Pressure is steadily building on the owners of a forsaken island near the Whitsundays to rejuvenate a resort that once flourished with life and beauty. Nearly nine years have passed since a devastating category four cyclone wreaked havoc on the site, leaving it in its current state of neglect.

South Molle Island, located approximately 12 kilometers off the coast of Queensland, suffered a severe blow from Cyclone Debbie in 2017. Despite the passage of time, the island remains uninhabited and its resort abandoned.

Over the years, intrepid travelers have ventured to the ghostly remains of the 200-room resort, capturing and sharing images that reveal a haunting scene. Buildings stand with missing ceilings and walls, pools lie buried under debris, and rooms have been overtaken by wild vegetation.

The island’s owner, ChinaCapital Investment Group (CCIG), has thus far resisted calls to return South Molle Island to its former splendor. This resistance comes amid increasing scrutiny from the Queensland Government, which is clamping down on island leaseholders who fail to maintain their tourist facilities.

According to Ry Collins, Mayor of the Whitsunday Regional Council, CCIG has informed the state government that it is not currently in a position to redevelop the island. This stance has effectively stalled South Molle Island’s progress, especially as other islands in the Whitsundays region are securing lucrative development deals worth millions, propelling them forward while South Molle lags behind.

Collins said the CCIG’s decision meant the island was being left behind as other Whitsunday isles struck major development deals worth millions.

‘South Molle Island is really almost like a jewel in the crown of the Whitsunday Islands and the council would be very, very keen to see that project be reactivated and a new resort developed there,’ he told the Courier Mail.

‘We obviously see massive economic opportunity associated with Queensland’s islands generally, and are very keen to support future projects. We definitely want to see some activity.’

South Molle Island was once one of Queensland’s most popular holiday spots

Whitsunday Regional Council Mayor Ry Collins said the council ‘definitely want to see activity’  start on the deserted island

Category four Cyclone Debbie smashed the Island only a few months after CCIG purchased the resort

Footage showed the abandoned resort’s pool, which has become a breeding ground for frogs

The mayor said owners of other abandoned islands have begun to redevelop following the state government’s crackdown on those who operate under lease agreements that specify tourist facilities and transport services must be maintained.

In June 2013, the government seized Double Island from Hong Kong billionaire Benny Wu for resale after warning island leaseholders to ‘use it or lose it.’

Another former derelict island, Lindeman Island — which is around 15 kilometres southeast of South Molle Island — currently has construction underway on a $583 million masterplan.

It’s expected to reopen this year, complete with a five-star hotel, multiple restaurants and bars, a swimming pool, luxury spa and gym, and a new 50-metre jetty.

Hook Island, which sits 30 kilometres north, has also been granted development approval for around 40 eco cabins.

Shanghai-based CCIG, which bought South Molle Island in 2016 for a reported $25 million, currently has it listed for sale via private treaty through HTL Property.

It has a guide price of $30 million.

An information document detailing the island’s development potential for prospective buyers indicated there is capacity for over 1,300 rooms along with supporting amenities, subject to council approval.

Plans for a five-star resort on South Molle Island collapsed – it’s been listed for sale since 2023

Queensland Natural Resources Minister Dale Last is understood to be discussing the island’s continued ‘inactivity’, amid a crackdown on island lease holders who sit on their hands 

The document also notes South Molle Island has a completed $10 million jetty reconstruction, a new freshwater dam to reduce desalination costs, and what agents describe as an ‘impressive 600-metre stretch of rare, protected north-facing white sand beaches.’

The agents also described the land as a ‘construction-ready site.’

The news comes just weeks after it was announced that the famed Hamilton Island was sold to US private equity giant Blackstone in a $1.2 billion deal.

The Whitsundays region attracts an estimated 897,000 visitors a year, generating total spending of $1.7 billion in the local economy.