The multi-million dollar sale of Nathan Tinkler’s beachfront mansion has collapsed, with reports suggesting the Foreign Investment Review Board (FIRB) rejected the buyer.
Tinkler, a former coal magnate who also owned the Newcastle Knights NRL team, initially put his 15-bedroom, 15-bathroom home on the market in June.
Sales agents James McCowan and David Medina of Sotheby’s, who managed the original sale, have relisted the property for a private auction scheduled on October 21.
The current guide price stands at $20 million.
News.com.au say Mr McCowan and Mr Medina declined to comment on why the initial deal fell apart, but it’s reported that the prospective buyer failed to meet FIRB requirements.
The board usually refuses applicants who can’t prove permanent Australian residency or who fail to satisfy investment criteria allowing foreign ownership of property in the country.
While there hasn’t been a confirmed reason for Tinkler selling, speculation abounds that the proceeds were destined for creditors, according to news.com.au.
Tinkler, whose empire imploded around 2013, leaving him bankrupt with debts surpassing $540m, had acquired the Sapphire Beach property for $11.5 million in 2008.
The house was designed by architect Rosalie Stollery and features amenities such as two pools, a children’s playground, and panoramic ocean views.
The current regional record for coastal property is held by AfterPay co-founder Anthony Eisen, who spent $23 million on a home at Wategos Beach in May.
This surpassed a recent $22 million purchase by Justin Hemmes at Belongil Beach.
Even though these figures are record-setting for the region, they’re dwarfed by Sydney’s oceanfront properties, like the Tamarama home sold for $45 million to advertising executive David Droga.