to demonstrate its “continued investment in Victoria and the Southbank arts and entertainment precinct”.

Crown Resorts advised their shareholders that they have reached an agreement to purchase the Schiavello Group's 50% ownership interest in the site.

The deal also included all pre-development assets, including all intellectual property and designs for the project.

Crown Resorts had owned the other 50%.

"The transaction remains subject to long-form agreements between Crown and the Schiavello Group," Crown advised.

"The One Queensbridge site could accommodate a fourth Crown hotel which would deliver significant economic and tourism benefits to Victoria, including additional employment and training opportunities."

One Queensbridge is a $1.75 billion, 90 level tower proposed on Melbourne's Southbank.

Earlier this year the Victorian government turned down an application to extend the construction start time.

The state government had approved the tower two years ago under the condition construction started in March.

“Crown and Schiavello have been informally notified by the Victorian government that an extension to the construction commencement date for the proposed One Queensbridge project has been denied,” Crown said in a statement to the ASX.