Hong Kong businessman Benny Wu stripped of lease on luxury Aussie resort Double Island after he failed to reopen it for tourism

A tropical island in northern Queensland has been returned to Australian ownership after a Hong Kong businessman was stripped of his lease for allowing it to fall into disrepair.

Double Island off the coast of Cairns was formerly home to a luxury resort that once attracted Hollywood stars such as Brad Pitt and Jennifer Aniston, but which closed a decade ago.

Queensland Minister Scott Stewart spent years trying to persuade tenant Benny Wu to rebuild the ruins of the five-star complex and reopen the island, until he finally took the case to the state’s land court.

It ruled in May that the lease granted until 2099 could be forfeited because its conditions – specifically the operation of a tourist facility or resort on the island – had not been met.

Mr Stewart revoked the tourism lease this week after Wu’s legal team failed to file an appeal within the deadline.

Mr. Wu’s Fortune Island Holding Company paid $5.68 million for the lease in 2013.

Mr. Wu was involved in mining and is chairman of the private import and export company Chang Yuang Group in Hong Kong.

Mr Stewart said Double Island was officially once again owned by the State of Queensland.

He said the outcome has prompted island resort operators on the Great Barrier Reef to honor their leases or risk losing them.

“The community and local members want Double Island to be open, thriving and available for use, just as I do, and that is why I have taken this action,” Stewart said Friday.

The news was welcomed by local MP Craig Crawford, who said the outcome was ‘bloody brilliant’.

“It’s now back in the hands of Queenslanders,” he said.

“This is the day we’ve all been waiting for after six long years.

“Many in the community didn’t think this day would come, but I knew if we stuck to our guns, we would win.”

The government will now assess the island’s infrastructure and consult with locals in the coming months to form a plan to reopen the resort.

“We want Double Island to be restored to its former glory and accessible to locals and visitors,” said Tourism Minister Michael Healy.

“Queensland’s island resorts are the jewels in the crown of our state’s tourism industry.”

Opposition natural resources spokesman Dale Last said the Liberal National Party would retain Double Island as an ecotourism asset if it won October’s state election.

In the meantime, people have been warned to leave the island.

“During this time, people should stay away from the former resort while action is taken to assess and address any potential hazards,” Stewart said.

‘The resort has not been active for years, is in a state of disrepair and is not safe for the general public.’

In addition to reopening the resort, the lease also required vegetation to be managed, island facilities to be kept in good condition and docking facilities to be in good condition for use by the general public.

When the deal for Double Island closed in 2012, Mr Wu said he planned to spend $10 million upgrading the resort to cater to the “top end of the market” of wealthy Chinese holidaymakers and businesspeople.

In its heyday, the island was a luxury destination with Polynesian-inspired villas, ecotourism glamping tents and luxury apartments.

Hollywood A-lister Keanu Reeves rented the island in 2001 when he was in Australia to film The Matrix and had a gym built especially for him.

Friends star Jennifer Aniston and her then husband Brad Pitt were his guests when the actor threw a lavish and infamous New Year’s Eve party there.

The bash reportedly cost $200,000 (US$150,000) and was also attended by a host of famous faces, including Matt Damon, Drew Barrymore and Kiefer Sutherland.

The celebrity party featured a huge fireworks display on New Year’s Eve, shocking locals who had no idea the island was packed with Hollywood stars.

A visitor to the island who had paddled a kayak there with a friend previously told Daily Mail Australia: “Staying there would be more of a ‘Survivor’ challenge than a luxury getaway.”

Safari-style tents intended for eco-friendly ‘glamping’ stays are covered in mold and moss, while rubbish such as fuel containers, laundry supplies, dirty towels and abandoned tools litter the area.

Visitors to the island are warned not to venture onto land where the tide reaches and that cameras are in use.

But it is still possible to see a seemingly abandoned house where rainforest plants begin to encroach on the once pristine garden; the plunge pool has been emptied of water and the balcony of one bedroom is unsuitable without a railing.

A gym lies abandoned and seemingly unused, but appears to be in good condition even if the equipment appears dated.

The outdoor dining areas, intended for guests to enjoy a “sublime culinary experience,” are littered with a hodgepodge of old furniture.

In contrast, a Cairns mansion that Mr Wu bought in 2020 is stunningly luxurious.

The work of Renaissance architect Andrea Palladio inspired the house, which features five-metre-high ceilings, 1,441 m² of living space, four en-suite bedrooms and city views.