Vision

The purpose of this document is to outline the Funding Strategy for the Project. The Funding Strategy outlines the net funding requirement for the Project and articulates the potential funding options that may be available to meet these requirements. The Funding Strategy also provides a recommendation regarding the approach that MYAC may adopt to secure funding for the Project and outlines a high-level guide regarding the implementation steps for the Funding Strategy.

Dewayne Mundraby – Economic Development Manager

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This Funding Strategy includes the following sections:
Project Funding Requirements.
Funding Options.
Funding Strategy.
Implementation Considerations.

PROJECT STATUS

The Mandingalbay Yidinji Eco Cultural Tourism Infrastructure Project (MECTIP or the Project) will showcase local Indigenous history, culture and the natural environment in a place where adventure, fun, education and well-being all overlap. The Project will be established on a lease area held by the Mandingalbay Yidinji (MY) people at Trinity Inlet, approximately 10 minutes from the Cairns CBD, and the Project will deliver considerable social and economic opportunities for the MY people, the community of Yarrabah and the Far North Queensland region.

The Project includes a prominent boardwalk that includes two seven storey towers. The towers function as viewing structures and include a range of other amenities such as accommodation, dining and adventure installations. The Project will also include a myriad of meeting spaces, gatherings spaces, and spaces where educational and cultural courses / exhibitions can be delivered. The boardwalk, land and amphitheatre provide peaceful and culturally sensitive areas where people can frequent, reflect and learn.

In addition to the culturally significant activities that will occur at the Project, MYAC also proposes to have adrenalin activities, including ziplines and rock climbing within the beautiful environment. Opportunities for segway tours and bicycle tours / self-touring are also proposed.

In 2019, a Project concept design was developed, and a Development Approval (DA) was received from the Cairns Regional Council (CRC) in respect of the Project. In 2021, PricewaterhouseCoopers (PwC) was engaged by MYAC to provide input into the development of a business case and an Investment Memorandum (IM) for the Project. These documents have since been used to communicate to investors the key Project information, service offerings and metrics that would be considered as part of an investment decision by a funding partner.

In early 2023, the Project concept design and operating model was revised by MYAC and its technical advisors. As a result of this, MYAC identified the need to revise the IM and to develop a comprehensive framework that would guide the activities related to sourcing investment for the Project (the Funding Strategy).

Project Funding Requirements

The Project funding requirements are informed primarily by the capital costs to progress the Project to a ‘shovel ready’ state and to deliver the capital works associated with the Project which is purpose of lodging an application with Regional Development Australia – Regional Precincts & Partnership Program. Operational funding requirements for the Project are expected to be met by the generation of operational revenues, once the construction of elements of the Project is completed.

The Project net funding requirement is comprised of several elements. These elements include:

· Capital funding requirement.

· Operational funding requirement.

Capital Funding Requirements

· Table 1 outlines the total capital funding requirement to deliver the Project (in nominal terms).

· Table 1: Project Capital Funding Requirements.

Project Funding Element	Description of Expenditure	Estimated Funding Requirement (Nominal Terms $m)
Pre-Construction – Detailed Design	Detailed concept designs and final approvals to advance the Project to a shovel ready state.	$2.4
Tower 1 Precinct	Construction of Tower 1 and the associated boardwalk and facilities within the Tower 1 precinct.	$24.2
Tower 2 Precinct	Construction of Tower 2 and the associated boardwalk, conference facilities and accommodation units within the Tower 2 precinct.	$18.5
Margins & Adjustments	Builder’s margins, professional fees and cost contingencies associated with the construction activities for Tower 1 and Tower 2.	$27.9
*Total Project Capital Cost Estimate*		*$73.0*

The timing of capital spend will be contingent upon the completion of Pre-Construction – Detailed Design activities and the timing that funding for the broader Project elements is secured. Based on the current forecast, the capital spend is greatest between 2025 and 2027.

PROJECT BENEFITS

Activities

Guided cultural tours and performances
(dance, story telling, demonstrations) – day and night
Activities – high ropes, rock climbing, zip lines, Segway tours
Research – Djunbunji programs, visiting academics, courses, MY training, school groups
Accommodation – Croc huts, hammocks, research (non-visitors)
Souvenir stores and cafes

Day and night operations