Star Gold Coast: How venue could emerge from company’s crisis

Key differences between The Star Gold Coast and its Brisbane and Sydney siblings point to a potentially very different future for the Broadbeach operation.

It seems harsh to say it now, but for the 3000 people employed by The Star on the Gold Coast, and the many more employed by its suppliers, the struggles it is going through now may be ultimately be a good thing for the Broadbeach business.

Whether that is a restructure with the support of lenders and governments, or the break-up of the group via administration, the Gold Coast operation is likely to be better off in the long term.

The reason is very simple. As The Star has sunk ever deeper into a mess largely of its own making, it has been consistently reported that its Gold Coast business was its one shining light.

With help and encouragement from the former state government – the same one that floated similarly half baked ideas for a second casino on the Gold Coast – the Queen’s Wharf operation in Brisbane has been a bloated disaster thus far. A friend who works nearby, and regularly walks past the development, says reports of its early flop are by no means exaggerated, with remarkably few punters seen darkening its doors.

Ditto Sydney, where The Australian reported witnessing “many vacant gaming tables and empty restaurants and cafes” when a reporter visited The Star’s Pyrmont casino at the weekend.

The Star Casino. Gold Coast stock shots 2023, Gold Coast, Sunday, June 18, 2023. Photo: Regi Varghese

But the Gold Coast? It’s a different story. When have any of us ever visited The Star Gold Coast and found it to be so bereft of customers?

The Broadbeach operation, of course, is far more than a casino. It is also essentially the Gold Coast’s largest hotel, it contains some of the city’s finest restaurants and it plays host to a well-used 2000-seat theatre in its bowels.

Even if you have no interest in gambling, and abhor The Star’s record in running its casinos, it must be acknowledged that its contribution to the city is substantial.

The quality of The Star’s hotels is worth noting.

In a challenging era for international tourism to the city, not every operator is going so well. This masthead’s report about the crumbling Imperial Hotel at The Spit – the site of the once grand Palazzo Versace – served to highlight the kind of challenges the sector faces.

Costs are high, but so are visitor expectations. If those expectations are not fully met, the online reviews can be merciless, and brand Gold Coast takes a hit.

Reviews for The Star are also mixed – in fairness, most people are motivated to post comments when they have gripes – but nobody suggests it is falling apart as they do with The Imperial.

And there are plenty that speak to the good job that staff there are doing.

“An exceptional stay at this five star hotel on the Gold Coast! From the moment we arrived, the service was outstanding – friendly, attentive, and professional,” a visitor from Victoria wrote recently. “The rooms were luxurious, spacious, and beautifully appointed, with stunning views of the beach. The amenities were top-notch, including a fantastic pool and excellent dining options. The location is perfect, with easy access to the beach and nearby attractions. A truly unforgettable experience.”

Nineteen At The Star. Picture: Glenn Campbell.

The Gold Coast desperately needs this venue to thrive and survive so these kinds of tourism experiences continue.

In the weeks to come some difficult decisions will have to be made. People will wonder why support is being offered to a casino operation with such a chequered record.

But on the Gold Coast, the overwhelming majority of staff are employed running the hotels.

The there are the restaurants and bars including Nineteen at The Star, Kiyomi and the Garden Kitchen & Bar, all of which are very highly rated by locals and visitors alike.

The Star Gold Coast is also a valuable sponsor of events including the Magic Millions that bring thousands of well-heeled visitors to the city.

It’s entirely possible that any restructure or sale will see The Star Gold Coast split from the struggling Brisbane and Sydney siblings that are dragging the entire group down.

Indeed, that may even be desirable.

Whatever the outcome, the restructure about to happen at The Star is one that is badly needed.

It may not feel like it now, but for the thousands employed at Broadbeach and for the Gold Coast’s all-important tourism business, the group’s present struggles may ultimately prove to be a good thing.

Follow @keithjwoods

Originally published as Star Gold Coast: How venue could emerge from company’s crisis