Lancini pulls plug on CBD shopping centre
PLANS for a $ 200 million entertainment and retail development in the CBD have been rocked by moves from Townsville developer Laurence Lancini to dispose of his interest in the project and prime city property. The move could mean the loss to Mr Lancini of millions of dollars worth of property and almost certainly would sever his company’s involvement in what was to be the $ 200 million Flinders Plaza project in Flinders St.
‘‘ I’m extremely disappointed,’’ Mr Lancini said yesterday.
‘‘ The situation I’m in now is very upsetting for me and a real loss for Townsville.
‘‘ Five years ago when I owned one of the buildings I went out to try and find a major developer to come in and do a major project in the city.
‘‘ I thought it was a real coup for Townsville. Hopefully down the track when the world ( economy) turns around, we’ll find a large group to get involved and come in and do the development ( this site) deserves.’’
Asked how it would affect the Lancini Group, Mr Lancini conceded it could amount to a milliondollar loss but one that would not affect his companies.
‘‘ It will have no effect on the Lancini Group assets or business,’’ he said. The Lancini Group, a developer in Townsville for 30 years and now a major player in property development, issued a statement yesterday setting out the reasons for the divestment.
NO ALTERNATIVE: The Flinders St Mall redevelopment, Flinders Central is nearing the end It claims the conduct of j o i n t v e n t u r e p a r t n e r , Austexx retail group subsidiary Austexx Corpora t i o n Pt y Lt d , l e f t Mr Lancini and his Lancini Group directors with no alternative but to bring their involvement to an end.
The directors of Austexx Corporation include embattled Direct Factory Outl et owners David Goldberger and Austexx managi n g d i r e c t o r F r a n k De Rango.
Mr Lancini entered into a joint venture agreement with Austexx Corporation i n 2007 t o acquire and redevelop a series of CBD properties i n a project known as Flinders Plaza.
A company called Flinders Plaza Pty Ltd was incorporated to facilitate the development and it is this entity which holds title to the properties in almost an entire city block bounded by Flinders, Stokes, Sturt