Anna Bay's Birubi Beach Resort in administration

DISREPAIR: Ron Swan's security business has been re-hired to guard Birubi Beach Resort. Picture: Stephen Wark
DISREPAIR: Ron Swan's security business has been re-hired to guard Birubi Beach Resort. Picture: Stephen Wark

BIRUBI Beach Resort, called the eyesore of Anna Bay, has been placed in administration nearly three years after the site was abandoned because of money disputes.

Australian Securities and Investments Commission documents show Birubi Beach Resort was placed into administration in February this year.

The resort's financier, China Security and Surveillance Technology (through another company, Anke Smart City) appointed Sydney-based accountant and business advisory firm Grant Thornton as the receiver.

The Examiner's calls to the resort's Australian director, Caroline Wright, were not returned.

In April, Swan's Security Alarms and Guards was re-hired by Grant Thornton to patrol the site, which has been stripped of copper and vandalised.

"The main concern is occupational health and safety," Swan's Security owner and manager Ron Swan said.

"We get a lot of kids coming in where there is a lot of danger. There's also a lot of concern about stopping thieves and vandalism."

About $13,000 is owing to the Port-based security business, which was first brought in to guard the site at the beginning of 2012.

"I don't expect to get that money back," Mr Swan said.

He said the resort was in "pristine" condition before security guards were pulled off the site in early 2013 after payment for their services stopped.

About $1 million is outstanding to creditors and contractors who worked on building the site.

Groundwork on developing the $50 million resort began in 2011.

It was envisioned the four-star resort would include 154 rooms, have a 500-seat function centre, restaurant, main bar, tennis courts, swimming pool with a bar and children's playground.

In May 2012 pay dispute between contractors and resort owners saw construction work stop.

For 12 months promises were made by Ms Wright that work would surge ahead and that payment disputes between contractors and developers had been sorted out.

However, 24 months on, the site is being swallowed by sand and is frequented by trespassers.

Port Stephens Complete Real Estate property manager Gabrielle Holm-Pounder called the site a "disaster".

"We get a lot of people asking about it, particularly this Christmas just gone because it was in the same state as the Christmas before," she said.

"The sooner they get rid of it the better."

Destination Port Stephens marketing manager Tars Bylhouwer said it was disappointing to see the resort fall into such disrepair after there was so much initial enthusiasm for its development.

Mr Bylhouwer said Destination Port Stephens had included the resort in packages which wholesalers would show overseas to entice visitors to the area. The resort was scratched from packages when construction worked stopped and disputes arose.

Mr Bylhouwer said he would like to see the resort built.

"We would like to see some sort of successful resort near the sand dunes," he said.

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