Tangalooma Island Resort’s owners are fighting Brisbane City Council’s infrastructure charges,
Tangalooma Island Resort’s owners are fighting Brisbane City Council’s infrastructure charges,

Famous resort’s expansion locked in council legal battle

THE owners of the iconic Tangalooma Island Resort have secured development approval to expand the scenic complex.

They're hoping to add a new marina precinct and additional hotel rooms on their small slice of Moreton Island, which has enticed generations of holiday makers with gorgeous beaches, dolphins and wrecks.

But Brian Osbourne, who bought the perpetual lease in the early 1980s, and the dozen other co-owners are now locked in a long-running legal battle with the Brisbane City Council over a huge "infrastructure charges notice" which has been issued for the still-undeveloped 2.6ha site.

 

A new marina precinct is part of Tangalooma Island Resort’s expansion plans. Picture: Supplied
A new marina precinct is part of Tangalooma Island Resort’s expansion plans. Picture: Supplied

The council approved the proposed resort expansion in late 2018 but then demanded an eye-watering $534,181 for "stormwater, transport, public parks and land for community facilities''.

A slight discount to $495,650 was then offered but Osbourne and his mates were having none of it.

They lodged an appeal in the Planning & Environment Court early last year, noting that the land is outside of the BCC's "priority infrastructure area''.

They also stressed that all the roads, drains, parks and other facilities are not owned or maintained by the council.

Court-ordered mediation last year got nowhere and the matter is set for further review next month.

Osbourne, a former plasterer turned property developer who used to go camping on the island in his younger days, put the resort up for sale nearly two years ago.

But it was later taken off the market for reasons that remain unclear, although we understand the undisclosed asking price was not the issue.

Osbourne could not be reached for comment this week and resort director David James did not return a call.

Built in the 1970s, the resort generated a modest $1.4 million net profit in the last financial year based on $56.3 million in revenue,


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