"After undertaking thorough due diligence on the deal, we have elected not to proceed."
Developers David Devine and Ken Woodley back out of Couran Cove resort purchase
Developers David Devine and Ken Woodley have walked away from buying the Couran Cove resort on South Stradbroke Island.
Devine and Woodley, who established Metro Property Group after selling out of Devine Limited, confirmed to the Gold Coast Bulletin they had backed out of the conditional contract.
"After undertaking thorough due diligence on the deal, we have elected not to proceed," Devine said.
News Ltd papers have previously speculated the billionaire American vendor was prepared to sell the resort for less than $20 million.
Ferrier Hodgson will now try to negotiate a new sale for Couran Cove, which closed in June last year after being placed into voluntary liquidation when American philanthropist Chuck Feeney decided to withdraw his financial support for the property.
Records showed Feeney poured $283 million into Couran Cove from 1998 until last year.
Feeney controls the property through InterPacific Group, which is owned by his Bermuda-based charity Atlantic Philanthropies.
The freehold assets of Couran Cove include 158 units and a waterfront building that has a reception area, cafes, conference facilities and function rooms, plus a beachfront surf club that incorporates restaurant function rooms and sports facilities.
The main leasehold assets are 102 marina berths and jetties.
It’s been mooted any new owner may also be able to implement the plans for a further 198 strata-titled cabins, 14 units and a yacht club, which were part of the original proposal.