Movie World operator Village Roadshow sells 154ha of land on Gold Coast for $100m

A SUPERANNUATION fund for local government employees has bought land hosting Movie World for $100 million under a sale and leaseback arrangement.

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A SUPERANNUATION fund set up for local government employees has bought land hosting Movie World for $100 million under a sale and leaseback arrangement.

Village Roadshow announced in September that it would sell 154ha of land — also home to Village Roadshow Studios, Wet’n’Wild, Australian Outback Spectacular and Paradise Country — in an effort to cut debt.

The buyer is LGIAsuper, a fund established for current and former Queensland local government employees and their spouses.

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Village will pay $6.2 million in annual rent under the terms of the deal with an initial lease of 30 years and six further 10-year options.

The Melbourne-based company has been under pressure to cut its soaring debt via asset sales following a tough year, in which it announced a $66.7 million loss.

Village’s profit was hit hard by the tragedy at rival Ardent Leisure’s Dreamworld last year, which caused a sharp drop in visitor numbers and earnings at its own theme parks.

Co-chief executive Graham Burke called last financial year its “annus horribilis”.

This year LGIAsuper became an open fund, enabling non-local government employees or spouses to join.

Altis Property Partners acted on behalf of LGIAsuper in the deal.