Village Roadshow has announced the sale and leaseback of 154 hectares of freehold land on Australia’s Gold Coast.
The $100 million deal includes the locations of Warner Bros. Movie World, Wet’n’Wild Gold Coast, Paradise Country, Australian Outback Spectacular, and Village Roadshow Studios and the land on which Australia’s first Topgolf venue is being built.
Altis Property Partners on behalf of LGIAsuper have paid $100 million in the deal which frees up capital to enable VRL to reduce debt levels and invest.
The terms of the long term lease agreement are for an initial 30 years with options for 6 further terms of 10 years each (ie a total of 90 years). Annual rent will start at $6.2 million per annum with reviews at 3% per annum.
In a report from the AFR Clark Kirby, chief executive of Village Roadshow’s theme parks’ division says, “We are committed to our theme parks business. This sale and leaseback will unlock the value in these land assets, allowing Village to pay down debt and free up capital for growth initiatives such as Topgolf.”