‘Years to rebuild’ fire-ravaged Kangaroo Island tourist resort

The rebuilding of the prestigious Southern Ocean Lodge on Kangaroo Island could take years, owners say.

Southern Ocean Lodge on Kangaroo Island was destroyed by a bushfire. Picture: 7 News, Adelaide.

The rebuilding of one of the nation’s most prestigious tourism lodges after its total destruction by bushfire over the weekend is expected to take several years, according to the owners of Kangaroo Island’s $60m-plus Southern Ocean Lodge.

Baillie Lodges chairman James Baillie toured the 21 suite luxury lodge perched on a 40m cliff overlooking the Southern Ocean on Sunday with its original design architect, Max Pritchard of the Adelaide-based Max Pritchard Gunner Architects.

The bushfire, which has been raging on Kangaroo Island for weeks, destroyed the main lodge and all the guests suites. Some of the back-of-house facilities, staff accommodation and infrastructure survived the fire.

So far the fire has destroyed about 170,000 hectares or a third of the 4400sq km Kangaroo Island.

“Max came from Adelaide and walked the site. It was a very emotional time,” Mr Baillie said in an interview with The Australian on Monday.

“It will take two years to rebuild and re-open and that’s a conservative estimate.”

Mr Baillie, who developed the lodge with his wife Hayley and has since struck a joint venture partnership with US private equity house KSL Capital Partners, said Southern Ocean Lodge was an incredible contributor to Kangaroo Island and South Australia’s economy and tourism industry, and was held up as the epitome of luxury tourism lodges. It attracted both domestic tourists and cashed-up international holidaymakers.

James Baillie

Mr Baillie said the lodge was fully insured but questioned the ongoing cost of premiums.

“One of the scary things moving forward is the insurance. What are the insurance premiums going to be like in the future with bushfires and cyclones?”

Asked whether there would be any changes to the lodge in the rebuild, Mr Baillie said: “To us it was perfect.” But he conceded there might be some small changes.

“Overall the property is totally destroyed and we will need to be substantially rebuilt,” Mr Baillie said.

He said the lodge employed more than 50 staff, who were still being paid.

Some staff would be redeployed to other lodges in the Baillie Lodges portfolio, which includes a soon to open lodge in north Queensland, as well as the established Capella Lodge on Lord Howe Island and Longitude 131 in the shadow of Uluru.

Other staff would be found employment in the Luxury Lodges portfolio, he said.

Mr Baillie said he would be unable to retain all 50 staff but noted the tourism industry suffered from a chronic lack of staff.

Southern Ocean Lodge as it used to be. Picture: Baillie Lodges

Works by Australian artists and furniture designers would again be used for the reopening of the Southern Ocean Lodge.

Meanwhile, another luxury lodge in NSW, the One & Only Wolgan Valley resort near Lithgow, expects to resume normal operations by January 20.

It has been subject to smoke haze from the nearby Gospers Mountain bushfire.

The walking trails and ­landscaping around Wolgan Valley are undergoing remedial works following the bushfire activity in preparation for its re­opening.