Pub sales hit all-time high in bubbly market

A variety of buyers could control Oaks, including private equity funds, family-owned funds and syndicates, wealthy individuals and seasoned hoteliers.

McDonald said the sale of Windsor Castle to Harvest Hotels underscores the market’s willingness to pursue properties underpinned by “strong trading fundamentals in key growth areas”.

JLL Hotels managing director John Muska said that unlike other asset classes where the cost of debt has slowed market momentum, the hotel market has continued unabated, with a total of $2 billion over the past 12 months. Capital near the dollar is pouring into the sector.

This has led to a wide range of new buyers entering the market and this trend is expected to continue.

“The flight to scale is becoming increasingly competitive from both institutional and individual owners across the country, and levels of liquidity are at unprecedented levels,” Muska said.


This includes the acquisition of the Continental Hotel in Sorrento, Victoria by the Smorgan family, the Sydney pub portfolio of the Fairfax family and the purchase of the Great Northern Hotel in Byron Bay by Scott Didier, CEO of the ASX-listed Johns Ring Group. It is reflected in recent transactions.

“For someone who has amassed wealth in mining, media, software, logistics or any other sector, after completing the business case, actually owning an iconic pub hotel is much more than any other form of investment. It’s very fulfilling and inspiring,” said Musca.

Another deal signed by Savills Hotels was the $22.5 million sale of Sir Roberts at 64 Stanley Street, Darlinghurst. Owner Sue Cameron sold the “Lord Bob” freehold going concern to newcomer to the sector, Adam McFarlane.

Savills Hotels’ Nick Butler, Selin Ince and Nick Lower say that the sale price reflects the strength of the asset class, with hotels around the city enjoying a measurable recovery to profitable trading post-pandemic. said there is.

Pub sales hit all-time high in bubbly market

Source link Pub sales hit all-time high in bubbly market

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