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Court order brings end to long-running saga over 'eyesore' hotel property

ABC Australia 10:07 PM UTC Sun February 08, 2026 Politics
Court order brings end to long-running saga over 'eyesore' hotel property

BERITA BAHASA INDONESIA

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Topic:Urban Development and Planning

Rockhampton Plaza Hotel will be sold by a trustee appointed by the Federal Circuit Court. (ABC Capricornia: Vanessa Jarrett)

A statutory trustee has been appointed by the Federal Court to sell a Rockhampton hotel property.

The Rockhampton Plaza Hotel has been closed to the public since 2014 and is in a rundown state.

The property is being prepared for sale in an "as-is" condition.

Link copiedShareShare articleThe Rockhampton Plaza Hotel looks less than inviting when you drive into the central Queensland city.

It sits surrounded by temporary fencing, with smashed windows and timber boards nailed across its seven-storey façade.

Overgrown gardens cover the site and public footpath, hiding piles of rubbish of broken glass and mattresses.

The hotel was popular in its heyday, hosting weddings and even politicians. (ABC Capricornia: Vanessa Jarrett)

After years of complaints from local authorities a judge has ordered the sale of the property by owner its James Chang, director of Chang Holdings Pty Ltd, who is known to live at the site.

The Federal Circuit Court has appointed Nick Combis of accounting firm Vincents to sell the building.

Mr Combis told the ABC the property was being sold "as is".

A sign has been painted on the concrete warning the public of fines for trespassing. (ABC Capricornia: Vanessa Jarrett)

The chief executive of tourism body Capricorn Enterprise, Mary Carroll, described the building as an "absolute eyesore" which impacted the city's reputation.

"The sooner it is demolished or sold, rebuilt, the better," she said.

"It's a wasted site and we are desperate for new hotel accommodation in this region; demand has never been higher for hotel development."

Ms Caroll said she hoped an investor would redevelop the property.

"It will most likely need to be demolished, but I'm not an engineer or building expert.

"My dream would be that something be constructed there, a brand-new hotel, and opened in the next six years."

Mary Carroll says the site has a lot of potential for development. (ABC Capricornia: Katrina Beavan)

The property was purchased in 1996 for $3 million and has been closed to the public since 2014.

It is unclear what the offering price will be, but according to real estate data the 4,047-square-metre block of land was valued at $1.45 million in June 2025.

Queensland-based qualified and registered trustee Andrew Weatherley said appointing a statutory trustee was generally a "last resort".

"They're not all that common," he said.

Andrew Weatherley says a court-appointed trustee is often a last resort. (Supplied: Andrew Weatherley)

The statutory trustee acts to coordinate the sale following any specific terms of the court order and directions on distribution of the sale proceeds.

"Sometimes that's auction, sometimes it's an expression of interest," Mr Weatherley said.

Last year, the Rockhampton Regional Council sought a public health order through the courts for the clean-up of the site.

The court documents stated the property had piles of waste containing used kitchen items, needles and faeces, and was likely a breeding ground for rodents and could contribute to human diseases.

The order, issued in August 2025 by the Rockhampton Magistrates Court, gave leave for the council to undertake works to tidy the outside of the property and that all gates, doors and windows be blocked and temporary fencing erected to prevent public access.

The costs of these works have been passed onto the owner.

Rockhampton Regional Council had a clean-up order enforced in court for the site in 2025. (ABC Capricornia: Vanessa Jarrett)

In 2023, Chang Holdings Pty Ltd was ordered in the Rockhampton Magistrates Court to pay more than $44,000 in fines for 16 charges related to fire safety breaches at the building.

The court action stemmed from visits and investigations by the Queensland Fire Department regarding failures of the fire doors, extinguishers, hose reels and exit lighting and signage.

Rockhampton Regional Council was also successful in another court order in 2021 for unpaid rates against the property of $207,008.05.

During the court proceedings, Mr Chang said he could not afford the bills and the hotel was closed so he should not be charged.

The owner was fined in 2023 for fire safety breaches at the building. (ABC Capricornia: Vanessa Jarrett)

Outstanding bills would likely be paid out of the sale proceeds, Mr Weatherley said.

Most people did not know the legislation existed and was used as a last resort but could be quite costly, he added.

"If in a worst-case scenario that you can make an application to court, and there's some costs involved in that, but usually with the value of the property and the equity that's often available, those costs will come out of the sale proceeds."

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