Star Entertainment (ASX:SGR) has sold its Treasury property in Brisbane, as the embattled gaming giant scrambles for fresh financing and a tax reprieve to manage cost blowouts at its new marquee Queen’s Wharf development.
The company confirmed months of speculation late on Friday, announcing that the historic site would be sold to Griffith University for $67.5 million.
Star expects to pocket $60.7 million from the sale.
The transaction is still subject to government approval and the grant and registration of a lease. However, these are ‘targeted to occur on or around’ September 27, and with the Queensland government eager to support the struggling company, delays are not anticipated.
The sale follows the closure of the Treasury Brisbane Casino on August 25, which preceded the opening of the company’s costly Queen’s Wharf casino in Brisbane’s CBD.
The sale proceeds will not be enough to resolve the company’s current funding problems, nor will it expedite the release of its 2023-24 accounts and report.