Qld: Radisson group lets go of Brisbane hotel

AAP General News (Australia)
04-13-2000
Qld: Radisson group lets go of Brisbane hotel

BRISBANE, April 13 AAP - The Radisson Hotel group is to relinquish its role as manager
of the troubled Brisbane Radisson Hotel.

Radisson Hotels managing director Bill Sinclair said today the receivers appointed
to the hotel's operator, 570 Queen Street Management Pty Ltd, had proposed the change
in management structure.

"It is disappointing that we have been unable to continue to play the role that we
were initially contracted to perform for this hotel by the developer," Mr Sinclair said.

"It was never in our plans to own the operational and management rights of the property.

"The failure of the companies will now place Radisson Hotels Pty Ltd as an unsecured
creditor of 570 Queen Street Management Pty Ltd."

Mr Sinclair said the hotel was a commercially viable hospitality product in the longer
term, which had come unstuck as a result of the development companies' insolvency and
the appointment of a receiver on March 16 to protect the interests of secured creditors.

"The hotel achieved a positive cash flow in its second month of operation which is
commendable for the start-up of a new hotel," he said in a statement.

"The occupancy thus far in April is at 75 per cent, and continues to improve."

AAP jhm/sc/pjs

KEYWORD: RADISSON (CARRIED EARLIER)

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