Hamilton Island is a small, supportive community situated in the heart of the Great Barrier Reef. As a fully integrated resort, it offers unquestionable lifestyle benefits and a quality of living considered second to none. Here are a few reasons why now is a good time to invest in Hamilton Island.
Owner Investment in the Island
Since acquiring it more than a decade ago, Hamilton Island’s owners have spent more than $350 million reinventing the Island to turn it into a world-class destination and create an enviable way of life for those who choose to live here.
This investment has gone into improvements to the island’s infrastructure, services and amenities, including the airport, Golf Club, private resort, Yacht Club and marina.
More than $100 million was invested in the construction of qualia, the secluded and luxurious resort, which opened in 2007. Located on the breathtakingly beautiful northern-most point of Hamilton Island, it has 60 elegant one-bedroom pavilions and a Beach House, while two superb restaurants and Spa qualia cater exclusively to guests of the resort.
Over $85 million was invested in the architect-designed Hamilton Island Yacht Club, with 34 exclusive accommodation villas sold off the plan, while $45 million was spent on building Australia’s only island 18-hole championship golf course on neighbouring Dent Island. An investment of $750,000 was made to Spa wumurdaylin, which opened in 2010 and is the Island’s first day spa, and Hamilton Island has recently completed a $4 million refurbishment of its Palm Bungalows, a premium ‘back to nature’ private retreat.
Investments continue to be made to other areas of the island’s infrastructure, including upgrades to roads, utilities, sewerage and more. The airport was upgraded and now takes 45 commercial flights a week, while an accredited training college was built with the aim of training and creating career pathways for many of 1,000-plus staff on the island. Also, $15 million was spent on replacing the main under-sea cable that brings power to the island from the mainland and power generators have been installed at a cost of $20 million.
The owners have adopted many effective environmental initiatives to protect the local environment. Hamilton prides itself on having state-of-the-art sewage treatment facilities that have been upgraded to cope with growing demand and there is a cutting-edge self-managed recycling program and facilities, including the investment of over $1 million for a glass-crushing machine.
The Oatley family continues to increase its investment in new developments and initiatives that, in turn, complement and enhance all property owners on the island and ensures it remains a world-class destination.
A Controlled Market
The island is a controlled market where its owners are mindful of supply and careful to incorporate design that always compliments the environment.
Given this market control, there is peace of mind for investors and residents that the property market will never be oversupplied and that real estate values will remain at a steady level, even when trends on the mainland and further afield do otherwise.
High Rates of Occupancy
Holiday rental accommodation continues to benefit from great rental returns as a result of consistently strong occupancy rates across the island. The average annual occupancy in the resorts is 90 percent, while Hamilton Island can accommodate up to a maximum of 5,000 guests, including the private residents.
With increased demand for premium travel options to Hamilton Island, tourism numbers remain high, as do occupancy levels, offering real investment potential.
Title on Hamilton Island
The title on Hamilton Island is leasehold, with Hamilton Island Enterprises Ltd (HIE) holding a Perpetual Lease over the Island from the Queensland Government.
This means that all property purchased on the island is by way of a Sub-lease of the Perpetual Lease (or head lease). The current head lease is due to expire in August 2078, with a perpetual 99 years thereafter.
This structure offers considerable savings for investors, as there is no land tax on leasehold when comparing to freehold title.
A copy of this document is provided to potential purchasers and their legal representative at the time of purchase, or upon request, and major Australian banks accept this form of title when lending to purchase.
Foreign Investment and Lending
The island is foreign investment approved because it is an integrated tourist resort. This is of benefit to investors who are currently penalised as ‘foreign investors’ in Victoria and New South Wales.
In addition, the four principal Australia banks have a track record of lending to investors on the island.
Easy and Fast Access
Hamilton Island is the only island in the Great Barrier Reef with its own commercial jet airport and it is now even easier to reach the Island with over 45 direct flights a week from most major cities flying Virgin, Jetstar and Qantas, and by a short ferry ride from the mainland to the island.
Benefitting from extensive upgrades, the airport is the main hub for the Whitsundays and the marina has 251 berths and 11 moorings that can presently accommodate vessels up to 42 metres. The marina has an average annual occupancy of 83 percent.