Lunapark Melbourne for Sale?

[Shaun]

I just read on american forum that Lunapark melbourne is up for Sale. Didn't the owners just buy it recently, 2 years ago? I don't know where they got the info from?, I'm just passing on what i've read. I don't know if I'm aloud to say but i read it at www.totalthrills.com under the international forum. Also you will be happy to know that the post also contains a link to the gallery on this site Shaun

[Richard]

Yep, the information you've read somewhere is correct. Luna Park Melbourne is being sold. Who knows the reason behind it - it's getting more and more popular by the year. My guess is that, coupled with the increasing popularity of the St Kilda area has lead to a boost in the value of the real estate. We're talking in the 75+ million mark for the land the park is on, so my guess is if the owners sell now (given that the real estate market is pretty high), they'll be making a serious killing on it - making the operating profits seem insignificant. Here's the press release:

Luna Park - one of Australia’s oldest theme parks - is up for sale.   Open since 1912, the 1.2 hectare park in Melbourne has established itself as one of Australia’s best known attractions. In 2001, the park underwent a (AUS)$10m redevelopment of its rides and attractions, which included the renewal of its ageing infrastructure and refurbishment of existing rides. The park’s heritage-listed facades and rides including the majestic carousel were also restored to their former glory.   Dr Ron Bassett, executive chairman of the park’s current owners, BCR Asset says:   “Luna Park required a great deal of improvement to the heritage-listed features, attractions and facilities when we purchased the park in 1998. Following major redevelopment works and re-opening of the park to the public in October 2001, we were delighted with the immediate success. Luna Park now represents a very attractive opportunity for new investors to capitalise on strong cash flows and the potential for further development.”   Jones Lang Lasalle Hotels, which has been appointed to market the property and business, is confident that the refurbishment of the park will add to its future growth potential.   “We anticipate strong investor interest from tourism and hospitality operators prepared to build on the success of the park’s conference and function business as well as fostering the strong demand for Luna Park’s quality amusement rides and entertainment facilities” says Mark Durran, senior vice president of Jones Lang LaSalle Hotels.   Luna Park is being offered for sale via an expressions of interest campaign which closes on 14 November.   Details: +61 2 9220 8793

From that, I definitely get the feeling that they purchased an underperforming park, did the necessary to keep it running and boost the value a bit, and waited for the market to get to the right point, and collect a cool return on the investment. Kind of like all those couples who move from old house to old house renovating then selling. Sad? I think not. The park's staying - there's no doubt at all there. New owners might mean some more capital expenditure in the future. I know the Scenic Railway needs a heck of a lot more than a lick of paint to make that thing remotely enjoyable again. What was the site you found the link to Total Thrills at? I'm curious to know (plus my usage statistics for this site aren't working too well).

[HussRainbow]

i hope the new owners bring some better rides, hopefully some of wittingslows!

[Shaun]

Whops sorry lol :oops: I'm so used to writting 'TottalThrills' in the adress bar.... :oops: I found it at www.ultimaterollercoaster.com/ in the international forum. Shaun

[Jobe]

I think that this is great news!!! As Richard has pointed out,new owners could mean capital expenditure on a park that is ripe for it. There is no chance of the park being demolished or anything like that-as in Sydney, there are heritage orders preventing this from happening on the iconic Mr Moon entrance and Scenic Railway. Definetly some money could be spent on the Scenic Railway and we may now see the intoduction of some major NEW rides as opposed to refurbished old ones. As far as i can tell there are no limits or obstacles preventing Luna Park from installing what they want, so this means that really, the sky is the limit. Depending on the new owners of course. Perhaps Metro Edgely, the owners of Luna Park Sydney could buy it and operate both simultaneously?? The park is crying out for a new coaster....given the room what do you think coud be achieved in the available space??? Food for thought.... Cheers, Jobe

[Shaun]

I think the best thing they can do is to put top quality, well themed flatrides in there. A coaster would take up way to much costly room. I reckon they will still want to keep up the great carnivale style atmosphere they have going in there, but to atract old patrons back, in Particular teenagers they are going to have to put some new, more exciting atractions in, which will mean they will proably have to replace a few of the old rides and maybe modern up the place a bit. I don't think it took people long to catch on that the 'new' luna park melbourne was just the old one with a bit of a paint job. Luna park can't just depend on their advertising to get people to keep coming back, they need something new and exciting...... lots of potential anyway Shaun

[HussRainbow]

I think rides like - rainbow zipper breakdance, would all be perfect additions to the park, the enterprise is great, and that should stay, but other than that, the pharos curse is the only other upside down ride, a zipper would be fantastic there, also the rainbow would do well, if it faced the beach, it would provide spectacular views of the beach!!!

[Jobe]

Here is some interesting info on the sale of Luna Park, Melbourne This is lifted from a article in Saturdays Daily Telegraph in the business section. The article states that there are three companies vying for redevelopment rights. However, the deadline for final tenders has been extended untill December 19th. The three companies are property developer Ivan Rijavec, Melbourne property group Australian Public Trustees and the third is ....wait for it...none other than Macquarie Leisure!!! The article goes on further stating that interest in the park has peaked because leases for the adjoining sites, the heritage listed Palais theatre, the Palace nightclub and a carpark ,are to end in 3 years. I think this is great news!! If the owners of Dreamworld bought Luna Park we could see some serious cashflow in the park. I dont think that Macquarie leisure would buy the park without having a definite plan in place and this can only be a huge positive for Luna Park and for Melbournians alike!!!! Comments??? Cheers Jobe :mrgreen:

[HussRainbow]

it would be great if the dreamworld owners bought lp, cos this could meen new thrill rides!!!, also the expression of interest to buy the park has now been extended to december 30