Sunland swaps Palazzo Versace Dubai for Gold Coast counterpart

Sunland swaps Palazzo Versace Dubai for Gold Coast counterpart
Jonathan ChancellorDecember 8, 2020

Gold Coast property developer Sunland has ditched its trophy Dubai projects and swapped its equity in the troubled UAE projects for full ownership of the Gold Coast resort the Palazzo Versace.

The group had previously co-owned The Palazzo Versace on the Gold Coast, which was the world's first fashion branded hotel when it opened in 2000.

Sunland Group Limited told the stock exchange this afternoon it was “pleased to announce that it has entered into an agreement to exchange its development projects in Dubai, Palazzo Versace Dubai and D1 residential tower, for 100% ownership of Palazzo Versace Gold Coast”.

The transaction has been concluded with the group's joint UAE venture partner, Enshaa PSC/Emirates Investment Holdings Limited.

The joint venture partners have agreed that Sunland will transfer to Enshaa all its interests and obligations in the Dubai joint venture projects, which includes 51% interest in Palazzo Versace Dubai and 50% interest in D1 Residential Tower Dubai.

Enshaa, through its subsidiary Emirates Investment Group Australia Pty Limited, will transfer all its interests and obligations in its 49% interest in Palazzo Versace Gold Coast Hotel.

There is no corresponding cash amount required to settle the transaction.

“There will be no material impact on Sunland's financial position,” the shareholders were told.

The transaction will have no effect on Sunland's other Dubai interests, Nur, Waterfront 1 and Waterfront 2.

Jonathan Chancellor

Jonathan Chancellor is one of Australia's most respected property journalists, having been at the top of the game since the early 1980s. Jonathan co-founded the property industry website Property Observer and has written for national and international publications.

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