Australia’s Star Entertainment has announced that the launch of its Queen’s Wharf development in Brisbane will be delayed until the latter half of next year at the earliest, instead of its original summer estimate.
The multi-billion dollar gaming and leisure project is a joint venture between Star and Hong Kong-based firms Far East Consortium and Chow Tai Fook Enterprises—Star owns 50 percent while Far East and Chow Tai control 25 percent each.
On a recent call with investors, Star attributed the delays to challenges related to the Covid-19 pandemic as well as a mixture of labor shortages, inflation, supply chain disruptions and increased rainfall in the region. According to Star, all three companies will contribute additional capital to keep construction going.
That said, the three investors are in discussions with the project’s developer, Multiplex, about the extent of these costs, given existing provisions in the development agreement.
Star representatives explained that “the expected additional costs may be adjusted depending on the outcomes of the ongoing discussions with Multiplex, including regarding liquidated damages.”
When complete, the Queen’s Wharf project will feature a whopping four hotels, 50 dining options, 2,000 apartments and an expansive casino and gambling area.
