The Star sells the Treasury Casino for US$186m

The transaction includes hotel buildings and the car park.
The transaction includes hotel buildings and the car park.

The Star Entertainment Group has announced a sale and partial leaseback transaction with Charter Hall that includes the Treasury Casino and other assets.

Australia.- The Star Entertainment has sold the Treasury Casino and Hotel property to Charter Hall for AU$248m (US$186m). According to a company filing, the Star will lease back the Treasury Hotel building and associated Queen’s Gardens car park for an initial term of 30 years with 2 15-year options.

The casino operator will retain its existing interest in the former State Library building, which is not part of this transaction. The Star will explore future uses and ownership models for this site, which is the smallest of the four Treasury assets.

The company said the transaction remains subject to state consent. Obligations to the State to deliver the repurposing of assets as part of the Queen’s Wharf Brisbane precinct remain.

Star Entertainment posts revenue of AU$1.56bn for FY21

Star Entertainment Group reported revenue of AU$1.56bn with a statutory EBITDA of AU$427m, up 51 per cent for the financial year 2021. Star Sydney, which closed on June 25 and remains shut, saw a decline in gross revenue of 30 per cent to AU$832m, with a 96 per cent decline in VIP and a 10 per cent decline in domestic revenues.

Star Brisbane recorded a 38 per cent growth in domestic revenue. The figure was up 3 per cent year-on-year despite shutdowns in January, March and June. Group slots revenue for the second half was up 4 per cent.

According to its financial report, the casino operator will be focusing on international premium mass and direct premium customers once borders reopen. 

In this article:
The Star Entertainment Group