By Clyde Mooney – editor Australian Hotelier
Sydney's controversial lockout zones have sparked a surge of interest in pubs for sale in areas that are free of the restrictions, according to real estate agent CB Richard Ellis.
Hotel real estate agent CBRE (CBRE) has today announced the lightning sale of Tailors on Central (pictured), with a prominent Sydney operator snapping it up within two weeks of listing.
Located just outside the lockout zone, Tailors enjoys a 3am licence and development potential and CBRE director of hotels Daniel Dragicevich told TheShout it was hotly pursued in accordance with the “genuine appetite from most CBD operators looking to find venues with a late licence outside the entertainment lockout zone”.
Dragicevich said the restrictions have sparked something of an upheaval in the affected areas, affecting profitability and employment.
“The lockouts, whilst clearly being of good intentions in order to curtail alcohol-related violence, were rushed in with little industry consultation around boundaries and venue-inclusion," he said.
“They have resulted in many hotels that had clean licensing records being punished for the irresponsibility of some rogue operators and quite often events that had occurred outside of licensed premises."
“This has had a carryover effect into the Sydney’s nightlife economy in terms of employment, as venues have had to streamline operations in order to maintain any level of profitability as the trading environment shifts greatly and the ability to generate sustainable levels of business diminishes.”
Hotels touched by the lockout situation have come to market recently in both on- and off-market campaigns.
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