Lotte, which started in the chewing-gum business in Japan post-WW2, had paid $90.5M for the Salacia Waters site a decade ago before the Global Financial Crisis (GFC). It had plans to build more than 460 apartments and villas as a retirement development.
But in 2009, its partner left and in 2011, work stopped on the site with 144 apartments built, the Gold Coast Bulletin reports.
It’s understood the land had been for sale for three to four years, but previous offers didn’t meet Lotte’s asking price of around $40M. It has now sold two of three lots.
The company has also managed to sell off more apartments at its 220-unit Victoria Towers over-50s building in Southport which it took control of as a mortgagee in 2013.
There are now just over 40 units still for sale with about six sales hitting $900,000 or more.
The losses are unlikely to damage Lotte’s bottom line however – the company is estimated to employ over 60,000 people.