Keith Williams Point Hinchinbrook windup
The family company of late Gold Coast developer Keith Williams has collapsed into liquidation after the Port Hinchinbrook resort in North Queensland failed to sell.
Creditors, including Mr Williams’ son Ben Williams, voted to wind up Williams Corporation on Wednesday, 28 August.
The company’s assets are now controlled by liquidator FTI Consulting. These include the Port Hinchinbrook resort, which comprises private dwellings for 250 residents and tourist accommodation.
Located between Cairns and Townsville, the resort was battered in 2011 when huge waves caused by Cyclone Yasi slammed multimillion-dollar boats from the water against the marina.
Since then, the resort has struggled to rebound from the damages, with the marina, restaurant, bar, and much of its accommodation still shut.
The elder Mr Williams passed away in 2011 after handing over the reigns of the company to his son.
Townsville businessman Anthony Dotta showed interest in purchasing the resort for $19 million in June, according to a report by the Cairns Post.
He became uncertain about the sale after it was revealed the elder Williams signed a deed binding the resort’s owner to the maintenance of the sewerage system, roads, and the marina in the late 1990s. Dotta, who led a consortium of buyers, withdrew his offer to purchase the resort in August.
A Fairfax Media report states that liquidator Joanne Dunn said FTI is negotiating with the state government over the deeds and licences that apply to the resort community.
Dunn also said FTI will be looking at marketing the properties and putting them on the market for sale, after getting over “a few hurdles”.
Keith Williams was a pioneer in Australia’s tourism industry. At one time, his fortune was estimated to be worth $150 million.
He developed the Sea World amusement park in Gold Coast, and the Whitsundays’ Hamilton Island resort. He sold his holdings in Sea World in 1984 to focus on Hamilton Island.
However, receivers were appointed to the Hamilton Island resort in 1992. It was later purchased by billionaire winemaker Bob Oately.
Williams bought the Port Hinchinbrook site the following year. The site has been plagued with funding and environmental issues. Williams Corporation’s administrators were forced to replace some of the system’s pumps in August after it broke down, causing a sewage leak.
According to a report by the Townsville bulletin, Port Hinchinbrook residents were “cautiously optimistic” that the purchase of the resort would restore the development to its full potential. However a News Limited report stated that one resident was really hoping to “get some sort of closure”.
The Cardwell Chamber of Commerce has called upon the Queensland Government to assist in the smooth sale of Port Hinchinbrook. In a ABC report, the Chamber’s spokesperson said the resort must stay open to aid in Cardwell’s post-cyclone recovery.