Gold Coast developer Sunland of Q1, Palazzo Versace calls time
That’s all folks: Leading developer Sunland Group has sold its last remaining new project as its founder reveals the real reason behind the sale and what the future holds.
Business
Don't miss out on the headlines from Business. Followed categories will be added to My News.
That’s all folks: Leading Gold Coast developer Sunland Group has sold its last remaining new project as it prepares to wind down the firm.
In a move which brings down the curtain on its near-four decades, the publicly listed company – which developed the iconic Q1 tower and Palazzo Versace hotel – sold its long-planned The Lanes shopping retail village project for $45.8m to Sydney-based developer Panthera Group.
Headed by businessman and ex-Olympian Chakyl Camal, the firm is planning to begin construction of the Mermaid Waters complex in March and, as a condition of the sale, must build it as designed by Sunland.
While other developers are rushing billons of dollars worth of new projects to the market, Sunland is withdrawing. But it will complete its two already underway projects – the $250m 272 Hedges Ave tower and a $200m, two tower residential project at the The Lanes.
Explaining the exit from existing projects, Sunland founder Soheil Abedian said: “I have strong faith in the city’s property market continuing to flourish.” The decision to sell off its undeveloped sites had been taken more than a year ago, he said.
“The completion of The Lanes (by Panthera) will bring the last project on our books to an end, with all our other land either under contract or sold,” he said. “In the next two years our shareholders will get the benefit of the company’s near 40 years.
“It is our grand finale but as Freddie Mercury sang, life will go on.
“The sale of the centre is very important for Sunland in terms of the strategy to return the highest amount to our shareholders.”
Sunland announced in October, 2020, it would wind down its business operators as early as 2023 once its current projects were completed.
Since late 2019, the company has sold off 10 sites in Queensland, NSW and Victoria, securing $300m-plus.
Mr Abedian refused to be drawn on what his plans were once Sunland’s developments were completed in 2023.
“What will happen in the future we cannot talk about until we finish this chapter and hopefully another chapter will begin,” Mr Abedian said.
The respected development company in January sold the Greenmount Beach resort to Arium Group, a private company linked to Mr Abedian and his son, Sunland managing director Sahba Abedian. The younger Mr Abedian said the decision formed part of the company’s “overall strategy”.
Sahba Abedian said Panthera Group was the ideal buyer to bring the unique Lanes development to life: “Countless hours have gone into ensuring the terms of the contract upholds the original vision for the precinct.
“With nearly 100,000 cars passing the site daily and 200,000 people living within a 10-minute drive, The Lanes will be a unique and highly visible community and Panthera Group have a rare opportunity to create an iconic retail and lifestyle destination that fosters community-enriching experiences.”
The Lanes, a 12,500 sqm retail village, has been in the works for more than four years, will feature retail laneways interwoven with a fresh food market hall, cafes, restaurants, medical centre, office space, entertainment and a lakeside community green.
Mr Camal said he was committed to delivering a “shopping centre of the future”.
“Panthera Group is totally aligned with Sunland Group’s vision for the proposed precinct which underpins our philosophy of creating engaging spaces and building strong rapport with the local community,” he said.
“Panthera Group will create strong connections with all stakeholders to enhance the village experience as a digitally enabled precinct; creating a convenient service and lifestyle hub for retailers, residents and the local community.”
‘THE SHOPPING CENTRE OF THE FUTURE’
CHAKYL Camal, whose company has taken over Sunland’s last project, wants to build “the shopping centre of the future”.
The Sydney businessman, 31, has been a developer for seven years. Born in Swazi-land, Africa in 1990, he competed in 2008 and 2012’s Olympic Games, competing in the 50m freestyle. After that he moved to Sydney to study business administration at Macquarie University on a scholarship.
Mr Camal said he looked forward to visiting the Gold Coast once travel rules eased to see construction begin on The Lanes.
“We have been interested in Queensland for some time and in particular the Gold Coast where we wanted to enter the market,” he said.
“When I met with (Sunland founder Soheil Abedian) I saw the vision he wanted to achieved with this retail village and realised this was a significant opportunity.
“I went to two Olympics as a swimmer and now I want to go for gold in retail on this golden project.”
FROM VERSACE TO Q1 TO THE LANES
SUNLAND Group was founded by Soheil Abedian in 1983 and soon established itself as one of the Gold Coast’s leading developers.
After completing its first high-rise in 1987, it became a publicly listed company in 1995.
In 1997, Mr Abedian began negotiations with the House of Versace to build a fashion-based hotel on the Gold Coast but the talks stalled following the murder of Gianni Versace in August that year.
A deal was struck with brother Santo Versace in Milan in 1998 and the six-star Palazzo Versace hotel opened September, 2000.
The company then unveiled its signature project – the 78-storey Q1, which was approved in 2001 and completed in 2005.
In the late 2000s the company focused its efforts on building a second Palazzo Versace and Q1’s sister tower, D1, in Dubai.
In 2015 Sunland proposed a giant two-tower project on The Spit but withdrew it from consideration once it became clear council would not approve it.
In recent years it has focused on its $1.2b The Lanes mini-city at Mermaid Waters and $250m 272 Hedges Project at Mermaid Beach.
How big tech is recalibrating around the DeepSeek threat
Silicon Valley owes its longevity to its ability to pivot and China’s new AI start-up could set it moving in a new direction.
Court told lawyer lost $3m selling family home
An unregistered Gold Coast lawyer has told a court he lost more than $3m selling his family home because of the Global Financial Crisis. Read the latest from court.