Queensland compensates ALE and ALH

Pub landlord, ALE Property Group has received a compensation amount of $8.4 million for the loss of its freehold interest in the Ferny Grove Tavern, Brisbane, which was compulsorily acquired by the Queensland Government.

The Government plans to develop a significant transport interchange around the hotel's previous location.

ALE said in a statement that the resumption process had now been completed and the $8.4 million compensation had been paid in cash.

"This amount compensates for the loss of ALE's freehold interest in the land, the improvements and associated long term lease to ALH," it said.

"ALH were separately compensated by the Government."

ALE said it had recovered interest on deferred compensation and external advisors' fees incurred during the resumption process.

ALH is developing a new Ferny Grove Tavern on a different site, with an estimated completion date of late 2013.

Source: The Shout, 12 September 2012