Victor Island in the southern end of the Whitsundays sold for $2.51m

After a fast-paced bidding war, a Queensland family has snapped up a Whitsundays island for $1m less than the previous owner bought it for just two years ago.

A Queensland family has bought Victor Island in the Whitsundays.

A Queensland tropical island generated an intense bidding war before being sold under the hammer to an unnamed family, for a bargain price after the owner went into liquidation last year.

The Queensland-based buyers paid $2.51m for off-the-grid Victor Island – one of the very few, privately owned, perpetual leasehold islands located at the southern end of the Whitsundays and Great Barrier Reef Marine.

They beat 14 other registered bidders from around Australia, after a campaign by Ray White Surfers Paradise when a mortgagee exercised their power of sale.

The island, off Mackay, last sold in March 2022 when it was bought by a Sydney-based syndicate Kingdom Developments for $3.65m, ensuring the new owners bought it at a 31 per cent discount.

The company was involved in unit developments around Australia had plans to change the island from a family retreat and increase the accommodation to cater for more than 30 patrons.

However, by the end of 2022 they elected to put Victor Island back on the market.

Kingdom Developments went into liquidation in August 2023 leaving a trail of debts believed to be up to $200m.

In 2023 Victor Island had price expectations of about $4m, however late last year its price tag had fallen to $2.75m.

Marketing agent Michael Willems said they ended up with 15 registered bidders and a bidding war that came down to three parties battling it out for 20 minutes.

With a 360-degree oceanfront panorama, the 3.14ha property included a newly renovated and stylishly furnished 1990s constructed four-bedroom, two bathroom house with a large deck.

There is a separate detached caretakers cottage. There is also a helipad, a desalination plant and a solar farm with a back-up generator on the island.

Ray White Surfers Paradise Group chairman Andrew Bell said the property, with all the facilities, needed to enjoy a dream lifestyle on an unspoilt, eco-friendly paradise, attracted enormous national interest after being listed for sale.

“The family who bought it will use it for family holidays whether that be weekends or lengthier stays,” Mr Bell said.

A Queensland family paid $2.51m for Victor Island.

Meanwhile there are a number of other Queensland islands which are or were on the market for less than an ordinary house in Sydney’s inner city.

Temple Island’s 8.7ha 30-year leasehold will be up for auction on May 16.

The island, 3km off Cape Palmerston National Park on the Central Queensland coast, has its own 1100m private airstrip and a renovated four-bedroom highset home on the 50ha island’s highest point

The property was originally marked for about $1.75m but Private Islands Online’s Richard Vanhoff says the owner just “wants to move it”.

Last year Mr Vanhoff sold Poole Island for about $1m to a South Australian real estate agent after it went back on the market after its original would-be buyer went missing.

The new owner will use it as a family getaway.

He is also selling the leasehold of the 9.3ha Wedge Island, near Great Keppel Island and is seeking expressions of interest, although there have been price expectations of around $2m.

With the backpacker market in mind the island has hot water shower, toilet and a bidet and an enormous storage shed with all the tents and camping gear.

There are eight independent beds in the bungalow, and is all designed to enjoy all the water facilities during the day and the sunsets at night.