ECHO'S BIG BID
23 June 2014, Written by Laura Daquino
ECHO Entertainment Group (ASX: EGP) has announced a strategic joint venture for Queen’s Wharf Brisbane development project.
The company has signed a binding Memorandum of Understanding (MOU) with investment holding company Chow Tai Fook Enterprises (CTF) and property developer Far East Consortium Australia (FEC).
Based on complimentary services and expertise, and EGP and CTF’s strong balance sheets, the companies have formed the Destination Brisbane Consortium and a joint proposal will be submitted for the development of the integrated resort.
The consortium aligns EGP and CTF’s comprehensive Australian experience with FEC’s international hospitality operations particularly in Asian markets.
EGP managing director and CEO Matt Bekier (pictured) says the companies are looking forward to coming together for this “once in a lifetime opportunity”.
“We are delighted to work in partnership with two significant Asian based partners and the government to develop and submit a compelling proposal for the Queen’s Wharf Brisbane site, which will deliver major investment in tourism infrastructure including a world class integrated resort to Brisbane.
“An integrated development presents a once in a lifetime opportunity for transformational change across the city and south east Queensland.”
As stipulated in the agreement, EGP will contribute 50 per cent of the capital to the development of the Queen’s Wharf project and act as the operator under a gaming operator agreement.
CTF and FEC will contribute 25 per cent of the capital each and undertake the residential and related component of the project.