THE racing industry in south-east Queensland awoke today to what they thought was an April’s Fools Day joke with the Gold Coast Turf Club valuing its complex between $300-$500 million.
No sooner had the news filtered through to other sections of the racing industry than the e-mails started to arrive at this web-site with some even asking if Premier Anna Bligh had enlisted a Government valuation to produce this amazing figure.
Here’s the story, written by Lucy Ardern and reproduced courtesy of News Limited and the Gold Coast Bulletin:‘TELL 'em they're dreamin'.
Those immortal words of Darryl Kerrigan from Australian film The Castle seemed to ring out yesterday when it was discovered Gold Coast Turf Club could be valuing the Bundall facility at between $300 and $500 million.
Goldcoast.com.au obtained the figure through correspondence between the Turf Club and Queensland Racing.
An independent valuation of the track and facilities in 2009 came to $35.2 million.
Queensland Racing boss Bob Bentley wrote to the club this week in an effort to break a deadlock and begin talks about the organization's proposal to invest millions into the club and transform it into a modern facility.
If the deal is ticked off by members, it would see Queensland Racing become an equity partner in the club and a trust set up to include investment dollars contributed by Queensland Racing and assets owned by the club.
The racing body would be the bigger partner under the 2009 valuation.
However, a valuation as high as $300 million would put the club in the driver's seat in an equity partnership since the Turf Club work is only expected to be about $75 million.
Gold Coast Turf Club has already written to Queensland Racing suggesting that the club's equity would be 75-80 per cent, with the racing body holding the balance.
Property expert Bill Morris said taking into account that a third of the 44ha site was below the Q100 flood level, the land could be worth $54 million if it could be used for housing.
"That is based on current approvals with allowable density," Mr Morris said.
Along with being unwilling to meet with Mr Bentley until details of the proposed deal have been produced for the club, it is understood the club has also written to Queensland Racing recently asking for funds to repair a portion of the track.
Gold Coast Turf Club receives $918,000 annually from Queensland Racing and $276,000 of that is a training track subsidy which is supposed to be used for repair and maintenance work.
Mr Eggleston this week denied the club had an 'unrealistic expectation' of what the racing facility was worth, saying it did not know what it was worth.
Here’s one response the GC Bulletin itself received to the story:
‘Lets see what 11 heactares at Tweed Heads (Border Park greyhounds) sells for, let alone 44 hestares next to Surfers Paradise, the most expensive land per metre on the Gold Ccoast?
‘Also see how far the $276.000 goes on maintaining racetrack facilities when there are by far the biggest amount of horses in Queensland being trained there.
‘It would be nice to see how much the Sunshine Coast, Toowoomba etc get with far less numbers...report that.’ - George Catell.
Here's an example of the e-mails that we received at this web-site this morning:
'Could you please put me in touch with the guy who did the valuation for the Gold Coast Turf Club? I would like him to value my house for me. I reckon I would be an overnight millionaire and I live in Logan.' Kerry Wiggins.
And another:
'This is what the Queensland racing industry has been turned into by Bob the Builder and his mates - a laughing stock and the butt of many jokes interstate. I don't blame the GCTC for holding out for as much as they can get. All they are facing is an attempted takeover by Queensland Racing. Tell them to take a hike.' Glen Abrahams, Hendra.
