Blackstone Pays $1.2bn for Queensland’s Hamilton Island

The sale of Hamilton Island to a global heavyweight for about $1.2 billion has become one of the largest tourism-related transactions recorded in Australia.

The Whitsundays destination is being acquired by Blackstone, the alternative investment management company based in New York City.

The sale ends more than two decades of ownership by the Oatley family.

The sale is subject to regulatory approvals, including clearance from the Foreign Investment Review Board, and is expected to be completed next year.

Hamilton Island will continue operating throughout the transition, with flights, accommodation, tours and events unaffected by the pending sale.

Hamilton Island is one of the Whitsunday Islands off the coast of north Queensland in the Coral Sea near the Great Barrier Reef, about 25km east of Airlie Beach and 900km north of Brisbane.

The island spans more than 1100ha and operates as a fully integrated resort and township.

The asset includes several major hotels, luxury and family accommodation, more than 20 bars and restaurants, a marina, conference facilities, staff housing and a commercial airport capable of handling jet services.

Hamilton Island is one of the busiest tourism hubs in the Great Barrier Reef region, attracting around half-a-million visitors annually.

Oatley family patriarch Bob acquired the island for $200 million in 2003 after it fell into receivership after the collapse of its previous owner.

▲ Hamilton Island has changed hands after more than two decades of ownership by the Oatley family.

Over the past two decades, the family invested extensively in rebuilding infrastructure, upgrading accommodation and repositioning the island as a premium yet accessible holiday destination.

The island has since hosted major international sailing regattas, high-profile weddings, corporate conferences and large-scale events.

Blackstone is one of the world’s largest alternative asset managers, with significant global investments across real estate, infrastructure and hospitality.

The firm has indicated it sees Hamilton Island as a long-term investment and intends to build on the existing platform rather than pursue a wholesale redevelopment.

Existing management, staff and businesses operating on the island are expected to remain in place following the change of ownership.

The transaction reflects renewed investor confidence in large-scale tourism assets after years of disruption caused by the pandemic and rising interest rates.

Demand for high-quality leisure destinations has rebounded strongly, underpinned by domestic travel and the gradual return of international visitors.

▲ Dawn at Hamilton Island’s Cats Eye Beach.

International tourism consumption in 2024-25 grew to $42.3 billion, the highest on record, according to the ABS, while domestic tourism consumption also reached record levels at $168.8 billion in the same period.

Australia welcomed about 8 million international trips in the year ending September 2025, according to Tourism Research Australia, which was up 7 per cent on the previous year.

Industry figures say the price achieved highlights the scarcity value of integrated island resorts with established infrastructure and strong branding.

Hamilton Island is unusual in the Australian context due to its scale and complexity as both a tourism destination and a functioning township.

The island supports a permanent workforce, with internal systems managing utilities, transport and essential services.

For Queensland’s tourism sector, the transaction is a significant vote of confidence in the long-term outlook for the Whitsundays.

The deal also underscores ongoing foreign investment interest in Australian tourism infrastructure despite heightened regulatory scrutiny.