Australia’s Great Barrier Reef (GBR) is expansive, stretching for roughly 1,400 miles off Australia’s northeastern coast. One of the most popular places to go on the GBR is the Whitsunday Islands, a 74-island chain in the middle section of the Great Barrier Reef Marine Park. Though there are affordable hotels on the mainland in Airlie Beach, offering quick boat access to the islands, lodging on the Whitsundays themselves tends to be more exclusive and high-end. And a newly announced real estate deal cements that reputation, shattering records for the most expensive island purchase ever — not just in Australia, but all of Asia-Pacific.
Photo: Hamilton Island/Blackstone
The Great Barrier Reef’s Most Famous Island Just Sold for a Record-Breaking $1.2B
On December 22, Blackstone, the US-based investment giant and largest private landowner in America, announced plans to acquire Hamilton Island. The unconfirmed purchase price is a reported $1.2 billion AUD, or about $800 million USD. If approved, the 2,800-acre property — which is technically two islands — will become the most expensive island ever purchased in Australian history. It dwarfs the previous record by nearly 19 times over: the 2021 sale of Lizard Island for $42 million AUD (about $28 USD).
Lizard Island, in the northern part of the Great Barrier Reef. Photo: Suzie Dundas
The deal also surpasses all Asia-Pacific island transactions, including the 2021 acquisition of the Maldives’ ultra-luxe Cheval Blanc Randheli, which was part of a $680 million USD purchase. The price is making global headlines and drawing comparisons to the 2012 purchase of the Hawaiian island of Lāna‘i, 98 percent of which was purchased by billionaire investor Larry Ellison for a reported $300 million.
Blackstone was established in 1985 in New York City as a mergers and acquisitions advisory firm, but now controls nearly $1.2 trillion in assets around the world. Some of those assets are in the world of hospitality, including hotels in India, Japan, and the Maldives, as well as the US’s Great Wolf Resorts, known for their indoor, year-round waterparks.
The company is purchasing the lease on the island from the wealthy Oatley family, ending more than two decades of investment from the winemaking family that turned “Hamo” into one of the Great Barrier Reef’s premier destinations. Today, Hamilton Island has the only commercial airport in the Whitsundays, five hotels, more than 20 restaurants and bars, shops and retail businesses, a marina, and an 18-hole championship golf course on adjacent Dent Island.
Photo: Hamilton Island/Blackstone
While Blackstone hasn’t explicitly announced how it plans to develop the island, it’s likely it will continue to operate it as a for-profit business as it was purchased for Blackstone’s hospitality portfolio. In announcing the news, Blackstone’s Chairman of Asia Pacific and Head of Real Estate Asia Chris Heady said the company plans to “build on the vision and dedication [of] the Oatley family,” and that Blackstone is “committed to investing in the long-term success of Hamilton Island, its people, and its local businesses and community.”
In the release, Blackstone announced that more than 70 percent of the island is still undeveloped, so it could be planning to add new tourism offerings. However, the Whitsunday Islands are in the Great Barrier Reef Marine Park, where major expansions are difficult and highly regulated. This may push the company more toward high-end, eco-conscious luxury villas rather than any type of hotel development. It’s a model that, while controversial, tends to generate the most income with the least environmental impact.
Though the purchase has been announced publicly, it still needs regulatory approval, including review by Australia’s Foreign Investment Review Board (FIRB).
What is Hamilton Island known for?
Photo: Hamilton Island/Blackstone
Hamilton Island is one of Australia’s most iconic tropical resort destinations, known for being a gateway to both the Great Barrier Reef and the Whitsunday Islands. It has a combination of luxury and accessibility — as well as natural wonder — that few destinations can match. The island serves as the primary jumping-off point for visitors wanting to experience the reef firsthand and is the starting point for everything from snorkeling and scuba diving trips to helicopter tours, day cruises, and even trips to Australia’s first underwater hotel.
On Hamilton Island itself, one of the most famous locations is Catseye Beach. It’s a curved beach that first drew investors to the island in the 1970s and is still central to the tourism experience, with plenty of restaurants and beach rental companies lining the expansive stretch. The fact that the entire island is car-free adds to the experience of feeling like you’re on an undeveloped island, even with beach bars offering happy hour specials nearby. However, tourists who feel that’s a bit too crowded can instead head to Whitehaven Beach, just a short boat ride away on Whitsunday island. Boat tours to the four-mile stretch of white sand beach leave from Hamilton Island.
Catseye Beach on Hamilton Island. Photo: Hamilton Island/Blackstone
Five different hotels welcome guests on Hamilton Island, ranging from the ultra-luxurious Qualia with its own private beach, to the slightly more affordable Palm Bungalows, which start around $350-$400 per night. Reaching Hamilton Island requires either a one-hour cruise from either the Port of Airlie or Shute Beach on the mainland, or a quick flight to the Hamilton Island Airport, also called the “Great Barrier Reef Airport.” It receives daily flights from Brisbane, Sydney, and Melbourne. 