Dreamworld owner outlines A$200m, 250-room hotel at Coomera
Coast Entertainment Holdings outlines a Dreamworld-branded, four-star hotel of about 250 rooms at A$200m, plus a A$60m precinct, per Smallcaps.
- Source Briefing
- Read original source · Smallcaps
Coast Entertainment Holdings (ASX: CEH), the operator of Dreamworld, has outlined a proposed Dreamworld-branded, four-star hotel at Dreamworld, Coomera (Gold Coast), according to Smallcaps. The outlet’s page does not give the date of the announcement or name the ASX filing it draws on, so we cannot say when the plan was released.
Why it matters
Smallcaps reports the plan as a roughly A$260m hotel and leisure precinct on Coast’s 55-hectare Coomera landholding. The company is a listed park operator, so the proposal is also a statement about how it intends to use its balance sheet. For Gold Coast builders and consultants, Smallcaps says design work and cost checks are under way before approvals and a tender stage.
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The article says planning approval obtained in July covers the landholding. It also says the project remains subject to technical studies, costing, further planning processes, financing and final board approval. In other words, this is a proposal and not a committed build.
The numbers
Smallcaps gives these figures for the proposal:
- Hotel: about 250 rooms, four-star, at about A$200m.
- Leisure precinct: an indicative A$60m for entertainment, dining and retail, with specialist third-party operators expected and the option to build in stages.
- Timing: staged construction is provisionally envisaged between 2028 and 2030, with the hotel targeted for completion around 2030 to 2031.
- Value on completion: about A$330m combined.
On funding, the article lists existing cash, operating cash flow, corporate or project debt and a possible sale of non-core land as options. It says Coast had A$35m in cash, no drawn debt and an undrawn A$20m banking facility at the end of FY26, and that no final financing package has been agreed. Peak gearing could stay within a 30 to 35 per cent target range.
Smallcaps also reports preliminary modelling pointing to leveraged internal rates of return above 20 per cent, and says these are modelling outputs rather than forecasts or committed outcomes.
On equity, group chief executive officer Greg Yong said: “our current strategy does not contemplate a new equity raising”. The article adds that park safety, maintenance and attraction renewal are funded before development spending.
What’s next
According to the article, the next steps are the technical studies, costing, further planning processes and financing work, followed by a final board decision. It says Coast is open to capital partners, though it does not say whether any have been selected.
Smallcaps does not say who would operate the hotel, whether under a third-party arrangement, or when the leisure precinct would be completed. Those points are not covered in the page, so we have left them out.
We will update this story when Coast lodges further detail or a development application is filed.
Related: Central Equity’s Palmera tower on the Gold Coast tops $400m in sales
Quick answers
What is the latest on Coast Entertainment Holdings?
Coast Entertainment Holdings outlines a Dreamworld-branded, four-star hotel of about 250 rooms at A$200m, plus a A$60m precinct, per Smallcaps.
What are the key numbers in this story?
hotel cost: A$200m; hotel rooms: 250; leisure precinct: A$60m.
Where does this information come from?
This story cites Smallcaps. Every source is linked on the page.
On the record
none: the story rests on the Smallcaps report; the article does not give a publication or ASX announcement date
Our coverage · smallcaps.com.au
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