PHOTO: The Carlin Boutique Hotel. FILE
A recent assessment of the financial status of Carlin Boutique Hotel in Queenstown reveals a debt of approximately $45 million alongside significant assets.
Following the passing of its founder, Kevin Carlin, Carlin Hotel Property Management Limited and Queenstown Views Villas Limited were placed under receivership in February. Pablo (Aust) Pty Limited, holding security over the companies’ assets, appointed BDO Christchurch as receivers.
To build the seven storey Carlin Boutique Hotel is was necessary to dig a $3.5 million hole in the ground. SUPPLIED
Kevin Carlin, an American immigrant who called Queenstown home, passed away at the age of 69 in December, with the cause still under investigation.
The Carlin Boutique Hotel, a $30 million project completed in 2022 with aspirations of surpassing five-star standards, was Kevin Carlin’s retirement endeavor. Carlin Hotel Property Management Ltd oversees its operations, while Queenstown Views Villas owns the property.
Kevin Carlin was a property developer and musician. SUPPLIED
The initial receiver’s report for Queenstown Views Villas Ltd outlines assets valued at $26 million, primarily comprising land and buildings. Debts upon the receivers’ appointment totaled $30.8 million, predominantly owed to Pablo, with the remainder due to unsecured creditors.
Efforts are underway to liquidate the company’s assets through a confidential sales process, with about two-thirds of the hotel property owned by Queenstown Views Villas and the rest by Pablo.
The hotel features nine suites, a reception area, restaurant, bar, gymnasium, and parking facilities, all managed by Carlin Hotel Property Management Ltd.
The view from The Carlin Boutique Hotel over central Queenstown. If you can’t see it from your balcony, you can watch it live from television in your bedroom. SUPPLIED
However, a separate receiver’s report indicates significant trading losses and cash flow constraints for the management company since the hotel’s opening in April 2022, raising concerns about its future viability. Liabilities of $15 million were recorded, including $12.5 million owed to Pablo.
While the hotel continues to operate in central Queenstown, the assessment underscores the financial challenges it faces.
SOURCE: STUFF